Investigating ‘Fraud Factories’ of Myanmar
Scam centres that lured hundreds of Indians into Cyber Slavery.
On September 24, 2022 the Ministry of External Affairs issued an advisory cautioning Indian citizens against fake job rackets, offering lucrative job opportunities in Thailand by dubious IT firms.
Lured by social media advertisements promising easy work and extravagant perks, many are tricked into travelling to Mae Sot, an SEZ in western Thailand lying on the Thailand-Myanmar border. Once they arrive, victims are trafficked from Mae Sot to Myawaddy (the capital of Myanmar’s Kayin state) through forests and rivers without visas or entry permits.
The Myawaddy area of Myanmar is the epicentre of the scam that has trapped hundreds of Indians. Once in Myawaddy, victims are held captive by armed groups that force them to work in scam centres, known as “fraud factories”, to conduct online criminal activity, ranging from love scams and crypto fraud to money laundering and illegal gambling. According to reports, many of these “fraud factories” appear to be Chinese-owned or linked to Chinese entities.
Victims are confined in dystopian compounds surrounded by thick coils of barbed wire and told to pay off “debts” they owe to the scam centres if they want to leave — essentially a hefty ransom — or risk being sold to another scam centre. Victims are then forced to lure people — from business tycoons to common people — into investing in fake cryptocurrencies or banking sites. Some have to scam women by creating fake profiles on matrimonial sites.
Victims have to identify five individuals a day, failing which, they are subjected to harsh punishments — from walking 20 rounds like a frog, unreasonable work-hour extension to severe beating. Many are also electrocuted and sexually assaulted if the daily targets are not met. Those who can’t afford the “debt” have little choice but to attempt a perilous escape.
Law enforcement is now starting to catch up. Reportedly, in recent months the Indian government has rescued about 130 Indian workers from Myanmar, Laos and Cambodia.
Purpose of Investigation
The purpose of this investigation is to;
- Understand recruitment strategies applied by cyber-scam operators to trap young job aspirants
- Report investigative findings to relevant authorities for takedowns.
Findings: Recruitment Strategies
1. It begins on Facebook
Most of the lucrative but fraudulent job offers are published on Facebook. Preying upon the eagerness of candidates to find work, scammers tend to share misleading posts in Facebook Groups for job seekers.
1.1 Misleading recruitment posts targeting Facebook Groups for Indian job seekers
2. Persons of interest
Myanmar based Fraud Factories primarily target IT professionals and Chinese-English bilingual speakers, as they are majorly involved into:
- Cryptocurrency Romance Scams that go after wealthy Chinese women living abroad
- Lottery Scams through fake lottery app, aimed at benighted Chinese farmers
2.1 Misleading recruitment posts and flyers targeting skilled workers with tech expertise
2.2 Misleading recruitment posts targeting Facebook Groups for multilingual job seekers
3. Areas of interest
As their future victims, scammers appear to have been baiting inhabitants primarily from Asia-pacific countries.
3.1 A Facebook account targeting Nepali, Sri Lankan, Bangla, Pakistani, Bhutanese, Tajik, Kyrgyz, Uzbek and Indian Facebook users🔁
3.2 Multiple Facebook accounts targeting South-East Asian Facebook users
3.3 Network Analysis of 16 prominent scam accounts by extracting their Facebook friends list
The network analysis of prominent scam accounts revealed: Fraudsters are befriending international students — predominantly from Bangladesh, Pakistan and Malaysia — studying in major Chinese universities.
4. Coordinated Inauthentic Behaviour
To honeytrap unsuspecting applicants, a coordinated network of fake Facebook accounts promote this racket while acting as wealthy and successful individuals — many using seductive (but cropped) photos of attractive women.
4.1 Fake Facebook accounts impersonating as an attractive woman
4.2 Fake Facebook accounts impersonating as a wealthy and successful man
4.3 Misleading Facebook posts highlighting modern office buildings, relaxed work culture and lavish parties🔁
5. Identical posts from multiple Facebook accounts
Multiple Facebook accounts post identical recruitment ads with extravagant perks, to prop up the spread of disinformation.
5.1 Multiple Facebook accounts post identical recruitment ads
5.2 Identical recruitment ads with same contact details🔁
5.3 Identical recruitment ads with different contact details
6. Ends up on Telegram or WhatsApp
Once a victim is enticed, further communication is moved from Facebook to Telegram or WhatsApp messenger.
The closed nature of Telegram / WhatsApp allows scammers to trap multiple victims at once, without the fear of being reported and losing them all. Once a scammer gets the victim’s mobile number through WhatsApp / Telegram, they can also sell it to other criminals or use it to try different text message scams.
6.1 Scammers further manipulate their victims on WhatsApp / Telegram messenger
7. Fake vacancies on legitimate employment portals
To encourage victims to apply for a position, scammers post fake vacancies on legitimate employment portals.
7.1 Fake Thai opportunities posted by the scammers
8. Fake websites
Scammers create fake company websites to construct a realistic online presence that helps sell the scam.
8.1 Fake crypto / technology company websites created by the scammers
Findings: Widely Advertised Fictitious Companies
The top three Fictitious Company Names that have been promoted by scammers are listed below.
1. Huilong Technology Company
## Identified Fraud Infrastructure ##
Facebook Pages: 10
Facebook Accounts: 39
WhatsApp: 34
Telegram: 22
Employment Portal Ads: 23
Websites: 051.1 Fraud infrastructure of the fictitious Huilong Technology Company: FB Page, FB Posts, Recruitment Flyer, Website and an Employment Portal Ad🔁
1.2 Top keywords representing Facebook posts about Huilong Technology Company
2. Shi Jie Huan Qiu Co., Ltd.
## Identified Fraud Infrastructure ##
Facebook Pages: 01
Facebook Accounts: 07
WhatsApp: 11
Telegram: 10
Employment Portal Ads: 03
Websites: 01
LinkedIn: 02
Instagram: 01
Twitter: 012.1 Fraud infrastructure of the fictitious Shi Jie Huan Qiu Co., Ltd.: FB Page, FB Posts, Recruitment Flyer, Website, Employment Portal Ad and Social Media Accounts🔁
2.2 Top keywords representing Facebook posts about Shi Jie Huan Qiu Co., Ltd.
3. Hao Tai International Group
## Identified Fraud Infrastructure ##
Facebook Pages: 02
Facebook Accounts: 06
WhatsApp: 06
Telegram: 03
Employment Portal Ads: 05
Websites: 02
Google Forms: 013.1 Fraud infrastructure of the fictitious Hao Tai International Group: FB Page, FB Posts, Recruitment Flyer, Website, Employment Portal Ad and a Google Form🔁
3.2 Top keywords representing Facebook posts about HaoTai International Group
The Bottom Line
People must be alerted to the dangers lurking behind lucrative but unauthenticated vacancies and the promise of a better lifestyle. A lot of young and desperate job aspirants covet a good life and have unrealistic fantasies about jobs. It is advised to be more realistic and cautious, especially while seeking overseas opportunities.
