Interpol adopts resolution warning of growing scam compound threat

Interpol has adopted a resolution that considers criminal enterprises built around scam compound centers as a transnational criminal threat. The networks span several countries and rely on human trafficking and coerced labor to run online and crypto fraud.

International Criminal Police Organization member countries approved the resolutions this week during Interpol’s General Assembly meeting at Marrakech. According to the proposed resolution, the scam-compound model has evolved into a cross-border criminal industry targeting victims from more than 60 countries. Interpol revealed that criminal groups lure individuals with a promise of better overseas jobs only to transport them into compounds where they are forced to conduct illegal activities.  

Scam networks adopt advanced tools such as voice phishing to defraud victims

According to Interpol, scam centers target victims through voice phishing, romance scams, investment fraud, and cryptocurrency scams targeting people worldwide. Interpol also noted that many participants in these scam centers are held against their will, adding that some even endure physical violence, torture, and sexual assault. 

Scam centers across Southeast Asia, where compounds in Myanmar, Cambodia, and Laos have been accused of running large-scale trafficking and online fraud. Cryptopolitan report noted that the U.S. Treasury Department sanctioned 19 entities in Myanmar and Cambodia for running scams that defrauded Americans and other global victims. 

According to the U.S. Treasury Department, approximately $10 billion was lost through such scams. The operations used victims of human trafficking originating from the region and other countries such as China and India. Interpol highlighted that similar activities were also identified in parts of Russia, Colombia, East African coastal countries, and the UK.

According to Interpol, the networks operating scam compounds have adopted advanced tools to defraud victims and mask their operations, which has made the industry difficult to contain. Member states have therefore been urged to carry out a coordinated global response. The Republic of Korea proposed a resolution that focuses on the expanding globalization of scam centers and the need for an integrated strategy across borders. 

The Republic of Korea proposed a resolution that recommends real-time intelligence sharing to identify perpetrators’ common locations and operating methods. The report calls for a multinational joint operation supported by Interpol to take action against criminal financing and illicit assets. The resolution included standardized procedures for locating and rescuing victims, expanded support for survivors, and global awareness campaigns to raise awareness among vulnerable groups, such as young people and job seekers. 

Criminal entities rely on crypto networks to mask financial activities

Valdecy Urquiza, Interpol’s Secretary General, revealed that in order to counter criminal activities effectively, the member states should strengthen collaboration, improve information sharing, and move forward with coordinated and decisive action.

An online marketplace operated by Huione Group, a Cambodia-based financial conglomerate, processed more than $11 billion in cryptocurrency transactions linked to scam compound operators in July last year. The U.S. Treasury sanctioned Huione Group, alleging that the entity facilitated more than $4 billion in money laundering proceeds of scam centers.

Interpol released a crime update in June showing how victims from more than 60 countries have been coerced into joining scam networks worldwide. According to the update, criminal entities use improvised methods that often connect with other illicit markets such as drug trafficking, firearms, and wildlife trafficking.

In 2024, the Interpol organization expanded its operations to target criminals across 116 countries. The effort resulted in 2,500 arrests, with additional operations across Africa and Europe. These efforts began in 2022 when Interpol issued a Purple Notice, followed by an Orange Notice in 2023, regarding human trafficking.

Get up to $30,050 in trading rewards when you join Bybit today