Last month, the Cambodian government launched the largest crackdown to date on the online scam industry that has taken root in the country and operated largely in the open.
Authors
- Ivan Franceschini
Lecturer, Chinese Studies, The University of Melbourne
- Ling Li
PhD Candidate in Technology Facilitated Modern Slavery, Ca' Foscari University of Venice
On July 16, a directive from Prime Minister Hun Manet acknowledged the growing threat posed by the industry and instructed provincial officials, law enforcement agencies, the courts and the national gambling commission to take action.
As police began raiding scam sites across the country, Telegram channels used by cyber criminals went into a frenzy, warning others of the seriousness of the crackdown.
Some posts claimed the police were setting up roadblocks across the country, detaining people without passports and demanding bribes for their release. Videos also circulated showing mass evacuations from compounds.
The government was soon trumpeting its success . In late July, it announced that raids had been conducted at nearly 140 locations, leading to the arrests of more than 3,000 suspects from at least 19 countries, more than half of them from China and Vietnam.
Significantly, the authorities said very few of these "suspects" had been held against their will. However, we know from our research, previously published in The Conversation, that thousands of people have been trafficked or duped into these compounds and forced to work in conditions akin to modern slavery.
The crackdown was met with praise from China and other countries . Many of these governments have been struggling with the consequences of the scam industry, whether through the trafficking of their citizens to Cambodia or scammers targeting victims in their countries.
However, despite the scale of the operation - and the government's pledge to "get rid" of scam syndicates in Cambodia - there is widespread scepticism these efforts will be enough to dismantle the industry.
Simmering border tensions
The crackdown last month coincided with a brief conflict between Thailand and Cambodia that displaced more than 300,000 people.
Analysts have pointed to long-simmering tensions over the countries' border and rising tensions over the death of a Cambodian soldier in a skirmish in May as the reason for the hostilities.
However, Thailand has attributed the conflict to its own crackdown on Cambodian scam operations.
Earlier this year, Thailand cut power and internet service to the border scam hotspot of Poipet City.
Then, in early July, Thailand took the unprecedented step of going after a powerful Cambodian senator and tycoon known to own large properties in Poipet that Thai authorities allege are connected to online scam operations.
Thailand's criminal court issued an arrest warrant for the senator and raided his properties in Thailand. The authorities also targeted his children and their Thai assets.
In response, a Cambodian official accused Thailand of long being a "central hub for transnational crimes" in Southeast Asia and "shifting blame" for the problem to Cambodia.
A spokesperson for Cambodia's Senate also said the case against the senator was exaggerated and false, calling it an act of " revenge ". The senator himself did not respond to attempts by Cambodian media to reach him.
Although Thailand has ramped up efforts to tackle the scam industry in recent years, its leaders are likely using the issue to bolster public support at home, while bloodying the noses of Cambodian elites they allege are profiting from the industry.
Large operations continue to operate
Amid this war of words, Cambodian authorities insist the crackdown on the industry will continue.
To Cambodia's credit, this latest campaign was national in scope, unlike previous crackdowns that were mostly confined to the coastal city of Sihanoukville, a major scamming hub.
Still, familiar patterns quickly began to surface. As in the past, the authorities have focused on small to mid-sized operations, while the largest operators seem to have been left untouched.
In many cases, these major compounds were reportedly tipped off in advance and evacuated. A significant number of scammers have since relocated to large compounds close to the Vietnam border, which seem to be operating without interference.
Indeed, one of us (Ling) joined a rescue team in early August trying to reach a Chinese man who claimed to have been trafficked into a compound hidden deep in the hills of Mondulkiri Province near the border.
The man couldn't pinpoint his exact location, but through messages with the rescue organisation over several months, the team was able to gradually determine where he was being held - and the scale of the scamming enterprise.
Weeks after the crackdown, Ling joined the team on a field visit to assess the situation. From the hilltops at night, they saw lights flickering across the slopes coming from what appeared to be several buildings surrounded by sparse jungle.
With only one exposed access road to the site, the team couldn't get close without being detected. But there was no doubt the compound was active and bustling, as were several others in the area that Ling observed on her trip.
The Chinese man was still inside at that time, but since then, there has been no word from him.
What needs to be done
Crackdowns on scam compounds have failed in the past because they don't address the two fundamental pillars that allow the industry to flourish. One is the powerful local networks that protect scam operators. The other is the sophisticated physical infrastructure of the compounds.
As long as the elites who provide scam operators with cover remain untouched and the compounds remain intact, scammers can quickly get back to work when the pressure subsides.
Periodic crackdowns may shake things up temporarily, but the people being arrested tend to be low-level workers, not those at the top.
Once these campaigns are over, scamming activities simply restart. Operators may go quiet until the storm passes or move to safer locations. Confiscated equipment can be replaced, as can the workers.
The cycle can only be broken by longer-term measures to tackle the structural and systemic issues that prop up the industry in these countries, such as corruption and weak law enforcement.
Given the transnational nature of the industry and complicity of the authorities and elites in host countries, it also requires a more determined effort from global governments, law enforcement, and the finance and tech companies whose products and services are exploited by scam operators.
Independent researcher Mark Bo contributed to this report.
The authors do not work for, consult, own shares in or receive funding from any company or organisation that would benefit from this article, and have disclosed no relevant affiliations beyond their academic appointment.
