Telecom fraud activities have once again spread in the northern part of Shan State, Myanmar, with multiple cybercrime gangs establishing large bases in the jungle mountain areas of Mengshu, Wanhai, and Mengye, engaging in high-frequency cybercrimes such as "pig butchering scams," "gambling money laundering," and "cryptocurrency fraud," affecting victims in mainland China, Taiwan, and Southeast Asia.
According to intelligence, these bases are highly concealed, with each location often gathering 300 to 400 people. Shockingly, the fraud gangs are required to pay up to 400,000 yuan per month in "protection fees" to the Shan State Army SSPP and its subordinate military committee in exchange for shelter and freedom of movement. Local armed forces even provide material support, making law enforcement extremely difficult.
Recently, Myanmar security forces successfully raided a fraud base in the Mengshu area, seizing a large amount of communication equipment and computers used for crimes, but the overall criminal structure remains solid. Intelligence sources indicate that these gangs are well-organized, with military-style management, equipped with "punishment rooms" and "counter-surveillance posts," and even prepared to resist armed raids.
Analysts say that in the Shan State area alone, there could be more than 50 similar bases, with over ten thousand individuals involved in fraud, effectively forming a "black state." Under the protection of local forces, this type of criminal network is rapidly replicating and spreading. Observers call for the international community to strengthen intelligence sharing and financial regulation, and suggest that China intensify its efforts to combat and hold accountable cross-border telecom fraud organizations, in order to curb the continuous deterioration of the fraud ecosystem in northern Myanmar.