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Bitcoin

FBI Arrests Three in Pig Butchering Crypto Scam Tied to $13M Fraud Scheme

By admin
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FBI Arrests Three in Pig Butchering Crypto Scam Tied to $13M Fraud Scheme

Federal authorities arrested three individuals in California for allegedly laundering over $13 million from victims of crypto investment scams known as “pig butchering.” The suspects, including Chinese nationals Mingzhi Li and Zeyue Jia, along with Jun Shi, allegedly created shell companies—Magic Location Trading and Stone Water Trading—to operate unregistered money service businesses that funneled funds from scam victims. Law enforcement traced over 300 wire transfers linked to fraudulent investments in commodities and cryptocurrencies, including bitcoin. One victim, a 72-year-old Minnesota man, lost $325,000 after being lured into a fake investment platform called “Enkuu.” Li and Jia, who overstayed their student visas, were denied bail, while Shi was released on a $20,000 bond. The FBI is leading the investigation, with federal prosecutors handling the case. The defendants face up to five years in prison if convicted.

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