Following claims Global Capital AG had approval of the Cambodian government to run a Ponzi scheme, Cambodian authorities have arrested co-founder Darren Yaw and his wife.

Guardian Capital AG represented Cambodian government approval, by posting a photo of Prime Minister Hun Sen on its website.

According to Guardian Capital AG, Sen personally supported the company and would be present at a May 20th ribbon cutting ceremony.

This prompted the Prime Minister to issue a formal statement denying the claims.

As quoted by the Khmer Times, Prime Minister Hun Sen stated;

As the Prime Minister of the Kingdom of Cambodia, I deny the information posted on the company’s website.

I request all relevant authorities to monitor and investigate the offender and punish them in accordance with the law.

To citizens and businesspeople, inside and outside Cambodia, I ask to be very careful about purchasing unauthorised digital coins that claim to have the backing of the Cambodian government.

Guardian Capital AG also claimed to have backing from the National Bank of Cambodia and Bank of China.

Both firms have denied any links.

The Cambodian crackdown comes less than a month after Indonesian authorities declared Guardian Capital AG an illegal business.

As per the Commodity Futures Trading Regulatory Agency, Guardian Capital AG is not authorized to operate in Indonesia.

Two weeks prior to the ban co-founder Darren Yaw claimed GCG Asia had been ‘highly praised by the Indonesian government and was fully supported and encouraged.

Guardian Capital AG is based out of Malaysia, but is also not registered to offer securities there either.

To date however Malaysian authorities have not taken any action against the company.

BehindMLM reviewed Guardian Capital AG back in April.

Based on its business model, we concluded Guardian Capital AG was a typical MLM trading Ponzi scheme.

Since her arrest, Darren Yaw’s wife has been released on bail but is unable to leave the country. Yaw remains in custody.

In the wake of Yaw’s arrest, Guardian Capital AG’s various websites appear to have been pulled offline.