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Myanmar’s action on scam networks driven by global pressure: Reports

Ansh Pandey
Written by Ansh Pandey

Myanmar’s military leader, Min Aung Hlaing, has ordered an emergency crackdown on scam centres along the Thai-Myanmar border, in what analysts say is the junta’s strongest response yet to growing international pressure, particularly from China.

The directive followed Min Aung Hlaing’s personal visit to Hpa-An, where he instructed the Karen National Army (KNA), a powerful local militia, to cooperate fully. The KNA controls large parts of Karen State and has been sanctioned by the United States for its alleged involvement in cyber scams, human trafficking, and cross-border smuggling.

According to Reuters, the junta leader told militia commanders that scam operations were seriously damaging Myanmar’s international reputation ahead of the multi-phase general election beginning on 28 December 2025. But diplomats and analysts believe the real catalyst is intensifying pressure from Beijing.

China, a major factor? 

China is deeply intertwined with the dynamics of Myanmar’s border scams. Many of the victims, workers, and criminal syndicate leaders are Chinese nationals, and Beijing has faced mounting public anger over the failure to rescue its citizens trafficked into these compounds.

Beijing has long maintained a delicate relationship with the Tatmadaw, supplying arms, extending political cover at the UN, and serving as one of Myanmar’s few economic lifelines. Yet its influence is complicated by China’s simultaneous ties to multiple ethnic armed groups along the border, some of which oppose the junta.

Chinese officials have repeatedly urged Myanmar to dismantle scam hubs such as Shwe Kokko and Myawaddy, which Beijing views as directly threatening its domestic security. The kidnapping of a well-known Chinese actor in Thailand, linked to cross-border scam networks, intensified public scrutiny and forced China to adopt a firmer stance.

With China increasing arrests, issuing warrants, and demanding repatriation of trafficked Chinese citizens, Myanmar’s junta now risks diplomatic fallout if it fails to act. Analysts say the latest crackdown reflects the military’s attempt to reassure Beijing that it remains a reliable security partner.

By 18 November 2025, combined forces from the Myanmar military and the KNA launched raids in Myawaddy, one of the region’s largest scam hubs. Over 180 buildings linked to cyber-fraud operations were razed. Over 1,000 foreign nationals were detained, and security forces seized thousands of devices, including 2,653 computers and 21,750 mobile phones. 

The KNA publicly claimed it was leading the crackdown, with the military joining only after being informed, reflecting the complex power-sharing dynamics in the region.

The scam centre network 

Scam centres grew out of lightly regulated casino zones of the 1990s and expanded rapidly during COVID-19. Shwe Kokko, established in 2017 by Yatai International Holdings and a KNA precursor, became one of the most notorious hubs, though Yatai denies any involvement in criminal activity.

But the turning point came with the formation of a new US “Scam Center Strike Force”, involving agencies such as the FBI and Secret Service. Officials in Myanmar reportedly worry that if they do not act visibly, foreign forces might cross the border. However, experts believe that China’s pressure is the most important factor. A video of the extradition of She Zhijiang, who is allegedly connected to Shwe Kokko, from Thailand, China, seems to be going after illegal gambling networks.

According to experts, the junta has limited flexibility due to the combined pressure from the US and China. Its vital relationship with Beijing could be jeopardised if nothing is done, and further international isolation could result from doing nothing.

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