WASHINGTON, D.C., May 20 (ANI): The United States House Select Committee on the Chinese Communist Party has released a new investigation alleging that China-linked scam centers operating across Southeast Asia are defrauding Americans of at least USD 10 billion annually while fueling human trafficking, cybercrime and illicit financial activity.
In a press release, Committee Chairman John Moolenaar and Ranking Member Ro Khanna described the operation as a sprawling criminal ecosystem centered in countries such as Cambodia and Myanmar.
According to the investigation, these networks combine online fraud operations with forced labor, money laundering and underground financial systems.
“These scam centres with deep links to China are a broad network of fraud, human trafficking, cybercrime and illicit finance that are ripping off Americans and threatening our national security,” Moolenaar said while releasing the findings.
He further alleged that Chinese authorities have the ability to crack down on the criminal operations but have failed to do so.
Khanna said the investigation seeks justice for both American fraud victims and trafficked individuals allegedly forced to work inside scam compounds. He stated that stronger bilateral cooperation with China, along with support for civil society organizations, would be necessary to dismantle the networks and secure compensation for victims.
The committee’s report stopped short of accusing the Chinese state of directly running the operations. Instead, it argued that governance gaps and weak enforcement mechanisms in China have enabled the expansion of criminal syndicates with links to the country.
According to the report, the networks rely heavily on Chinese underground banking channels, cryptocurrency brokers and shell companies to move and launder money internationally.
The investigation also highlighted widespread human trafficking within the scam industry. Lawmakers said thousands of people were allegedly lured to Southeast Asia through fraudulent job offers before being forced to conduct online scams under threats of violence in heavily guarded compounds.
US lawmakers warned that the rapid expansion of these networks threatens regional stability in Southeast Asia and undermines American allies in the region.
The committee further stated that these criminal enterprises risk expanding Beijing’s influence in a region increasingly central to strategic competition between the United States and China. (ANI)
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