Washington: US prosecutors have indicted Malaysian national Chui Kok Wa and five alleged accomplices over a cryptocurrency investment scam that reportedly stole $516,695 from 74 victims across the United States.
According to the US Department of Justice (DOJ), the accused allegedly operated a fraudulent non-fungible token (NFT) investment scheme from Madagascar after enforcement action disrupted similar operations in Cambodia. Victims in Maryland, Oregon, Nevada, Minnesota and other states were targeted through dating websites and fake investment platforms.
Investigators said Wa coordinated the operation with associates in China, while a group of around 20 workers allegedly used fake identities and fabricated investment opportunities to gain victims’ trust. The workers reportedly received monthly salaries of $900, along with commissions based on the money extracted from victims.
An FBI team visiting Madagascar in August accessed more than 3,000 electronic devices and inspected 13 suspected scam compounds alongside local police. However, investigators said they could not interview several alleged leaders before some suspects were deported to China or released.
The DOJ has urged Madagascar to extradite the six defendants. It also raised concerns about 15 employees who claim they were trafficked and abused, although investigators said some digital records indicated that certain workers had employment contracts and received payments.
The indictment further alleges that stolen cryptocurrency was transferred through wallets controlled by Wa on platforms such as Binance before being moved to accounts linked to individuals in China. Blockchain analytics firm Chainalysis and cryptocurrency company Tether assisted investigators in tracing the funds.
The case highlights the growing geographical spread of scam operations. US authorities estimate that Americans lost approximately $8.65 billion to scam compounds in 2025, with investigators warning that criminal networks are increasingly shifting operations from Southeast Asia to Africa.
