Bloomberg | As global attention increases on scam compounds in Cambodia, the organized crime groups behind them have been moving some of their operations to other countries. Some are moving to Sri Lanka, where they’ve found an environment with multiple advantages for scam activity, including:

Visa-free travel
Available space in beach resorts and office buildings
Strong telecommunications infrastructure
Established money-transfer systems

Add in a legal and law-enforcement framework that’s still building infrastructure and strategy to address cybercrimes and trafficking. It’s not clear whether scam groups are trafficking workers to Sri Lanka, although the visa policies make it easier to do.

Authorities report they arrested more than 1,000 people in related crimes during the first half of the year. Two raids alone netted more than 170 foreign nationals allegedly involved in cyberscam activity. Groups are now using smaller spaces, like hotels, apartments, and offices, that they can rent and abandon quickly.

“This is happening in ways that are unfortunately even more difficult for us to keep our eyes on…. I think we’ve created such skilled workers, whether they wanted to be or not, that they can operate really in any kind of environment.” — Erin West, founder of Operation Shamrock

Warnings from Outside Sri Lanka

Experts familiar with the scam industry and compound structure warn that Sri Lanka needs to move quickly. They suspect that escapees from Southeast Asian compounds may now be in Sri Lanka. Likewise, many Chinese workers live and work in Sri Lanka, in part due to Beijing’s Belt and Road infrastructure projects.

Last year, a report by a US congressional committee warned of fraud networks moving into jurisdictions with limited enforcement capabilities but strong digital infrastructure. Scam operations are emerging outside Southeast Asia in places like the United Arab Emirates, Timor-Leste, Fiji, and parts of Africa.

Sri Lanka is definitely a place to watch. “We have a lot less information about what’s going on on the ground,” Julia Dickson, from the Center for Strategic and International Studies, told Bloomberg.

Read the full article on Bloomberg.com: Sri Lanka Emerging as a New Base for Asia’s Scam Networks