US Cyberscam Crackdown May End Cambodian Honeymoon<\/p>\n
But US crackdown in Myanmar, Cambodia insufficient, say analysts<\/p>\n
By: Toh Han Shih<\/p>\n
The United States may well have decided that cultivating ties with\nCambodia, whose top leaders have been connected to massive cybercrime\noperations mostly run by Chinese gangsters, may not have been worth it\nbecause of the cost to US and other citizens of the world from the scam\ncenters, online investment fraud rings in which victims are cultivated\nlike fattened pigs for slaughter, then deceived into depositing funds\ninto fraudulent investment platforms.<\/p>\n
The US blitz may well have dented attempts earlier this year by\nofficials including US War Secretary Pete Hegseth to cozy up to\nCambodian Prime Minister Hun Manet, a son of longtime strongman Hun Sen\namid a flailing Cambodian economy, renewed Thai border tensions and a\nprolonged downturn in real estate. Washington has responded to a move\nfor friendly ties by Hun Manet, reported Asia Sentinel on January 19, in\na bid to blunt Chinese interests in Southeast Asia. Cambodia is perhaps\nChina\u2019s closest friend in ASEAN.<\/p>\n
\u201cGeopolitical consideration, especially vis-a-vis China, which has a\nlarger-than-life presence in Cambodia, was certainly at the back of the\nAmerican authorities\u2019 minds, but ultimately they must have felt that the\nsheer gravity of the harms \u2013 ranging from financial frauds to modern\nslavery \u2013 outweighed coddling Hun Sen\u2019s cronies to pry him and them away\nfrom China\u2019s sphere of influence,\u201d said a Malaysian analyst who asked to\nremain nameless.<\/p>\n
At the same time, however, the US offensive against scam operations\nin Myanmar and Cambodia, may not be extensive enough to stem the growth\nof the scam centers, analysts say.<\/p>\n
\u201cThe US is using standard law enforcement procedures for criminal\nactivities that require a much more creative approach. Taking out top\nleaders won\u2019t solve this problem, more junior members step in to take\ncontrol,\u201d Mark Farmaner, director of Burma Campaign UK, told Asia\nSentinel. \u201cScam centers proliferate in areas controlled by armed groups\nthat have traditionally been allied with the Myanmar military. More\nsupport should be given to ethnic administrations in border areas which\nare trying to stamp out these centers.\u201d<\/p>\n
Myanmar is blacklisted by the FATF, the Paris-based financial action\ntask force, because of the risk of money laundering and lack of\nfinancial controls, he added. \u201cMore should be done to investigate if it\nhow the banking sector in Myanmar is being used to launder scam center\nmoney.\u201d<\/p>\n
On April 23, the US Department of Justice announced a series of\nactions by the Scam Center Strike Force against the compounds, which\nhave defrauded Americans of billions of US dollars. The actions include\ncriminal charges against two Chinese nationals who managed a Myanmar\ncryptocurrency investment fraud compound and attempted to open another\nin Cambodia, the seizure of a Telegram messaging app channel used to\nrecruit human trafficking in Cambodia to impersonate as US cops, and\nrestrictions on over US$700 million in cryptocurrency alleged to be tied\nto money laundering from cryptocurrency scams. Huang Xingshan, also\nknown as \u201cAh Zhe\u201d and \u201cHuang Xing Saan,\u201d and Jiang Wen Jie, also known\nas \u201cJiang Nan,\u201d managed cryptocurrency investment fraud operations at\nthe Shunda compound in Min Let Pan, Myanmar.<\/p>\n
\u201cDespite ongoing efforts to combat them, scam centers remain highly\nprofitable, leading to the emergence of alternative centers that\ncontinue these illegal activities. This shift complicates efforts to\napprehend these criminals. It resembles the game Whack-A-Mole; these\ncenters pop up, get shut down, and then reappear elsewhere,\u201d said\nMatthew Friedman, chief executive officer (CEO) of the Mekong Club.<\/p>\n
\u201cThat is very likely as this sort of scam centers and will pop up\nubiquitously across those parts of Southeast Asia and perhaps even some\nother parts of the world where local law enforcement is at best cursory\nand at worst in collusion with the scam perpetrators,\u201d said the\nMalaysian analyst. He pointed out that scam centers alternated between\nMyanmar and Cambodia.<\/p>\n
The Shunda compound operated from at least January to November 2025,\nwhen it was seized by the Karen National Liberation Army of Burma,\naccording to the US Justice Department\u2019s announcement. After it was\nseized, Huang and Jiang relocated to another scam compound in Cambodia\nwhere they attempted to continue their operations, the US Justice\nDepartment announcement said. In early 2026, Huang and Jiang decided to\nreturn to Burma via Thailand, the US Justice Department added, and were\narrested on immigration charges by Thai law enforcement in early\n2026.<\/p>\n
There is also evidence, recently reported by the Organized Crime and\nCorruption Reporting Project, that the notorious scam company Prince\nGroup, shut down in Cambodia earlier this year, may be moving some\noperations to East Timor.<\/p>\n
Geopolitical contest in Cambodia<\/p>\n
On April 23, the US Department of the Treasury\u2019s Office of Foreign\nAssets Control (OFAC) sanctioned a well-connected Cambodian Senator, Kok\nAn, who allegedly controls scam compounds throughout the country, as\nwell as 28 individuals and companies in his network.<\/p>\n
\u201cUS sanctions against Cambodian Senator Kok An, a close ally of\nformer Prime Minister Hun Sen, go beyond just addressing cybercrime,\u201d\nsaid Friedman. \u201cThey directly challenge the involvement of the ruling\nelite in transnational illicit activities. By targeting this inner\ncircle, the US aims to reduce the influence of Chinese-linked criminal\nnetworks in Southeast Asia, support regional human rights efforts, and\nsafeguard US national security.\u201d<\/p>\n
The sanctioned companies include two of Kok An\u2019s Cambodian companies,\nCrown Resorts and Anco Brothers. Kok An\u2019s hospitality company, Crown\nResorts, owns casinos, resorts and other buildings in Poipet,\nSihanoukville, Bavet, and other Cambodian cities been converted into\ncompounds from which criminal organizations conduct digital asset\ninvestment frau<\/p>", "url": "https:\/\/jawawa.id\/newsitem\/us-cyberscam-crackdown-may-end-cambodian-honeymoon-1777530551", "image": "" }, "sponsor": "Okusi Associates", "sponsor_url": "https:\/\/okusiassociates.com" }