The United States has suffered significant financial losses due to fraudulent online activities originating from Southeast Asia, with estimates suggesting that Americans lost over $10 billion in 2024. This revelation was made by the State Department on Monday, highlighting the growing concern of internet-based scams perpetrated by criminal actors in the region.

According to a government estimate, Secretary of State Marco Rubio condemned the increasing exploitation of internet users by criminal actors across Southeast Asia. In response, the US Department of the Treasury’s Office of Foreign Assets Control (OFAC) has imposed sanctions on nine targets involved in operations in Shwe Kokko, a scam center hub based in Burma. The hub is allegedly funded and protected by the Karen National Army (KNA), a transnational cartel that facilitates schemes targeting Americans and manipulates people in forced labor.

The OFAC has also sanctioned four individuals and six entities operating in Cambodia, where workers carry out virtual scams against victims in the US, Europe, China, and other countries. These sanctions aim to protect Americans from the threat of criminal networks that coordinate theft, fraud, forced labor, and physical and sexual abuse. The identities of the newly sanctioned Southeast Asians and entities have been published on the OFAC website.

The US government’s actions are part of a broader effort to combat transnational crime and protect citizens from online scams. The significant financial losses incurred by Americans in 2024 underscore the need for continued vigilance and cooperation between law enforcement agencies to disrupt and dismantle these criminal networks. As the threat of online fraud continues to evolve, the US government’s response serves as a reminder of the importance of proactive measures to safeguard against these threats.