031G โ€” The AFRINIC Extraction

How a Seychelles Shell Company Captured 16 Million African IP Addresses โ€” and Weaponized the Courts to Keep Them

Executive Summary

Cloud Innovation Ltd โ€” a Seychelles-registered entity connected to Lu Heng โ€” obtained allocation 45.192.0.0/12 from AFRINIC (Africa's Regional Internet Registry). This single allocation represents 16,777,216 IP addresses. Zero traffic routes to Africa. The entire space is monetized through LARUS Limited (Hong Kong) and sub-delegated to at least 23 downstream operators including Yisu Cloud, UCloud, CognetCloud, and others documented across this series. When AFRINIC attempted to reclaim the resources, Cloud Innovation launched 25+ lawsuits in Mauritius, filed for a court receiver to control AFRINIC itself, and organized a powers-of-attorney campaign to capture member votes.

This is not a cybersecurity story. This is institutional capture โ€” the weaponization of legal systems to extract and retain control over Internet commons resources while running attack infrastructure at industrial scale.

16.7M
IPs Allocated
0
Route to Africa
23
Downstream Operators
25+
Mauritius Lawsuits

The Allocation: 45.192.0.0/12

Registry: AFRINIC (African Network Information Centre)

Holder: Cloud Innovation Ltd

Address: Suite 202, Eden Plaza, Eden Island, Seychelles

Technical Manager: LARUS-SERVICE-MNT (LARUS Limited, Hong Kong)

Range: 45.192.0.0 โ€“ 45.207.255.255

Size: /12 = 16,777,216 addresses

African routing: Zero

To understand the scale: Seychelles has approximately 100,000 residents. Cloud Innovation holds 167 IPs per Seychelles citizen. Multiple African nations โ€” nations within AFRINIC's actual service region โ€” have fewer total allocated addresses than this single Seychelles shell company obtained from their regional registry.

AFRINIC's purpose is to manage IP resources for the African continent. Its need-based allocation policy requires demonstrable African network presence. How a Seychelles entity with zero African routing obtained a /12 is itself a governance failure โ€” but what happened next was unprecedented.

The Network: How 16M IPs Become Attack Infrastructure

In our threat intelligence database, we track 43 IPs with rdap_org = "Cloud Innovation Support". These 43 IPs are delegated to 23 different downstream operators:

Downstream OperatorIPsAvg ThreatAttacksRegistration
YISU CLOUD LTD1637160Hong Kong
FASTNET DATA INC24431United States
UCLOUD INFORMATION TECHNOLOGY2604Hong Kong
CognetCloud INC4281United States
Scloud Pte Ltd18135Singapore
Antbox Networks Limited1510Hong Kong
Hytron Network Services1510Hong Kong
Hong Kong Zhengxing Technology1552Hong Kong
CNSERVERS LLC1694United States
13 additional operators13โ€”โ€”Various

The Convergence Point

Every provider investigated in this series appears as a downstream consumer of Cloud Innovation IP space:

  • Yisu Cloud (031C) โ€” 16 IPs from Cloud Innovation allocation
  • UCloud (031D) โ€” 2 IPs with rdap_org = "Cloud Innovation Support"
  • CognetCloud (031B context) โ€” 4 IPs across two ASNs
  • Scloud / Antbox / Hytron โ€” documented Yisu Cloud affiliates

Cloud Innovation is not one provider among many. It is the IP address source โ€” the quarry from which the stone is cut.

The Litigation: Weaponizing Courts Against Internet Governance

In 2020, AFRINIC detected that Cloud Innovation's allocated resources were not being used in accordance with African regional policy. The sequence that followed:

DateEventSignificance
2004โ€“2019Allocations made to Cloud Innovation/NRSResources accumulated over 15 years
2020AFRINIC detects policy non-complianceZero African routing identified
March 2021Cloud Innovation initiates legal proceedingsPreemptive litigation in Mauritius
July 2021AFRINIC terminates RSA/resource membershipFormal resource reclamation attempt
2021โ€“202325+ Mauritius cases, 2 Seychelles casesLitigation overwhelm strategy
2023Application for court receiver over AFRINICAttempt to control the registry itself
2023โ€“2024Powers of attorney campaignCapture member votes for governance control
2026ICANN interventionGlobal internet governance body forced to act

AFRINIC's own FAQ states: Cloud Innovation initiated proceedings in March 2021. AFRINIC terminated its Resource Services Agreement and resource membership in July 2021. Cloud Innovation entered "over 25" Mauritius cases and 2 Seychelles cases. Associated entities include LARUS, Africa-on-Cloud, and Crystal Web.

