Taiwan and Palau are alerted about potential security threats from investments by the Cambodian Prince Group, which is accused of criminal ties. An investigation by Pacific Economics highlights concerns regarding illicit activities and the group’s influence. Insufficient oversight and relationships with individuals like Rose Wang raise red flags within the context of Chinese geopolitical maneuvering.

Governments in Taiwan and Palau have been alerted by researchers at Pacific Economics regarding potential threats to their security and sovereignty stemming from investment offers from the Cambodian conglomerate Prince Group. Evidence presented to the leaders of both nations indicates that the Prince Group has been linked to transnational criminal activities, reinforcing concerns about illicit operations conducted by its Chinese national leader with Cambodian citizenship.

The advisory stemmed from a six-month investigation examining foreign investments in Palau, commissioned by the U.S. government. The report highlights a significant rise in wealthy investments in the region, potentially harboring criminal links. Jarod Baker, the founder of Pacific Economics, remarked on the noticeable flow of capital, characterizing the situation as alarming.

In a presentation to Palau’s President Surangel Whipps, Baker used the Prince Group as a pertinent example of investments with possible criminal implications. The Prince Group has publicly refuted these findings, describing them as defamatory. Notably, corporate records confirm that Chen Zhi, the founder, retains a substantial share in a Palau-registered asset management group.

Despite Prince Group’s denial, RFA’s investigations revealed its name on historical investment documents related to Palau. Furthermore, Baker indicated that the conglomerate’s potential investments could tie up essential land resources for extended periods, ultimately impacting job creation and economic development.

The Office of the President of Palau acknowledged the challenges associated with vetting foreign investors, emphasizing an ongoing commitment to fostering legitimate partnerships while mitigating risks from potentially exploitative individuals.

Concerns regarding an associate of the Prince Group, Rose Wang, were also highlighted, as her connections raise questions about her influence on Palau’s political landscape. Wang has denied any involvement with criminal activities or the Prince Group, although records suggest a substantial relationship between her and Chen Zhi’s ventures.

Wang’s business pursuits and affiliations with Chinese organizations have led to speculation regarding her motives, especially regarding Beijing’s influence in Palau, which recognizes Taiwan as an independent nation. Baker reiterated that while evidence of Prince Group’s direct involvement in espionage or political maneuvering was lacking, China has historically utilized such networks to achieve its geopolitical objectives.

Additionally, the Prince Group has fortified its operations in Taiwan since 2018, successfully registering as a foreign-invested company to escape regulatory limitations. Their activities primarily encompass real estate and investment services targeting Taiwanese investors, highlighting the group’s proactive outreach in the region.

Taiwan’s Ministry of Foreign Affairs acknowledged the risks posed by Chinese businesses infiltrating foreign partners, ensuring that any illegal activities associated with such firms would be addressed under domestic laws.

The increasing concern over Prince Group’s investment activities in Taiwan and Palau underscores potential security risks posed by foreign entities linked to criminal activities. The partnerships fostered by the Prince Group could exploit the vulnerabilities of smaller nations and elevate geopolitical tensions, especially in light of ongoing concerns regarding Chinese influence in the region. Both Taiwan and Palau are urged to strengthen their vetting processes to safeguard against such threats while facilitating legitimate foreign investments.

Original Source: www.benarnews.org

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