Cambodia moves to criminalize scam operations with tough new penalties

Cambodia has drafted its first law specifically targeting online scam operations, as the government steps up efforts to dismantle the criminal networks operating across the country. Authorities previously pledged to shut down such centers by the end of April.

The country has become known as a major hub for sophisticated online scams, where criminals deceive victims through fake investment opportunities and fraudulent romantic relationships. These schemes have cost victims worldwide tens of billions of dollars each year, according to reporting by Associated Press.

At the same time, thousands of workers — many from other parts of Asia — have reportedly been lured by false job offers before being forced to work in scam compounds under conditions resembling modern-day slavery.

“This law is the most important legal instrument for Cambodia in combating scams online, fighting money laundering and demonstrating that Cambodia is not a paradise or a safe haven for criminals,” said Neth Pheaktra, Cambodia’s information minister, in a statement issued on March 13.

The draft legislation, approved by the cabinet, introduces strict penalties for those operating or managing technology-based fraud operations. Organizers could face five to ten years in prison along with fines ranging from 500 million to 1 billion riels (about $125,000 to $250,000).

If crimes involve human trafficking, violence, detention or confinement, punishments could rise to 10 to 20 years in prison and fines of up to 2 billion riels (approximately $500,000).

In cases where a death is linked to activities at a scam center — incidents that have occurred when workers attempted to escape — offenders could face 15 to 30 years in prison or life imprisonment.

The legislation still requires approval from Cambodia’s parliament before becoming law.

Meanwhile, authorities say enforcement efforts are already underway. Chhay Sinarith, a senior minister leading the government’s Commission for Combating Online Scams, told the Associated Press that since July the government has investigated around 250 suspected scam sites and shut down about 200 of them.

Officials also said the country has repatriated nearly 10,000 workers from scam compounds across 23 countries, with fewer than 1,000 individuals still awaiting return to their home nations. Many other victims have managed to escape or were freed during police raids on the compounds.

By Nazrin Sadigova