The criminal networks that have emerged in Southeast Asia in recent years, setting up extensive compounds housing tens of thousands of workers, many of whom are trafficked and coerced into scamming victims worldwide, have now developed into a highly sophisticated global industry, according to a report by the United Nations Office on Drugs and Crime (UNODC).

The Asian crime syndicates responsible for the multibillion-dollar cyber scam industry are expanding their operations globally, including to regions such as South America and Africa. Despite efforts to crack down on these activities in Southeast Asia, the UNODC has noted that the syndicates have managed to move their operations both within and beyond the region, citing a “potentially irreversible spillover” that has enabled criminal groups to operate freely across borders.

As John Wojcik, a regional analyst for UNODC, pointed out, the problem is akin to a cancer that spreads relentlessly. Even as authorities focus on tackling the issue in one area, the roots of the criminal networks persist and migrate to other locations. The UNODC estimates that there are hundreds of large-scale scam farms worldwide, generating billions of dollars in annual profits, and called for coordinated efforts among countries to disrupt the financing of these criminal gangs.

The UNODC emphasized that the regional cyber fraud industry has surpassed other transnational crimes due to its scalability and ability to target millions of potential victims online without the need to physically transport illicit goods across borders. In the United States alone, losses to cryptocurrency scams amounted to over $5.6 billion in 2023, with a significant portion attributed to scams targeting vulnerable individuals such as the elderly.

Authorities in countries like China, Thailand, and Myanmar have ramped up efforts to crack down on scam operations, particularly in lawless border areas. Thailand, for instance, has taken measures such as cutting off power, fuel, and internet supply to locations housing scam compounds. However, the syndicates have proven to be resilient, adapting their operations to exploit vulnerable regions with weak governance and high levels of corruption, such as Laos, Myanmar, and Cambodia.

The UNODC noted that raids in Cambodia have led to the expansion of scam operations in more remote areas, including the country’s western Koh Kong province and border regions with Thailand and Vietnam. Additionally, new sites continue to be developed in Myanmar, a country grappling with an escalating conflict since a military takeover four years ago.

In a concerning development, the UNODC revealed that criminal syndicates have expanded their operations to South America and Africa, forging partnerships with drug cartels for money laundering and underground banking. They have also established a presence in Eastern Europe, including countries like Georgia.

Furthermore, these syndicates have diversified their workforce by recruiting individuals from a wide range of nationalities, reflecting the global reach of their scam operations and their efforts to evade anti-trafficking measures. The recent crackdowns along the Thai-Myanmar border resulted in the rescue of citizens from over 50 countries, highlighting the transnational nature of the problem.

The UNODC warned that the international community is at a critical juncture and must take decisive action to address the growing threat posed by these crime syndicates. Failure to confront the issue could have far-reaching consequences not only for Southeast Asia but also for the global community at large.

Source link