Asian Crime Syndicates Behind Cyber Scam Industry Expand Global Reach, UN Warns

Asian organized crime groups that built a multibillion-dollar cyber scam industry in Southeast Asia have now firmly established operations in Europe, according to a new report from the United Nations. The United Nations Office on Drugs and Crime (UNODC) revealed that criminal syndicates, once concentrated in Southeast Asia and known for operating massive compounds employing tens of thousands of trafficked workers to scam victims worldwide, have grown into a sophisticated global network.

In its major report, the UNODC specifically identified Georgia as a newly targeted location, with the coastal city of Batumi emerging as a focal point for illicit operations. “Major East Asian crime groups have established bases in Batumi,” the agency stated. “Online operations resembling those seen in Southeast Asia have been observed in Georgia, with multiple documented incidents of foreign nationals being detained and rescued reported in over the past year.”

The agency further noted that criminal actors are using encrypted platforms to expand their reach. “Industry groups linked to Southeast Asian criminal networks on Telegram openly post recruitment ads for ‘customer service’ agents in Georgia,” it said.

UNODC warned that this development reflects a broader trend of geographic dispersal as law enforcement intensifies efforts in traditional scam hotspots. The agency cautioned that a “potentially irreversible spillover has taken place… leaving criminal groups free to pick, choose, and move… as needed.”

“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.”

According to conservative estimates by the UNODC, hundreds of large-scale scam operations now exist globally, generating tens of billions of dollars annually. The UN is urging nations to coordinate more aggressively and cut off financial lifelines sustaining these transnational operations. “The regional cyberfraud industry… has outpaced other transnational crimes, given that it is easily scalable and able to reach millions of potential victims online, with no need to move or traffic illicit goods across borders,” said John Wojcik, a regional analyst with UNODC.

The scale of the financial impact is staggering. In 2023 alone, the United States reported more than $5.6 billion in losses to cryptocurrency scams, with over $4 billion lost to “pig-butchering” or romance scams, which frequently target elderly and vulnerable individuals.

Crackdowns in parts of Southeast Asia—particularly the lawless border areas between Thailand and Myanmar—have forced syndicates to shift strategies. Authorities in Thailand have taken bold steps such as cutting off electricity, fuel, and internet to compounds used for illicit operations. However, criminal groups have proven agile, relocating to jurisdictions with weaker governance. The UNODC highlighted increased activity in Laos, Myanmar, and Cambodia, noting that the Cambodian crackdown in more visible regions has only prompted a “significant expansion in more remote locations,” including Koh Kong province and border zones with Thailand and Vietnam.

Responding to the report, Cambodian government spokesman Pen Bona said Cambodia is itself a victim of the cyberfraud epidemic and reaffirmed the country's commitment to addressing the crisis. He noted that an ad-hoc commission led by Prime Minister Hun Manet had been formed to boost law enforcement, introduce new legislation, and enhance collaboration with international partners and the UN. “To overcome the complex problem, we need collaboration not blame,” he said.

A spokesperson for Myanmar’s military government did not immediately respond to requests for comment.

Meanwhile, syndicates are also forging partnerships with criminal networks across South America, especially with drug cartels, to facilitate money laundering and underground banking. UNODC said operations are expanding across the African continent as well, citing active presence in countries like Zambia, Angola, and Namibia.

The report also underscored how the workforce of these criminal networks has grown more diverse, now drawing recruits from more than 50 countries, including Brazil, Nigeria, Sri Lanka, and Uzbekistan. Recent raids on scam compounds near the Thai-Myanmar border have led to the rescue of victims from across the globe.

With these criminal enterprises expanding at a rapid pace and showing remarkable adaptability, the UNODC cautioned that the world is approaching a decisive moment. The international community, it warned, is at a “critical inflection point,” and failure to act decisively could lead to “unprecedented consequences for Southeast Asia that reverberate globally.”

By fLEXI tEAM