Transnational organized crime syndicates from East and Southeast Asia are expanding their operations worldwide, setting up scams worth nearly €35 billion annually, according to a new report from the United Nations.
The report reveals that scam operations have flourished in Southeast Asia, particularly in the border areas of Cambodia, Laos, Myanmar, and the Philippines. These operations, which involve shifting locations to evade authorities, have been stealing billions of dollars from victims through deceptive romantic schemes, fraudulent investment offers, and illegal gambling platforms.
As international crackdowns on these operations intensify, Asian crime groups are increasingly targeting regions with weak law enforcement, including Africa and Latin America. The report, issued by the UN Office on Drugs and Crime (UNDOC), highlights the growing reach of these scams. “This reflects both a natural expansion as the industry grows and seeks new ways and places to do business, but also a hedging against future risks should disruption continue and intensify in Southeast Asia,” said Benedikt Hofmann, UNODC’s acting regional representative for Southeast Asia and the Pacific.
According to the UN, hundreds of large-scale scam centres are responsible for generating nearly $40 billion (€35 billion) in annual profits.
The trend of expanding operations outside of Southeast Asia has coincided with reports of increasing crackdowns. These raids have targeted scam centres operating in Africa, South Asia, the Middle East, and the Pacific Islands, with authorities uncovering related money laundering, people trafficking, and recruitment activities in Europe, North America, and South America.
In Africa, Nigeria has become a major hotspot, with recent police raids leading to multiple arrests, including East and Southeast Asian nationals involved in cryptocurrency and romance scams. Zambia and Angola have also uncovered cyberfraud operations linked to Asian crime syndicates.
The report also highlights Brazil’s growing issues with cyber-enabled fraud and online gambling, linked to Southeast Asian criminal networks. In Latin America, it notes that in late 2023, over 40 Malaysians were rescued in Peru after being trafficked by the Red Dragon syndicate, a Taiwan-based gang that forced them to participate in cybercrime.
Additionally, the report points to ongoing crackdowns in the Middle East and various Pacific islands, where Asian-led scam operations continue to spread.
