Hong Kong Court Freezes HK$9 Billion in Assets Linked to Detained Businessman Chen Zhi

A Hong Kong court has ordered the freezing of properties and assets worth more than HK$9 billion (US$1.15 billion) held by detained businessman Chen Zhi and companies and individuals tied to him. The South China Morning Post reported that a source said on Thursday the High Court issued the restriction earlier this month following an application from the Department of Justice.

The court order prohibits 42 respondents, including Chen, three suspected associates and 38 companies, from dealing with their properties in or outside Hong Kong. Chen had assets of about HK$6.36 billion frozen. These include a commercial building on Kimberley Road in Tsim Sha Tsui valued at HK$3 billion and a luxury mansion on The Peak worth HK$1 billion.

His remaining frozen assets covered his personal bank accounts as well as bank accounts and securities held through 17 companies but subject to his control. Among the companies, Prince Global Holdings, incorporated in the British Virgin Islands, accounted for the largest amount of the frozen funds at more than HK$1.6 billion.

Chen is in custody after being extradited from Cambodia to China in January. He is accused of various crimes including opening a casino, fraud, illegal operations and concealing criminal proceeds, according to China’s Ministry of Public Security. The accusations relate to an alleged sprawling online scam network operated from Cambodia.

The freezing order covers assets both in Hong Kong and potentially elsewhere. It follows the Department of Justice's application and applies to all listed respondents and their controlled entities. No further details on the timeline for any potential trial or additional proceedings were available.