China seeks to seize 61,800 BTC tied to $5.7 billion fraud scheme
Chinese authorities are seeking to confiscate over 61,800 Bitcoin seized in the UK, linked to a massive $5.7 billion fraudulent investment scheme. A UK High Court recently ruled that Chinese law should govern the claims of victims who lost money in the 2014-2017 scam.
Why it matters
The case represents a significant legal precedent for international asset recovery in crypto-related fraud and highlights the complexities of cross-border legal jurisdiction.
The case centers on Qian Zhimin, the alleged controller of Tianjin Lantian Gree Electronic Technology. Prosecutors say that from 2014 to 2017, the company sold unlicensed wealth-management products across China, promising guaranteed principal and high returns. The scheme raised more than 40.378 billion yuan from more than 102,000 investors, who lost nearly 20 billion yuan.
This money, however, was allegedly used to repay earlier investors, run fake investment projects, buy Bitcoin and acquire property, cars and jewelry, instead of funding real businesses.
Qian then fled China in 2017 and later settled in the UK. British authorities eventually seized his assets, including more than 61,800 bitcoin, plus bitcoin cash, bitcoin gold, bitcoin SV, ripple, dogecoin, cash, jewelry and investment holdings.
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