US Indicts Chinese Nationals & Firms in Major Fentanyl & Money Laundering Case

A federal grand jury in Dayton, Ohio, has indicted three US citizens, 22 Chinese nationals, and four Chinese pharmaceutical companies for their alleged involvement in international drug trafficking and money laundering conspiracies. The case centres on illegal fentanyl cutting agents imported from China and sold into southern Ohio communities.

Attorney General Pamela Bondi described the indictments as part of the Department of Justice’s mission to protect Americans from fentanyl, emphasising that dismantling international supply chains is key to combating the crisis. US Attorney Dominick S Gerace II of the Southern District of Ohio stated that the Chinese companies knowingly marketed and exported substances designed to enhance fentanyl’s potency, directly fuelling domestic drug distribution.

FBI Director Kash Patel called the operation a landmark international effort against the fentanyl epidemic, noting that authorities had already seized enough fentanyl powder to kill 70 million Americans and enough fentanyl pills to kill another 270,000. He stressed that the charges not only target the manufacturers in mainland China but also expose the financial networks sustaining the illicit trade.

The indictment alleges that Ohio resident Eric Michael Payne purchased multiple kilogram shipments of cutting agents from Chinese suppliers disguised as online pharmacies and chemical companies. These agents, including animal tranquilizers hundreds of times stronger than morphine, were allegedly used to produce more than 150 kilograms of fentanyl mixture. Payne, alongside Auriyon Tresan Rayford of Ohio and Ciandrea Bryne Davis of Atlanta, is accused of laundering more than 60,000 dollars in cryptocurrency to Chinese intermediaries who managed payments and deposits into overseas banks.

The Chinese companies named in the indictment are Guangzhou Tengyue Chemical Company Ltd, Guanghzou Wanjiang Biotechnology Co Ltd, Hebei Hongjun New Material Technology Co Ltd, and Hebei Feilaimi Technology Co Ltd. The network of 22 Chinese nationals allegedly facilitated orders, negotiated payments, and controlled crypto wallets used in the laundering scheme.

In parallel with the indictments, the US Treasury Department has imposed sanctions on Guangzhou Tengyue and two of its representatives, Zhanpeng Huang and Xiaojun Huang, under its counternarcotics authorities.

All defendants face charges of conspiring to distribute 400 grams or more of fentanyl mixture and conspiring to launder money internationally. Additional charges against individual defendants include drug possession with intent to distribute, tampering with evidence, and maintaining drug-related premises.

The case underscores the US government’s escalating efforts to combat the fentanyl epidemic by targeting both domestic distributors and foreign chemical suppliers. If convicted, the defendants face significant penalties for their roles in what prosecutors describe as a sophisticated, international narcotics and financial crime operation.

Read the press release here.