High-Profile Lawyer Disappears Amid Crackdown
Multiple independent sources confirmed to Caixin that the founding partner and managing director of a prominent law firm in Chongqing has recently lost contact and is suspected to have been taken away by relevant authorities for investigation. The lawyer is Peng Jing, head of a local firm.
Analysts note that legal professionals are not typical targets for disciplinary inspections, suggesting Peng's case involves an extensive and intricate network of connections.
Stablecoins Emerge as New Vehicle for Corruption
The case is directly linked to a series of recent high-level official arrests in Chongqing. On March 20, 2026, Mayor Hu Hengua was announced under investigation. On April 17, Luo Lan, a standing committee member of the municipal party committee, was also removed from his post.
Information circulating within Chongqing's political and business circles indicates that both cases involve bribery and money laundering activities utilizing stablecoins. Peng Jing is alleged to have played a central role, reportedly assisting in illicit fund transfers and laundering under the guise of legal fee payments.
$300 Million Financial Network Uncovered
Further details reveal that in the Hu Hengua case, businessman Lin Kechuang transferred 30.8 million USDT stablecoins, valued at approximately $300 million. After Hu's investigation, his associated digital wallet was secured. Authorities traced the flow of funds from six additional wallets held by Lin.
One transfer of 15.5 million USDT, occurring around the time of Hu's case, was directed to Luo Lan according to Lin's account. Luo was detained on April 14, with his residence searched the following day, but the corresponding wallet was not found onsite. It was later recovered from a third-party location.
This case highlights novel methods of corruption leveraging cryptocurrencies, whose anonymity and cross-border nature present new investigative challenges. The probe is ongoing.