Huione Laundered Millions Through South Korean Exchanges
The US recently sanctioned Cambodia-based Huione Group, calling it a transnational crime organization. Authorities have now confirmed that the group laundered criminal funds through South Korean cryptocurrency exchanges.
Data from South Korea’s Financial Supervisory Service (FSS) shows significant capital movements.
Bithumb Processed Most of the Suspicious TransactionsHuione’s subsidiary, Huione Guarantee, conducted extensive transactions with Korean won-market exchanges over the past three years. In total, deposits and withdrawals in Tether (USDT) reached about 15.9 billion KRW ($12 million).
The office of ruling People Power Party lawmaker Lee Yang-soo disclosed the FSS data on Monday. The records reveal that Huione Guarantee was deeply involved in financial activity with Korean exchanges.
Further, officials suspect the funds are linked to kidnapping, human trafficking, and voice phishing operations currently under investigation in Cambodia.
5/ Huione has directly facilitated laundering billions in illicit funds over the past couple years from pig butchering scams, investment scams, human trafficking and hacks/exploits in Southeast Asia.
Last week the US applied additional restrictions against Huione in relation to… pic.twitter.com/L2ZIoMx6By
Bithumb processed the majority of transactions, handling about 14.6 billion KRW, while Upbit and Korbit accounted for 889 million KRW and 454 million KRW, respectively.
Meanwhile, the timing of these transfers has raised an alarm. They coincide with a spike in fraud, kidnapping, and human trafficking cases in Cambodia.
On October 18, the South Korean government repatriated 64 Korean nationals arrested in Cambodia for participating in online fraud schemes. Many were reportedly held captive by Chinese crime syndicates.
Possible Links to Kidnapping and SanctionsRecent high-profile cases involving Korean victims of kidnapping, confinement, and murder have prompted a broader probe. South Korean authorities are investigating whether these incidents are tied to Huione Group’s operations.
Investigators noted that transactions between Bithumb and Huione surged in 2024, around the same time reports increased of Koreans being lured to Cambodia under false job offers and then detained.
Right after the U.S. cut Huione Group off from the global financial system, One Property in Phnom Penh suddenly told residents they can no longer pay through ABA, only Prince Bank or Huione.
That shift looks less like a business adjustment and more like a strategy to keep… pic.twitter.com/KjAfzfA30y