CHARLOTTE, N.C. — This is an official press release from the U.S. Department of Justice (USAO - North Carolina, Western), published as received.
CHARLOTTE, N.C. – Two Chinese nationals and a New York woman, all members of a prolific Chinese money laundering organization (CMLO), pleaded guilty today to money laundering charges involving drug trafficking proceeds, announced Russ Ferguson, U.S. Attorney for the Western District of North Carolina. They are the last of six total defendants charged in the indictment to plead guilty.
According to court documents, Enhua Fang, 38, and Jianfei Lu, 30, both of China, and Shu Jun Zhen, 36, of Staten Island, New York, were members of the CMLO that laundered over $92 million in illicit funds, including proceeds from the importation and distribution of illegal drugs into the United States, primarily through Mexico.
According to court documents, Fang was an organizer within the CMLO who directed a group of couriers to pick up bulk cash proceeds from unlawful activities, including narcotics trafficking, from individuals throughout the United States. The couriers then deposited these illicit funds, which generally exceeded $10,000, into shell company bank accounts controlled by the CMLO in order to conceal the nature of the illicit funds. Fang used multiple cellphones, changing phone numbers regularly, and several encrypted messaging applications to communicate with the CMLO’s foreign-based operatives and U.S.-based drug traffickers. Pursuant to her plea agreement, Fang admitted that she was personally responsible for laundering at least $90 million of illicit funds in less than two years. Fang further admitted that she knew funds laundered in the conspiracy included drug trafficking proceeds or funds intended to promote drug trafficking.
According to court documents, Lu collected drug trafficking proceeds from U.S.-based drug traffickers and deposited those illicit funds, using both real and fake identities, into shell company bank accounts registered by other members of the CMLO. Lu also served as a manager for the CMLO: he coordinated bulk cash pickups and deposits while Fang was in China and procured fake driver’s licenses for the CMLO’s couriers, which were used to deposit illicit funds at major U.S. banks. Pursuant to his plea agreement, Lu admitted that he had actual knowledge and involvement in the laundering of between $25 million and $65 million in illicit funds. Lu further admitted that he knew funds laundered in the conspiracy included drug trafficking proceeds.
According to court documents, Zhen, at Fang’s and Lu’s direction, picked up and deposited — using both her real and fake identities — nearly $25 million of illicit bulk cash, including drug trafficking proceeds. Pursuant to her plea agreement, Zhen admitted that she knew funds laundered in the conspiracy included drug trafficking proceeds or funds intended to promote drug trafficking.
Fang and Zhen each pleaded guilty to one count of money laundering conspiracy, one count of money laundering to conceal the nature, location, source, ownership, and control of the illicit proceeds, and one count of monetary transaction involving criminally derived property greater than $10,000. Lu pleaded guilty to one count of money laundering conspiracy, two counts of money laundering to conceal the nature, location, source, ownership, and control of the illicit proceeds, and two counts of monetary transaction involving criminally derived property greater than $10,000.
The defendants face a maximum penalty of 20 years in prison on each of the conspiracy and money laundering counts and a maximum of 10 years in prison on each of the monetary transaction counts. A federal district court judge will determine their respective sentences after considering the U.S. Sentencing Guidelines and other statutory factors.
All members of the CMLO charged to date have pleaded guilty, including the three who pleaded guilty on April 30, 2025; as a result, this particularly prolific cell within the CMLO has been completely dismantled.
U.S. Attorney Ferguson is joined in making the announcement by Matthew R. Galeotti, Head of the Justice Department’s Criminal Division, Acting Special Agent in Charge Jae W. Chung of the Drug Enforcement Administration (DEA) Atlanta Division, and Special Agent in Charge Donald “Trey” Eakins, IRS Criminal Investigation, Charlotte Field Office.
The DEA Charlotte District Office and the IRS-CI Charlotte Field Office are investigating the case.
Assistant U.S. Attorney Alfredo De La Rosa for the Western District of North Carolina, Acting Assistant Deputy Chief Mingda Hang, Acting Deputy Chief Melanie Alsworth, and Trial Attorney Jayce Born of the Criminal Division’s Narcotic and Dangerous Drug Section are prosecuting the case.
This case is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations, and protect our communities from the perpetrators of violent crime. Operation Take Back America streamlines efforts and resources from the Department’s Organized Crime Drug Enforcement Task Forces and Project Safe Neighborhoods.
