Online fraud factories are today one of the most worrying criminal phenomena in the Southeast Asia region.
These centers, located in border areas where state control is virtually non-existent, exploit thousands of people and fuel digital scams on a global scale.
Their growth has been explosive, particularly in areas of Myanmar, Laos, and Cambodia, where entire complexes have been designed to house sophisticated fraud structures.
Investigation into Online Fraud Factories in Southeast Asia
1. Origins of Online Fraud in Southeast Asia
Origins of Online Fraud in the Region
The first fraud-related infrastructures appeared between 2019 and 2021. Initially, they presented themselves as simple special economic zones, but their interiors were dedicated to illegal activities.
The 2021 military coup in Myanmar marked a turning point. The collapse of institutions, the proliferation of armed groups, and the absence of state control created an ideal environment for criminal organizations.
It was in this chaos that the first major digital fraud complexes were built, which would quickly evolve into veritable cities managed by militias.
2. Financial and Crypto Scams
Financial and Crypto Scams
The fraud factories specialize in several types of scams. The most common are pig butchering scams, fake crypto trading platforms, illegal casinos, fake automated investment apps, and manipulation via instant messaging.
Each center operates like a business. It has its departments, supervisors, and scripts designed to maximize profits.
Recruitment scams
To attract workers, the centers use very attractive job offers. The ads promise a high salary and ideal conditions in countries like Thailand, Malaysia, or the United Arab Emirates. Once there, people are locked up, deprived of their identity documents, and forced to work.
3. The Organization of Criminal Parks
KK Park, Global Symbol of Fraud
One of the most well-known complexes is KK Park. Located in Myawaddy in Kayin State, on the border between Thailand and Myanmar, it quickly became the symbol of this industry.
Its construction began around 2019 and accelerated after 2021. The site transformed into a massive complex consisting of dormitories, offices, illegal casinos, technological infrastructure, and armed security zones.
Structured and Autonomous Networks
KK Park is not an isolated case. Similar centers are developing in Shwe Kokko, in the Golden Triangle Special Economic Zone in Laos, and in certain areas of Sihanoukville in Cambodia.
Between 2021 and 2025, the proliferation was spectacular. Authorities estimate that these complexes exploit between 50,000 and 100,000 people and generate immense profits for criminal groups.
KK Park (2020)
KK Park (2025)
4. The Victims of These Factories
The Dual Nature of the Victims
The victims are on two levels:
- The first are internet users from around the world who fall for the crypto scams and psychological manipulations orchestrated from these centers.
- The second are the workers held by force in the complexes. These people are trapped, exploited, and deprived of all freedom.
The Most Affected Nationalities
The forced victims come from a wide variety of regions.
We find people from China, India, Vietnam, the Philippines, Thailand, Malaysia, but also from Africa with victims from Nigeria, Ghana, Kenya, and Uganda.
Others come from Nepal, Pakistan, Hong Kong, or Taiwan.
Many were lured by fake job offers before finding themselves locked up in the complexes.
Living Conditions and Escape Attempts
Testimonies speak of physical violence, sales between centers, ransom extortions, and constant surveillance.
Between 2024 and 2025, several hundred people managed to escape from KK Park by crossing the Thai border, often at the risk of their lives.
5. The Role of Chinese Organized Crime
A Structured Domination
A large part of these centers is controlled by Chinese organized crime. These financial and criminal groups play a central role in managing the complexes, local corruption, land purchases, team training, and money laundering.
They also import fraud models used in China before the crackdown on these activities in their own territory.
A Hierarchy that Excludes Non-Chinese
Although Chinese nationals are sometimes victims of these centers, management positions are systematically reserved for Chinese leaders considered reliable by the organizations.
African and South Asian workers generally occupy the most dangerous or precarious positions.
This selection creates a form of permanent discrimination that entirely structures the operation of the factories.
A Complete Ecosystem of Criminality
Chinese organized crime drives:
The design of fraudulent platforms
International recruitment
Money laundering via crypto and casinos
Corruption of local authorities
Financing of new centers
Relocation of teams in case of a raid
This organization allows the networks to survive even when some centers are dismantled.
