- Chinese prosecutors are seeking to confiscate more than 61,800 BTC tied to an alleged $5.7 billion fraud.
- A UK court said Chinese law should govern victims’ claims to the seized Bitcoin.
- A Chinese court opened a six-month period for victims and other interested parties to join the case.
The China Bitcoin seizure case has moved forward as prosecutors seek to confiscate more than 61,800 BTC and other assets linked to an alleged fraud worth over 40 billion yuan, or about $5.7 billion. The matter involves claims from more than 102,000 investors and a court process now unfolding in both China and the UK. Prosecutors say the company at the center of the case sold unlicensed wealth-management products, then used investor funds for other purposes including Bitcoin purchases and asset buying. Recent court actions have added new steps for victims, while also clarifying that Chinese law should be used to assess claims to the seized Bitcoin.
China Bitcoin seizure moves ahead in court
Chinese prosecutors are pursuing confiscation of more than 61,800 Bitcoin and other assets connected to an alleged fraud scheme, according to reporting cited from The Paper. The assets are tied to Qian Zhimin, described as the alleged controller of Tianjin Lantian Gree Electronic Technology.
On Oct. 13, Tianjin’s Second Intermediate People’s Court said it had accepted prosecutors’ request to confiscate the assets as illegal gains. The court also opened a six-month window for victims and other interested parties to join the case.
Details behind the alleged fraud scheme
Prosecutors say that from 2014 to 2017, the company sold unlicensed wealth-management products across China. Investors were promised guaranteed principal and high returns, and the scheme reportedly raised more than 40.378 billion yuan from more than 102,000 investors.
According to prosecutors, investors were left with nearly 20 billion yuan in losses. They allege the money was used to repay earlier participants, support fake investment projects, buy Bitcoin, and acquire assets such as property, cars, and jewelry rather than fund real businesses.
China Bitcoin seizure and the UK ruling
The case also involves assets seized in Britain after Qian fled China in 2017 and later settled in the UK. British authorities eventually seized assets including more than 61,800 bitcoin, along with bitcoin cash, bitcoin gold, bitcoin SV, ripple, dogecoin, cash, jewelry, and investment holdings.
Days before the latest Chinese court development, a UK High Court ruled that Chinese law rather than English law should govern alleged victims’ claims to the more than 61,000 BTC seized in Britain. The ruling did not end the possibility of recovery, but said the issue should be assessed under Chinese law.
What victims can do next
The Chinese court’s six-month participation period gives victims and other interested parties a defined chance to join the confiscation case. The court said that victims who do not take part can still seek refunds from recovered assets.
Further hearings are expected as the legal process continues. Lawyers for some victims are also seeking to appeal the UK ruling, which means the dispute over how claims are handled is still developing.
Conclusion
The China Bitcoin seizure case now spans major court actions in both China and the UK, centered on more than 61,800 BTC tied to an alleged fraud affecting over 102,000 investors. Prosecutors say the scheme raised more than 40.378 billion yuan and left nearly 20 billion yuan in losses, while seized assets include Bitcoin and several other holdings. A UK court has said Chinese law should govern victims’ claims, and a Chinese court has opened a six-month period for interested parties to join the confiscation case. With further hearings expected and an appeal effort underway, the China Bitcoin seizure remains an active legal process.
Disclaimer
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