- US strike force attacks fraud hubs in Burma, Cambodia and Laos
- Cryptocurrency Seizure team loses more than $401 million due to fraudulent transactions
- Chinese transnational criminal organizations help coordinate fraud in Southeast Asia
The US has launched a “strike force” to fight cryptocurrency scams and scams in Southeast Asia.
HE initiative targeting fraud hubs in countries such as Burma, Cambodia and Laos, where organized networks have defrauded Americans out of billions of dollars over the past five years.
The Strike Force will use investigations, prosecutions, sanctions and seizures to disrupt these operations while seeking to compensate victims.
Operations and seizures are ongoing
The operation involves multiple federal agencies, including the Department of Justice, the Federal Bureau of Investigation, the USS Secret Service and interagency agencies.
“The FBI is committed to the important work of the Scam Center Strike Force,” said Gregory Heeb, Assistant Director of the FBI’s Criminal Division.
“It is the FBI’s job to stop these criminals, and that is exactly what we will do with the help of our partners around the world.” »
The Strike Force took action against key targets in Myanmar, seizing Tai Chang sites and seeking court orders to seize satellite terminals linked to other fraud centers.
“Criminal networks operating out of Myanmar are stealing billions of dollars from American workers through online fraud,” said John Hurley, a senior Treasury official. “The same network traffics in people and contributes to Burma’s brutal civil war.”
Law enforcement investigating scams in Bali have helped Indonesian authorities prosecute 38 people.
The Crypto Seizure team announced the seizure of more than $401.6 million in cryptocurrency and filed a lawsuit for an additional $80 million in stolen funds.
These operations aim to recover assets and prevent fraudsters from using US infrastructure to specifically target citizens.
Strike Force members have been integrated with local law enforcement agencies, including the Royal Thai Police, to combat fraud centers such as KK Park and others.
However, some coordinated ethnic groups, such as the Democratic Karen Benevolent Army (DKBA), have been linked to these crimes.
The Ministry of Finance has sanctioned DKBA and its subsidiaries as specially designated nationals, freezing their assets and restricting their business transactions.
DKBA is accused of establishing fraudulent ties and exploiting the labor and profits of organized crime and armed groups involved in Myanmar’s civil war.
Chinese transnational criminal organizations were also involved in coordinating these frauds.
“DKBA soldiers were filmed beating criminals in handcuffs. Rescued victims reported being subjected to electric shocks, hung by the arms in dark rooms and beaten,” the Treasury Department said.
“By participating in this fraud, the DKBA receives funds that they use to support their continued illegal activities.”
These programs have caused significant financial losses and some Americans have lost their entire savings.
“Since 2019, the U.S. Secret Service has seen a sharp increase in cryptocurrency investment fraud,” said Kyo Dolan, deputy director of the agency.
“In fiscal year 2025 alone, the US Secret Service responded to approximately 3,000 victims who contacted us regarding cryptocurrency investment plans.”
Not only does Strike Force show the US’s commitment to dismantling these networks, but President Trump also wants the US to become the center of global cryptocurrencies.
“Fraud centers ensure the generational transfer of wealth from America’s high streets to the pockets of Chinese organized crime,” said US Attorney Pirro.
“President Trump wants the United States to become the global center of the global cryptocurrency industry, so it is imperative that Americans understand how to safely handle this product.”