6. The Technologies Used
Advanced Tools at the Service of Fraud
The centers use sophisticated technology to avoid any interruption.
They feature Starlink connections, multiple VPNs, servers, AI-generated identities, bot-controlled social networks, and custom-designed crypto platforms.
The Massive Use of Deepfakes and AI Identities
Scammers create complete profiles with photos, videos, and interactions generated by artificial intelligence.
These digital identities enhance the credibility of the scams and allow for the manipulation of victims over several weeks.
7. Social Media as the Main Weapon
An Optimized Digital Strategy
TikTok, Facebook, WhatsApp, Telegram, Line, and Instagram are used to attract victims and maintain contact with them.
The content is created to inspire trust, reinforce the illusion of success, and lead users to fake investment platforms.
8. The Money Laundering Routes
Financial and Crypto Circuits
The funds from scams follow a complex financial path designed to hide their origin. The first step relies on cryptocurrencies, particularly USDT and TRX, which allow for fast and hard-to-trace transfers.
Offshore platforms without strict KYC procedures are then used to further obscure the money movements.
A portion of the funds is then laundered in the illegal casinos of the Golden Triangle and in shell companies set up in Myanmar, Laos, or Cambodia. These structures allow the money to be discreetly reinjected into the local economy.
The Discreet Role of Some Local Banks
In some cases, local banks also play an indirect role in the process. They are not necessarily willingly involved, but they lack control mechanisms or turn a blind eye to certain unusual transactions.
This facilitates the conversion of cryptocurrencies into local currencies or the opening of accounts intended to receive funds from scams.
These loopholes allow criminal organizations to transfer large sums through the traditional banking network before investing in:
Regional real estate
Shell companies financed by foreign capital
Infrastructure used to expand the fraud centers
This gray area of the local banking system strengthens the ability of criminal parks to thrive despite international efforts.
9. Local Complicity and Lawless Zones
Regions Where the State Has No Authority
In Myanmar’s Kayin State, some areas are no longer controlled by the government.
Armed groups authorize the establishment of centers in exchange for funding, creating autonomous mini-territories.
Laos and Cambodia are experiencing similar situations in their special economic zones.
10. Local and Regional Impact
A Dangerous Parallel Economy
These centers have profoundly transformed the local economy by creating a parallel activity entirely based on illegality. Their presence attracts criminal networks, promotes human trafficking, and strengthens the influence of armed groups that control entire portions of the territory.
Local authorities, often underfunded or corrupt, gradually lose all capacity for intervention and find themselves dependent on the revenue generated by these clandestine structures.
This underground economy permanently damages the international image of the countries concerned. It creates an unhealthy dependence where infrastructure, employment, and part of the commerce rely on criminal activities. In the long term, these regions become more difficult to stabilize, more vulnerable to armed violence, and more isolated from the rest of the world.
11. A Historic Turning Point in the Fight Against Scam Factories
Unprecedented International Cooperation
Since 2024 and 2025, the situation has started to change.
The United States, China, and Thailand have strengthened cooperation to dismantle criminal infrastructures.
- Military operations have been conducted in the Myawaddy region.
- Dozens of buildings in KK Park have been destroyed.
- Hundreds of workers have been rescued and evacuated.
Operations Finally Targeting the Infrastructures
Authorities are now destroying the servers, IT equipment, and buildings used by the scammers.
This approach aims to prevent the rapid reconstruction of the centers and to disrupt the criminal networks in the long term.
Online fraud factories in Southeast Asia have become one of the pillars of global digital crime.
They combine human trafficking, advanced technology, corruption, and the exploitation of areas completely outside of state control.
For the first time since their creation, the dynamic is reversing.
Cooperation between Thailand, the United States, and China is opening a new phase in the fight against scam factories.
Iconic centers like KK Park are now being targeted, destroyed, and evacuated.
The industry has not disappeared, but it no longer operates in the shadows.
It is finally facing a determined adversary.
