Brooklyn, New York, criminal defense lawyers represented the Defendants charge with h money laundering conspiracy in connection with their participation in a scheme to launder funds derived from cyber investment fraud scams, or “pig butchering” scams.

Reported by Kent Morlan

between 2020 and 2022, Chen and Zhang managed a network of more than a dozen individuals based in Queens and Brooklyn, New York who opened bank accounts in the name of shell companies to launder proceeds of investment scams known as “pig butchering” fraud schemes, a term derived from a foreign-language phrase used by perpetrators to describe the crimes. These schemes consist of perpetrators contacting victims via messaging services or social media applications. The perpetrators then initiate relationships with the victims and gain their trust, convincing victims to send money for lucrative investment opportunities. The perpetrators also show the victims fake profits on the purported investment and encourage the victims to invest more. Ultimately, the perpetrators steal the victims’ funds.

Zhuoying Chen, also known as “Jolene,” and Haojie Zhang, also known as “Kevin,” allegedly conspired with China-based co-conspirators to transfer funds from a pig butchering fraud schemes abroad. Chen, Zhang and other co-conspirators oversaw the use of approximately 45 shell companies and 140 company bank accounts located primarily in the Eastern District of New York to launder at least $43 million in criminal proceeds from these schemes.

The charges in the indictment are allegations and the defendants are presumed innocent unless and until proven guilty. If convicted, each defendant faces a maximum sentence of 20 years’ imprisonment.