Federal authorities have charged 28 individuals, alleged members of a Chinese organized crime group, in connection with a $65 million fraud scheme that targeted thousands of seniors across the United States. The operation, which has been ongoing since at least 2019 and is based in Southern California, allegedly worked closely with scam call centers in India.
Following coordinated law enforcement actions across California, New York, Texas, and Michigan, 25 suspects were arrested. All face charges of conspiracy to commit mail and wire fraud as well as conspiracy to commit money laundering. Federal agents from Homeland Security Investigations (HSI), the FBI, and IRS-Criminal Investigation executed more than a dozen search warrants this week. Authorities seized over $4.2 million from financial accounts and confiscated several luxury vehicles.
The scheme involved scammers posing as technical support agents, government officials, or bank employees who contacted victims—often elderly individuals—through unsolicited calls or emails. Victims were directed to call phone numbers linked to Indian scam call centers. Once connected, they were manipulated into granting remote access to their computers and convinced they had received mistaken refunds. The scammers then pressured victims to return the supposed excess funds via wire transfer, cash shipments, or gift cards.
Cash was sent through overnight couriers to fake names tied to false IDs at short-term rentals controlled by conspirators. Among those indicted are Zhiyi Zhang, Dudu Chen, and Huajian Chen.
YouTube creators played a significant role in exposing the operation. Pierogi from “Scammer Payback” collaborated with Trilogy Media on sting operations documented in videos posted on their YouTube channels (https://www.youtube.com/watch?v=hrLZbc-Rfbo;https://www.youtube.com/watch?v=in_Y5q_-F2Y;https://www.youtube.com/watch?v=7IEgFgO5pKo;https://www.youtube.com/watch?v=pBZFmIKJINA;https://www.youtube.com/watch?v=dQuya3ELKGQ;https://www.youtube.com/watch?v=GCRoxVMmtDw). Their efforts helped law enforcement identify key suspects and understand how the network operated.
Zhiyi Zhang was identified after YouTubers delivered a decoy package during a sting operation in South San Francisco and confronted him on camera. Zhang admitted his involvement on video before being arrested by federal agents at Los Angeles International Airport on August 19, 2025.
“Not all heroes wear capes. Some have YouTube channels,” said U.S. Attorney Adam Gordon. “Our office will continue to be on the cutting edge of law enforcement techniques to ensure justice for vulnerable victims who have been defrauded by Chinese organized crime.”
“This investigation dismantled a predatory criminal organization that carried out a complex fraud scheme, manipulated victims throughout the country, and cost victims their hard-earned life savings,” said Shawn Gibson, Special Agent in Charge of HSI San Diego. “HSI, the United States Attorney’s Office, and our law enforcement partners diligently pursued this organization to bring them to justice and help the victims that were impacted. HSI is dedicated to protecting our communities and the people of the United States from organizations that prey on the vulnerable for financial gain.”
“This alleged Chinese organized crime ring laundered money for fraudulent Indian call centers who targeted our nation’s elderly citizens,” said Special Agent in Charge Tyler Hatcher of IRS Criminal Investigation Los Angeles Field Office. “These arrest and seizure warrants demonstrate that IRS-CI is committed to protecting our most vulnerable citizens, while also taking the profit out of crime.”
The investigation was led by the U.S. Attorney’s Office for the Southern District of California along with HSI and received assistance from multiple agencies including local police departments across several states.
A motion hearing/trial setting is scheduled for August 29, 2025 before U.S. District Judge Todd W. Robinson for one case (25CR1097-TWR), with hearings for other cases set for September 19.
Assistant U.S. Attorney Kevin Mokhtari is prosecuting these cases.
Defendants face up to forty years in prison if convicted of conspiracy to commit mail and wire fraud and up to twenty years for conspiracy to launder monetary instruments.
The indictments are allegations only; all defendants are presumed innocent until proven guilty.
