Shwe Kokko Cyber-Fraud Hub Roars Back to Life After Fake Crackdown
Scam operations are surging back in Shwe Kokko just months after Myanmar’s military regime claimed it flattened the criminal hub controlled by its subordinate Karen Border Guard Force, now rebranded as the Karen National Army (KNA).
Criminal syndicates have quickly resumed operations in old sites and are actively recruiting for newly built compounds, according to locals and employees.
New scam buildings that began rising across Shwe Kokko early this year are now advertising vacancies daily through social media. Locals report that large‑scale operations are expanding beyond old sites into Kyaukphyar — a new scam park on the northwestern edge of town — as well as Myawaddy wards No. 2 and 4.
“Freshly built scam sites are dotted along the new road to Kyaukphyar. The area was empty in the past, but it’s now packed with shops and scam centers,” one resident told The Irrawaddy.
Workers confirmed that operations restarted at former sites in February, while new compounds are advertising vacancies on Telegram.
“We’ve been back at the old place for seven months now,” said a young woman employed at a scam site in Ward 2. “We are seeing a lot of job adverts because new sites have emerged after operations resumed in the town.”
Recruiters complain that Shwe Kokko jobs are harder to fill because workers face entry fees of up to 12,000 baht while other areas charge nothing. Officially levied as city tax, the fees are funneled to the KNA as protection money. “It used to be 3,000 baht, now it’s 12,000,” said one recruiter. “Syndicates are now offsetting the tax with 6,000 to 8,000 baht payments to entice workers.”
According to job adverts, the compounds target American citizens and offer salaries of 20,000–30,000 baht (roughly US$ 600–900), plus 2,000-baht bonuses and commission for securing clients.
Under mounting U.S.-led international pressure, the regime raided Shwe Kokko twice in 2025 — in February and November — announcing it had demolished more than 70 scam buildings. However, an investigation by independent monitor Myanmar Witness later revealed that the regime and KNA used AI‑generated images to fabricate the scale of the crackdown.
“They hailed the crackdowns, but new sites keep rising in Kyaukphyar as well as the surrounding forests and hills,” said a health worker treating scam staffers in Shwe Kokko and Myawaddy. “They know it’s profitable, so they pretend to shut down while expanding behind the scenes. This scam economy won’t be uprooted anytime soon.”
Located 19 km from the border town of Myawaddy, Shwe Kokko sits in territory controlled by KNA warlord Saw Chit Thu. Analysts note that the resurgence of scam sites came after his border guard rebranded, in a tactical move that eased international pressure and allowed the military to step back.
Saw Chit Thu and other KNA/BGF chiefs have been sanctioned by the U.S., UK, EU, and Thailand for harboring scam syndicates, trafficking humans, and committing rights abuses.
Washington estimates that online scams cost American citizens more than US$7.2 billion in 2025 alone.
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