Singapore court rejects bid to release seized funds amid probe into Chen Zhi-linked firms

SINGAPORE: A district judge from the State Courts has dismissed an application seeking the release of seized funds linked to companies associated with alleged Cambodian scam kingpin Chen Zhi.

The application was filed on 18 November 2025 by a former employee of Chen’s Singapore-based family office, DW Capital, who is known as Ms Ng. She previously served as the firm’s human resources manager.

Ms Ng made the application on behalf of DW Capital’s sole remaining director, Karen Chen Xiuling. Karen Chen is sanctioned by the United States and is currently outside Singapore.

According to local media reports, Karen Chen has remained overseas despite multiple attempts by the authorities to request her assistance in investigations in Singapore.

Request sought release of more than S$790,000 and S$102,000 monthly for future expenses

The application sought the release of more than S$332,000 to cover expenses such as salaries incurred after bank accounts were frozen. It also requested S$459,000 to pay corporate taxes.

In addition, Ms Ng asked for the release of approximately S$102,000 every month to meet future operating expenses of the companies involved, according to reports.

According to state media The Straits Times, in the judgment delivered on 7 January 2026, District Judge Kok Shu-en questioned whether Ms Ng was even in a position to speak credibly on the financial interests of the companies.

Judge Kok noted that Ms Ng’s affidavit filed in November 2025 did not disclose the sources of the information relied upon in her application.

The judge observed that although Ms Ng had resigned from DW Capital on 17 October 2025, she was able to provide detailed descriptions of the non-liquid assets held by four companies.

Judge Kok highlighted that Ms Ng’s role at DW Capital had been limited to recruitment and payroll matters. It was therefore unclear why she could speak with authority on the broader financial situation of the companies.

“Even if I were to accept the contents of Ms Ng’s affidavit without any reservation, which I do not, the indication therein is that three of the applicant companies are connected to other entities that are located outside of Singapore,” Judge Kok said.

She added that Chen Zhi is ultimately the beneficiary of the four applicant companies, whether directly or indirectly.

Foreign links raise questions over alternative funding sources

Judge Kok further stated that the foreign links raised questions about whether alternative sources of funds were available through parent entities located outside Singapore.

“Given these connections with entities outside of Singapore, this leaves open the question as to whether there are alternative sources that are associated with these foreign parent entities that are available to the applicant companies,” she said.

The judge said the information before the court continued to point to a large-scale and complex investigation into possible money laundering offences with a significant transnational element.

Court cites ongoing transnational money laundering investigation

She added that more time was required for investigations to progress and for additional information to be obtained by the authorities.

Judge Kok concluded that it was in the interests of justice for the seized properties to be preserved, particularly given the suspected nature of the assets.

The four firms involved in the application are linked to Chen Zhi, either directly or through his British Virgin Islands-registered family office, Global Treasure Development.

Three of the companies — DW Capital, Capital Zone Warehousing and Skyline Investment Management — are among entities sanctioned by the US Treasury.

The fourth company, Citylink Solutions, is not sanctioned.

Global enforcement actions and asset seizures

On 14 October 2025, the United States and Britain announced sweeping sanctions on Chen Zhi, his Prince Group conglomerate and close associates.

The authorities accused the group of money laundering and wire fraud offences, as well as operating forced-labour scam compounds in Cambodia.

As part of the sanctions, the US Treasury designated Prince Group, a large Cambodia-based corporation, as a transnational criminal empire. The group has interests spanning real estate, financial services and consumer businesses.

Several assets owned by the group were seized globally.

These included nearly 130,000 bitcoins valued at around US$15 billion, or about S$19.2 billion.

Authorities also seized 19 properties in London, including one valued at nearly £100 million, or about S$173 million.

Among the 146 people and entities sanctioned by the US Treasury were three Singaporeans: Karen Chen Xiuling, Alan Yeo Sin Huat and Nigel Tang Wan Bao Nabil.

They were added to the US Specially Designated Nationals and Blocked Persons list, which blocks any assets held in the US or in the possession of the US government.

US citizens and companies are generally prohibited from transacting with individuals and entities on the list.

Alan Yeo and Karen Chen reportedly left Singapore between September and October 2025.

Nigel Tang, the captain of Chen’s superyacht, Nonni II, was arrested on 11 December 2025 over suspected money laundering offences.

In addition, 17 Singapore-registered entities were implicated for their links to Chen and Prince Group, effectively barring US entities from transacting with them.

About two weeks after the sanctions were announced, the Singapore Police Force conducted raids on 30 October 2025. Assets worth more than S$150 million were seized, including six properties, a yacht and 11 luxury vehicles.

On 4 November 2025, authorities in Taipei detained 25 people and seized NT$4.5 billion, or about S$183 million, in assets linked to Prince Group.

The same day, Hong Kong authorities froze assets worth HK$2.75 billion, or about S$452 million, linked to the syndicate.

At least eight bank accounts held with Revolut and Maybank by the four companies were frozen after police issued seizure orders days after the sanctions announcement.

Revolut is a global financial technology company headquartered in London.

There was more than US$513,000 in the Revolut accounts and more than S$3.5 million in the Maybank accounts. These accounts were the subject of the November 2025 application.

Investigations by the Commercial Affairs Department suggest that the funds in the seized accounts are suspected to be proceeds or benefits of criminal conduct by Chen Zhi or his associates, according to court documents.