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Transnational organized crime in Southeast Asia has reached unprecedented levels, driven by a surge in large-scale cyber scam operations run by complex criminal networks, according to a new report from the United Nations Office on Drugs and Crime (UNODC).
The report describes the rise of “sophisticated transnational syndicates” that have built vast cybercrime centers powered by interconnected networks of money launderers, human traffickers, data brokers and other illicit service providers.
These actors have helped turn Asian criminal syndicates into global leaders in cyber fraud, underground banking and money laundering, the UNODC said. Their success is credited to their ability to exploit political and business shifts, take advantage of regulatory gaps, and rapidly deploy advanced technologies, including AI-powered infrastructure.
The report also highlights the human cost of these operations. It estimates that tens of thousands of people have been trafficked and forced to work in scam compounds operating on an “industrial scale.” These facilities often serve as both work centers and housing for victims.
In February, a raid in Myawaddy, a town on Myanmar’s border, uncovered one such operation. Thousands were rescued and returned to their countries of origin.
“As the online crime industries have expanded, the workforce has grown rapidly, drawing in people from across the world, many trafficked and forced to work under conditions of extreme cruelty,” the report said.
While the syndicates have long operated across borders, their growth has accelerated with the rise of Southeast Asia-based online illicit marketplaces, which are also accessible to criminal networks outside the region.
One of the largest platforms is Huione Guarantee, based in Cambodia and now rebranded as Haowang Guarantee. The platform has processed “tens of billions of dollars” in cryptocurrency transactions since 2021, the report said. Blockchain analysis indicates the site functions as a “one-stop shop” for cybercriminals to obtain fraud tools, launder money and bypass sanctions.
Experts estimate more than $24 billion in transactions have taken place on the platform in the past four years.
The UNODC report also warns of the syndicates’ growing presence in South America and Africa, citing ties with major Latin American drug trafficking organizations. In some cases, Asian crime groups have opened physical fraud centers in South America and begun recruiting Spanish- and Portuguese-speaking workers.
Criminal groups are also shifting operations across Southeast Asia in response to crackdowns in special economic zones and border areas in Cambodia, Laos, Myanmar and the Philippines. This has led to a regional “spillover” effect, allowing networks to move resources and operations with ease.
“It spreads like a cancer,” said Benedikt Hofmann, UNODC acting regional representative for Southeast Asia and the Pacific. “Authorities treat it in one area, but the roots never disappear; they simply migrate.”
He said the region has become a “connected ecosystem” in which organized syndicates exploit vulnerabilities, threaten state sovereignty, and undermine government institutions and policymaking.
