Cambodia closes over 200 illegal gambling establishments; to target “key figures” in scam gangs

Earlier this year, Cambodia announced the closure of more than 200 illegal gambling establishments.

Authorities have been directed to go after “key figures” who support a Chinese fraud gang-controlled enterprise, particularly in the coastal city of Sihanoukville, often referred to as “sin city.”

Analysts claim that despite recent crackdowns, Sihanoukville is still afflicted by the fraud industry. This is true even if the government is making an effort to break up Chinese cybercrime organizations that have amassed billions of dollars in revenue.

Around 450 people were taken into custody by police at the beginning of March in relation to alleged illegal online gambling schemes and “pig-butchering” scams that pretended to be authorized casinos. Condos and business buildings that were transformed into worker hostels, offices, and support spaces for cyber fraud operations were found to engage in similar activities.

The UN Office of Drugs and Crime in Southeast Asia and the Pacific’s deputy representative, Benedikt Hofman, underlined the shortcomings of local governments’ efforts to stop con artists.

Chinese reporter Huang Yan, who is based in Cambodia, claims that police raids mostly target smaller, less well-known fraud groups. However, after recent crackdowns, Zhong Huokun, a Chinese national suspected of owning one of the raided enterprises, was apprehended as a result of a public Facebook request for information made by City Governor Kuoch Chamroeun.

The appeal marks a significant departure from the current procedure, which saw law enforcement often apprehend low-level employees while evading the discovery of fraud group leaders.

The secretary-general of Cambodia’s Commercial Gambling Management Committee, Ros Phirun, said that the unlawful activities in the industry were not effectively curbed despite increased taxes and revenue from gaming licenses. Scam businesses persist in Sihanoukville despite heightened surveillance, suggesting that deep-rooted corruption involving influential individuals is guaranteeing the industry’s survival.

A wide-ranging and ongoing crackdown is seen to be necessary to fully address the issue, as is legal action taken against the “key figures” who protect the sector. It is noteworthy that in the first half of 2023, 1,241 arrests for illegal gambling were made in Cambodia.

Original story by: Gambling News