Recent law enforcement actions targeting one of Myanmar”s prominent internet scam hubs have ignited a wave of recruitment as fleeing workers seek new opportunities at nearby fraudulent operations, experts and insiders informed AFP.
Scam operations have proliferated across Southeast Asia, extracting billions of dollars from unsuspecting individuals each year through sophisticated romance and cryptocurrency scams. A significant number of workers are trafficked into these internet sweatshops, according to analysts, while others voluntarily join in pursuit of lucrative salaries.
In late October, raids disrupted activities at the notorious KK Park, resulting in the flight of over 1,500 individuals across the border into Thailand. However, many chose to remain in Myanmar, drawn by new prospects within the underground economy.
A Chinese scam worker who moved to another location three kilometers away from KK Park on October 23 reported that a few hundred individuals from the raid had arrived, attracted by monthly salaries reaching as high as $1,400. Speaking on the condition of anonymity, he shared a live location on a messaging app that confirmed his presence near the Thai border. “Some people will be picked up by unscrupulous bosses, while others will be picked up by good companies,” he noted. “It all depends on your luck.”
Jason Tower, a senior expert at the Global Initiative against Transnational Organized Crime, remarked that many of those who fled KK Park have likely been “re-recruited” by rival gangs. “Some individuals are looking for a new place to continue their scamming operations,” he stated. “They might see this as a job.”
The complexity of the scam operations, combined with a lack of transparency in cryptocurrency transactions and the reluctance of victims to report their losses, has made it challenging to accurately assess the financial impact of these schemes. Nevertheless, a UN report estimated that victims in Southeast and East Asia were defrauded of up to $37 billion in 2023, with total global losses likely being significantly higher.
The instability in Myanmar”s border regions has created an environment conducive to the growth of these scam hubs. The military junta, which took control in a 2021 coup, has faced criticism for allegedly ignoring the activities of scam centers that enrich militia allies. However, the junta has encountered pressure from its international supporter, China, which is concerned about these hubs both recruiting and targeting its citizens.
In response to the situation, the junta announced that its forces had occupied numerous buildings within KK Park, detaining over 2,000 individuals linked to scam operations. Analysts suggest that the raid may have been a limited and carefully orchestrated effort to alleviate international criticism without significantly disrupting the profitability of these operations.
The mass exodus included individuals from 28 different nationalities, with around 500 being Indian nationals and approximately 200 from the Philippines. Authorities now face the challenge of distinguishing between victims of trafficking and those who willingly engaged in scamming.
A Filipino man, who fled KK Park alongside about 30 others on October 22, recounted the chaos as a pro-junta militia arrived to assist in the crackdown. “Everyone ran outside,” he said. “This was our chance to escape.” Grabbing only a few belongings, he managed to cross into Thailand by boat.
Estimates suggest that around 20,000 individuals were working at KK Park, predominantly Chinese nationals. Those who fled may represent less than 10 percent of the total workforce. However, the situation for those who remain is complex. Following the KK Park raids, a Chinese scam worker at a nearby site relayed to AFP that local armed groups were eager to capitalize on the situation, with unemployed scammers reportedly being “sold” to other operations for significant sums.
It remains uncertain whether these individuals are willing participants seeking new positions or victims of human trafficking. The scam worker indicated that he had heard “booms every evening” post-raids, but dismissed the sounds as “all for show,” doubting any serious intentions from Myanmar authorities to crack down on these operations.
With the continuous influx of scam workers, whether voluntary or coerced, advocates for human rights assert that the root of the problem lies with the Chinese leaders orchestrating these scams. Jay Kritiya from the Civil Society Network for Human Trafficking Victims Assistance stated, “(They) must be arrested, prosecuted, and have all their assets seized. That”s the real crackdown.”
