China takes custody of alleged Huione Group chairman Li Xiong

A key figure allegedly behind the Huione network has been extradited to China, where he will face fraud and money laundering charges.

A report from Hong Kong-based news outlet Ta Kung Wen Wei noted that Li Xiong, who was part of a group that helped scam rings in Asia launder illicit funds, was escorted back to China from Phnom Penh, Cambodia, citing a statement from China’s Ministry of Public Security on WeChat.

Xiong was a core member of the Chen Zhi criminal syndicate, according to the report, and had previously served as chairman of Huione Group, a network that supported scam centers carrying out “pig butchering” schemes and other investment frauds to extract funds from victims across the globe.

For those unfamiliar, the Huione network has been linked to one of the largest illicit online marketplaces in operation, processing more than $89 billion in cryptoassets.

Xiong’s arrest and extradition come just months after the detention of Chen Zhi, the head of Prince Group, which operated Huione Group. The U.S. Department of Justice had earlier seized over 127,000 Bitcoin tied to Zhi’s operations.

The report added that several other members of Zhi’s criminal syndicate have also been apprehended, according to statements from Chinese public officials.

Efforts to cut off Huione’s financial network have been underway in the U.S. over the past few years.

Last year, the U.S. Department of the Treasury’s Financial Crimes Enforcement Network labelled the group a primary money laundering concern and subsequently directed financial institutions to cut off access linked to its operations.

However, third-party reports suggest that the network has resurfaced under new domains and continues to operate across platforms such as Telegram, maintaining activity despite enforcement pressure.