The military regime has launched a sweeping crackdown on cybercrime hubs along the Thai-Myanmar border, following directives from junta leader Min Aung Hlaing and mounting international pressure, sources told Reuters.
A day after visiting Hpa-An, Min Aung Hlaing instructed army officers to work with the Karen National Army (KNA) to suppress growing online scam operations, which have been linked to human trafficking and generate billions of dollars annually, according to two sources with direct knowledge of the meetings. Reuters reported that the instructions were tied to concerns over the country’s global reputation and fears of U.S. intervention, particularly after the recent announcement of a multi-agency “Scam Center Strike Force” including the FBI and Secret Service.
Myanmar state media said that since operations began, over 180 buildings have been demolished, more than 1,000 foreign nationals detained, and thousands of computers and mobile phones seized in the frontier town of Myawaddy, a known hub for scam operations. KNA spokesperson Naing Maung Zaw told Reuters that the militia led the crackdown and coordinated with the military to streamline operations.
The rise of scam operations in Southeast Asia traces back to loosely regulated casinos and online gambling in the 1990s, expanding sharply during the COVID-19 pandemic. Shwe Kokko, one of the most notorious compounds in Myawaddy, was founded in 2017 by Hong Kong-based Yatai International Holdings Group and the KNA’s precursor, originally marketed as a casino destination. The group has denied involvement in criminal activity, including human trafficking.
International attention escalated after the high-profile abduction of a Chinese actor in Thailand in January, prompting cross-border enforcement efforts. Last week, Thailand extradited gambling kingpin She Zhijiang, formerly associated with Shwe Kokko, to China. Analysts told Reuters that coordinated pressure from the U.S. and China has pushed Myanmar’s military and the KNA to act decisively, recognizing the global security threat posed by these scam networks.
As Myanmar’s junta positions itself to enforce stricter oversight ahead of the December elections, experts warn that international scrutiny and cross-border cooperation may continue to reshape the region’s cybercrime landscape.
