Timor-Leste's Controversial Cryptocurrency Resort Project Under Scrutiny

Timor-Leste's opposition has raised serious concerns regarding the proposed AB Digital Technology Resort, a cryptocurrency project linked to foreign investors, including individuals associated with the Prince Group, a Cambodian conglomerate accused of extensive fraud. During a parliamentary session in Dili, Fretilin opposition MP Florentino Ximenes da Costa questioned President José Ramos-Horta's decision to issue a diplomatic passport to Chinese businessman Lin Xiaofan, who is prominently involved in the resort project. The inquiry follows a months-long investigation by the Guardian and the Organized Crime and Corruption Reporting Project (OCCRP), which uncovered alleged ties between the resort's investors and the Prince Group, described by U.S. authorities as a major transnational criminal organization.

The Guardian

The Prince Group, founded by Chen Zhi, has been implicated in various criminal activities, including wire fraud and money laundering. In October 2025, U.S. authorities indicted Chen, alleging that the group operated forced-labor scam compounds and engaged in large-scale cyber fraud, particularly through cryptocurrency schemes. The indictment led to the seizure of approximately $15 billion in Bitcoin and the freezing of assets linked to the group across multiple jurisdictions, including Hong Kong and Singapore. The group has denied all allegations, labeling them as attempts to unlawfully seize its assets.

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Ximenes da Costa has urged President Ramos-Horta and Foreign Affairs Minister Bendito dos Santos Freitas to clarify the rationale behind granting Lin a diplomatic passport, which is considered "highly unusual" in Timor-Leste. He emphasized the need for an investigation into how the resort secured prime beachfront land, suggesting potential complicity from local officials. In response, Ramos-Horta acknowledged the vulnerability of Timor-Leste to transnational crime but stated he had not seen evidence of such infiltration.

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In a statement, President Ramos-Horta defended his decision to issue Lin a diplomatic passport, asserting that it was aimed at attracting investment to Timor-Leste, one of the world's newest and most impoverished nations. He expressed a commitment to remain vigilant against organized crime, stating, “Together with the government and our entire society, we remain alert to the dangers of organized crime.” However, he also expressed skepticism towards information derived solely from media reports, suggesting that some may wish to tarnish the country's reputation.

The Guardian

The opposition's concerns reflect broader anxieties about the potential for organized crime to exploit Timor-Leste's developing economy. Critics argue that the government's actions could undermine public trust and invite further scrutiny from international observers. The situation has prompted calls for greater transparency and accountability in dealings with foreign investors, particularly those with questionable backgrounds.

The Guardian

As the controversy unfolds, Timor-Leste's law enforcement agencies are expected to investigate the local actors involved in facilitating the resort project. The outcome of this inquiry may have significant implications for the country's governance and its approach to foreign investment, particularly in sectors vulnerable to exploitation by organized crime.

The Guardian