Source: afrinic.net/litigation-faq

The Strategy: How Institutional Capture Works

Cloud Innovation's approach is not merely litigation. It is a multi-vector institutional capture strategy:

1. Litigation Overwhelm

25+ lawsuits in Mauritius (AFRINIC's host country) create prohibitive legal costs. AFRINIC โ€” a non-profit managing African Internet resources โ€” must fund defense across dozens of proceedings simultaneously. The legal fees alone threaten organizational viability.

2. Jurisdictional Arbitrage

Cloud Innovation is Seychelles-registered. AFRINIC is Mauritius-based. The IP resources route through Hong Kong (LARUS). No single jurisdiction has authority over all parties. Each court sees only a fragment of the full structure.

3. Governance Capture

The powers-of-attorney campaign sought to accumulate enough member votes to control AFRINIC's board โ€” effectively capturing the regulatory body that governs African IP resources. If successful, Cloud Innovation would have controlled both the resources and the body authorized to reclaim them.

4. Receiver Application

Filing for a court-appointed receiver over AFRINIC would place the entire African Internet registry under judicial control โ€” initiated by the entity whose resources were terminated for policy violation. The plaintiff becomes the administrator of the organization that sanctioned them.

The Structural Innovation

Traditional resource theft requires hacking or fraud. Cloud Innovation's approach requires none of these. It requires only:

  • Sufficient capital for sustained litigation in a developing country's courts
  • Shell entities in jurisdictions outside the RIR's authority
  • Technical knowledge of RIR governance vulnerabilities
  • Willingness to weaponize legal systems designed to protect due process

The courts designed to protect rights are turned into weapons against the institution responsible for African Internet development.

The Person: Lu Heng

Documented sources (EverybodyWiki, BTW Media) connect Lu Heng to Cloud Innovation Limited. Cloud Innovation's own website describes partnership with LARUS Limited, established 2013. Lu Heng appears in context of AFRINIC elections and governance controversies.

Confidence: MEDIUM. Direct beneficial ownership documentation has not been independently verified. However, the operational chain (Lu Heng โ†’ Cloud Innovation โ†’ LARUS โ†’ downstream operators) is consistently documented across multiple sources.

The Downstream Impact: Our Honeypot Evidence

Of the 43 Cloud Innovation IPs in our database:

22
Abuse Score 100
282
Honeypot Attacks
8
Countries Claimed
0
African Routing

The top attacker โ€” 154.209.4.195 โ€” has threat score 100, abuse score 100, 64 honeypot hits. Its RDAP says "Cloud Innovation Support." Its BGP routing says "YISU CLOUD LTD, HK." Its geolocation says "Hong Kong." Its AFRINIC allocation says "African regional resource."

This is the extraction made material: African Internet resources, allocated for African development, routed through Hong Kong, monetized by Chinese operators, generating attack traffic against global targets, with zero benefit to Africa.

The Systemic Question

AFRINIC's five Regional Internet Registries (RIRs) manage the global allocation of IP addresses as a public trust. The principle: resources are allocated based on demonstrated need within the region, and may be reclaimed if policy compliance fails.

Cloud Innovation tested whether this principle survives contact with determined, well-funded litigation in a small-island jurisdiction. The answer โ€” requiring 5 years, 25+ court cases, and ICANN intervention โ€” is: barely.

The deeper question: if one entity can capture 16 million African IP addresses through legal maneuvering, what prevents the same strategy at other RIRs? APNIC, RIPE, ARIN, and LACNIC each face the same vulnerability โ€” their governance mechanisms were designed for good-faith participants.

Methodology

Analysis combines: (1) AFRINIC WHOIS/RDAP records for 45.192.0.0/12 allocation, (2) LSN threat intelligence database showing 43 tracked IPs across 23 downstream operators, (3) AFRINIC's published litigation FAQ, (4) Prior investigations TI-2026-028 and TI-019M documenting full corporate structure, (5) Published sources (EverybodyWiki, BTW Media) for Lu Heng connection. Timeline reconstruction from AFRINIC official communications. Attack data from Cowrie honeypot operated by the author.

โš  Personal capacity. Research published independently โ€” not reflecting employer views. Derived from passive observation of attacks against personal infrastructure. Full disclaimer โ†’
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