For years, Southeast Asia’s online scam industry has operated in plain sight—generating tens of billions of dollars while exploiting hundreds of thousands of trafficked workers. Now, under growing international scrutiny, governments in the region are beginning to push back.
Pressure from media coverage and Southeast Asian governments has pushed Cambodian law enforcement to crack down on scam centers over the past two years. These centers are organized criminal operations that run large-scale online fraud schemes—such as investment scams, romance scams, and phishing—in which workers use fake identities to deceive victims, often targeting people overseas.
Across Cambodia, Myanmar, and Laos, the scam industry is estimated to generate $50–70 billion annually. Cambodia is widely seen as a central hub due to the scale and concentration of these operations. Within the country alone, the industry is estimated to be worth $12.5–19 billion—reportedly exceeding half of its official GDP.
Recent arrests highlight both the cross-border nature of these networks and growing enforcement efforts. In March, more than 300 Vietnamese nationals accused of internet fraud were arrested after being repatriated from Cambodia, where authorities had dismantled a transnational scam ring. According to the United Nations Office on Drugs and Crime, criminal groups across Southeast Asia have used casinos, hotels, and fortified compounds as bases for sophisticated online scams targeting victims worldwide.
Authorities have also begun targeting higher-level figures linked to these operations. In January, Cambodian police arrested businessman Kuong Li, who had been featured in a 2023 investigation by BBC Eye. He was charged with offences including illegal recruitment for exploitation, aggravated fraud, organised crime, and money laundering, and was remanded in custody by a court in Phnom Penh pending further proceedings. The investigation, titled The Pig Butchering Romance Scam, examined alleged human trafficking and fraud within scam compounds, including a site in Sihanoukville reportedly linked to his business interests.
Cambodia is believed to host dozens of scam centers involving an estimated 100,000 to 150,000 people—primarily from China and other parts of Southeast Asia. Many are held in conditions described as prison-like, underscoring the human cost behind the industry.
Recent enforcement actions suggest that sustained pressure is beginning to yield results. Cross-border cooperation, high-profile arrests, and increased media exposure have disrupted some networks and raised the costs of operating such schemes. Financial institutions, which have borne the brunt of these scam operations for years, have witnessed the material harm inflicted on their customers firsthand. While the industry remains vast and deeply entrenched, these developments indicate a shift: what was once a largely unchecked system is now facing meaningful resistance.
A police officer inspects inside a scam compound known as “My Casino” used for fraud operations, which police said was owned by former tycoon and casino owner Ly Kuong, who was arrested on January 15 and charged with illegal recruitment for exploitation, aggravated fraud and links to organised crime, in Kampot province, Cambodia, February 10, 2026.
The Huang Le compound, located in the coastal city of Sihanoukville, consists of a number of multi-storey buildings
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