The U.S. Attorney’s Office for the Northern District of Illinois has announced charges against seven foreign nationals involved in a massive international “pump-and-dump” investment fraud scheme. The accused individuals, including five from Malaysia and two from Taiwan, were charged with wire fraud and securities fraud after allegedly defrauding investors and causing substantial financial losses.
The individuals charged are Lim Xiang Jie Cedric (50), Ko Sen Chai (57), King Sung Wong (39), Siong Wee Vun (37), and Kok Wah Wong (56) of Malaysia, along with Ming-Shen Cheng (36) and Chien Lung Ma (54) of Taiwan.
From November 2024 to February 2025, the defendants allegedly engaged in misleading promotions and coordinated trading of China Liberal Education Holdings Ltd., a Cayman Islands-incorporated company. The company falsely claimed to provide educational services in China, and individuals based in China posed as U.S. investment advisors, promoting high returns and encouraging investors to buy shares in the company.
The fraudulent promotions inflated the stock price, allowing the defendants to sell large quantities of shares for millions of dollars before the stock price collapsed. Investors suffered severe losses, with some losing nearly all of their investments.
The fraud resulted in the seizure of approximately $214 million, which remains in U.S. custody. The defendants face up to 25 years in prison for each securities fraud count and up to 20 years for each wire fraud charge. Arrest warrants have been issued for the defendants, who remain at large.
This case highlights the global reach of investment fraud schemes and the severe consequences for those who engage in such deceptive practices.
