Las Vegas of Laos: River crime sparks danger
Laos’ Golden Triangle: From Casino Chic to Cyber‑crime Epicenter
The Golden Triangle Special Economic Zone (GTSEZ) in Laos was born in 2007 when the government leased the area to the Kings Romans Group for 99 years. Initially billed as a tourist hotspot with casinos and resorts, the zone quickly morphed into a nexus for money laundering, human trafficking and online fraud.
Structure and Signs: A Las Vegas in Laos?
- High‑rise shells and an Iberian‑style plaza (complete with a church tower, turrets and statues) stand side‑by‑side with noisy casino halls.
- Traffic signs are in Chinese; cigarettes, jade and counterfeit Dior bags are sold in yuan.
- The Kings Romans Casino hosts gamblers on blackjack tables, while a Rolls Royce parks outside.
Global Web of Scammers and Traffickers
According to the UN Office on Drugs and Crime, cyber‑fraud hubs across Southeast Asia have exploded. The GTSEZ serves as a “storage, trafficking, deal‑making and laundering hub,” a report last year noted, despite ongoing crackdowns.
Key Players and Sanctions
- Zhao Wei, the Kings Romans founder and GTSEZ architect, has links to the Laos government and was awarded development medals.
- In 2018 the U.S. Treasury sanctioned Zhao, his associates and three companies for “horrendous illicit activities” (human trafficking, drug smuggling, child prostitution).
- Britain listed Zhao in 2023, accusing him of forcing scammers into the zone and subjecting them to abuse.
- Chinese and Lao authorities raided Franco‑Cyber operations in 2023 and August 2024, arresting hundreds of suspects.
How Scammers Adapt
Brain‑child Richard Horsey of the International Crisis Group notes that the business model has evolved: violence is no longer profitable. “If you’re scaling a huge operation, violence doesn’t pay. It’s better to have motivated workers who aren’t afraid,” he said.
Chinese officials can “pick up the phone” to Zhao, telling him to limit operations or exclude Chinese nationals. That strategy preserves China’s regional influence rather than attempting to eliminate crime entirely.
Financial Impact
In 2024 the US Institute for Peace estimated that Mekong‑based criminal syndicates siphoned out more than $43.8 billion annually.
Responses
- Both the GTSEZ and Kings Romans declined to comment for AFP.
- Zhao was unreachable.
- The Laos government, via the official Lao News Agency, pledged a “decisive commitment” to eliminating cyber‑scam activity after last year’s busts.
What Lies Ahead
While international scrutiny and state crackdowns intensify, the GTSEZ continues to serve as a lucrative sandbox for cyber‑criminals, traffickers, and financial fraudsters seeking high‑paying jobs beyond their home countries. The region’s future will depend on whether global powers can manage, rather than eradicate, the criminal ecosystem embedded within this economic quagmire.
