2 charged in New York for laundering $43 million from investment scams

U.S. prosecutors have charged two individuals in New York for their alleged roles in a large-scale criminal network that laundered millions of dollars stolen through cyber investment fraud scams. Zhuoying Chen, 27, and Haojie Zhang, 38, are accused of managing a network that transferred at least $43 million to China, based on information published by Bleeping Computer.

The indictment alleges that between 2020 and 2022, Chen and Zhang operated a network of over a dozen individuals in Queens and Brooklyn. This network utilized approximately 140 bank accounts across 45 shell companies to launder funds obtained from investment scams. The fraudulent schemes involved criminals building trust with victims via social media and messaging services, persuading them to invest in fake opportunities, and then stealing their funds. Executive Associate Director John A. Condon of U.S. Immigration and Customs Enforcement Homeland Security Investigations stated that the defendants allegedly ran a sophisticated network laundering funds from victims' life savings.

The FBI's 2025 Internet Crime Report indicates that investment fraud accounted for 49% of scam-related incidents last year, with reported losses of $8.6 billion. This case is part of a broader effort by authorities to combat sophisticated cybercrime operations, including recent actions against cryptocurrency investment schemes and the establishment of specialized task forces.

Source: Bleeping Computer