Prince Bank has been liquidated by the central bank in Cambodia following the arrest and extradition of its founder, Chen Zhi, for his involvement in an international fraud ring. This is the latest development in an investigation into scam rings connected with the bank’s parent firm.
The National Bank of Cambodia announced on Thursday that Prince Bank is banned from accepting any more deposits and issuing any more loans. Today, different branches of the bank will soon be operated under the liquidators of Morisonkak MKA Audit Accounting Co., Ltd.
NBC confirmed that depositors still can withdraw their deposits with proper documentation, whereas borrowers need to continue making their payments as per the existing agreement. The ruling comes after Chen Zhi was arrested in Phnom Penh and extradited to China on January 6, 2026. He faces charges in China related to major online fraud.
Prince Bank Founder Detained Internationally
Chen Zhi, a China-born businessman who founded Prince Bank within the Prince Holding Group, has been seen in Chinese media being led off a plane in handcuffs. State outlets described him as the leader of a large transnational gambling and fraud network.
Authorities in the United States, China, and elsewhere have accused him of operating cyber fraud schemes, such as “pig butchering” scams that target victims through fake online romances and into questionable investment schemes. U.S. prosecutors had already charged him with fraud and money laundering, while officials in the United States and the United Kingdom froze assets related to him.
Chen was once known as one of the most recognizable businessmen in Cambodia because of his various ventures in real estate, airlines, and financial services, among other fields. This action follows several months of international diplomatic pressure exerted on the country to take action against the operations of these scams.
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Prince Bank Liquidation Causes Uncertainty
Prince Bank, a major bank in the Cambodian banking industry, is now shut down, and there is concern that some banks could be operating without licenses. The National Bank of Cambodia (NBC) has noted that it is closing the bank in order “to protect depositors and the economy” while it investigates allegations against the bank.
Experts say this could attract closer attention to Cambodia’s financial sector, especially for those firms with cross-border exposure. Liquidators will take over Prince Bank’s assets and liabilities, a process that customers and the entire financial community will be keeping a close eye on.
The case is also related to the Cambodian cryptocurrency market, where U.S. authorities alleged they utilized digital assets for investment fraud and money laundering. It may also help to clarify crypto-related payment and banking services involving digital assets.
All these developments have passed without comment from Prince Bank and its group of companies.
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