Junta continues largely symbolic crackdowns on telecom scams in Muse

The junta announced that it had raided and arrested operators of telecom scam sites—locally known as Zhapian businesses—in Muse Township, northern Shan State.

On May 18, the coup regime claimed it had arrested 38 people—4 Chinese nationals, 25 Myanmar men, and 9 women—in connection with a telecom scam operation at a house in Swamsaw Ward, Muse Town. It also said that authorities seized 155 mobile phones of various models, 30 computer sets used in the operation, 10,000 Chinese yuan, and over 1 million Myanmar kyat.

A 40-year-old Muse resident told Shan Herald that the arrests took place during operations conducted on May 16 and 17.

“Even we locals only realized the Zhapian operations were there when chaos broke out after the arrests. As far as I know, not all of the suspects were caught—some managed to escape,” he said.

On May 17, junta law enforcement officers made further arrests, detaining 4 Myanmar men at another house in the same ward, along with 95 phones, a computer, and two Wi-Fi routers.

Locals believe telecom scam operations in Muse Township, near the China border, continue to survive because armed groups and authorities back them. A 45-year-old Muse resident said the junta’s crackdowns are largely symbolic and lack real impact, allowing such criminal activities to persist.

“The junta is only doing these symbolic crackdowns because of pressure from China. If it really wants to completely wipe out the Zhapian operations, it has to go after the militia groups that protect them. They’re the ones providing security for these criminals,” he said.

Telecom scam businesses in Muse Township reportedly operate by paying illegal taxes to local authorities and militia groups. Muse residents pointed out that telecom scam dens will not disappear unless effective action is taken against the groups and authorities backing them.

In addition to ethnic armed organizations (EAOs), at least 15 junta-aligned militia groups—including Myoma, Kawnghkar, Panghsay, Longhtan, and Mankyei—are operating in and around Muse Town.

Despite the presence of the junta and various armed militia groups, Muse remains a lawless border town where illegal gambling, drug trafficking, brothels, telecom scam dens, and crimes such as theft, robbery, and kidnapping are reportedly widespread.

Previously, the junta announced that 18 Chinese nationals had been arrested on May 15, along with equipment allegedly used to operate a telecom scam compound along the banks of the Thanlwin (Salween) River in Mong Hsu Township.

Since late 2023, China has been pressuring the junta to intensify its crackdown on telecom scam operations along the border.

On the other hand, the FBI has also begun efforts to combat cybercrime in the region by establishing a Cyber Scam Task Force.

It is estimated that U.S. citizens lost more than 7.2 billion USD in 2025 to Myanmar-based money laundering networks.

The U.S. Department of State’s Bureau of International Narcotics and Law Enforcement Affairs has announced a reward of up to 10 million USD for information leading to the exposure of money laundering activities linked to scam centers known as Tai Chang 1.0, 2.0, and 3.0 in Karen State.