EddieJayonCrypto
2 May 25
The U.S. Treasury Department's Financial Crimes Enforcement Network (FinCEN) proposed actions to cut Cambodia-based Huione Group off from the U.S. financial system, labeling it a "primary money laundering concern" under Section 311 of the Patriot Act. Huione Group, a financial conglomerate involved ...
The U.S. Treasury's Financial Crimes Enforcement Network (FinCEN) has proposed cutting Cambodia-based Huione Group off from the U.S. financial system, labeling it a "primary money laundering concern" under Section 311 of the Patriot Act.Huione Group, a financial conglomerate in Phnom Penh involved in digital payments, crypto platforms, and insurance, is accused of laundering illicit proceeds from cybercrimes, including North Korean cyberheists and Southeast Asian investment scams.FinCEN's investigation alleges that Huione processed roughly $4 billion in potentially illicit funds from August 2021 to January 2025, including $37 million linked to North Korean cyberheists, $36 million from crypto investment scams, and $300 million from various cyber scams. The group reportedly operated with inadequate anti-money laundering controls.The proposed rule would prohibit U.S. financial institutions from maintaining correspondent accounts with Huione, aiming to sever the group's access to the U.S. banking system and hinder criminal organizations’ laundering efforts.Remedial actions have also occurred locally; the National Bank of Cambodia revoked Huione Pay's license in January, while Google removed the Huione Guarantee app following investigations into its illicit connections.This rulemaking proposal is currently open for public comment for 30 days, as FinCEN seeks to gather input on this significant move to clamp down on financial crimes linked to cybercriminal networks worldwide.