US Treasury Proposes Ban on Cambodia's Huione Group Over Money Laundering

The U.S. Treasury Department has proposed banning Cambodia-based Huione Group from accessing the U.S. financial system, citing its alleged role in laundering over $4 billion in illicit funds since August 2021. According to FinCEN, Huione and its affiliates have been central to moving money for cybercriminals, including North Korean hackers such as the Lazarus Group and Southeast Asian scam networks. The group, which operates payment platforms and crypto services, is accused of facilitating both online investment scams and laundering proceeds from major cyber heists. U.S. officials argue that Huione's weak anti-money laundering controls made it a preferred marketplace for illegal activities, including the sale of goods and services used in cyber scams. If enacted after a 30-day consultation period, the proposed rule would bar U.S. banks from servicing Huione, significantly hindering its ability to operate internationally. This move follows investigations and international reports highlighting Huione’s role in global money laundering and cybercrime schemes.