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U.S. Forms Scam Center Strike Force, Sanctions Myanmar Network Behind Crypto Scam Compounds

An interagency push will use seizures, sanctions and industry partnerships to disrupt "pig butchering" networks and return stolen funds to victims.

Overview

  • U.S. officials announced the Scam Center Strike Force led by the U.S. Attorney for D.C. with the DOJ, FBI and Secret Service, coordinating with Treasury and State.
  • OFAC designated Myanmar’s Democratic Karen Benevolent Army, four senior leaders, Trans Asia, Troth Star and Thai national Chamu Sawang for supporting scam centers.
  • Authorities said they have seized more than $400 million in stolen cryptocurrency and are pursuing forfeiture of an additional $80 million for victim restitution.
  • The effort targets large-scale scam compounds in Myanmar, Cambodia and Laos that rely on coerced labor and long-con crypto investment ruses targeting Americans.
  • Officials said the campaign builds on October’s Prince Group action involving about 127,000 bitcoin and will leverage cooperation with companies such as Meta, Microsoft and AARP alongside blockchain analytics.