U.S. Sanctions Cambodian Casinos Turned Scam Compounds Amid Human Trafficking Crackdown

The U.S. Treasury’s Office of Foreign Assets Control (OFAC) imposed sanctions on a network of Cambodian entities—including casinos turned criminal compounds—for orchestrating massive cyber fraud and human trafficking operations. Among the targets was T C Capital Co. Ltd., owner of the Golden Sun Sky Casino and Hotel in Sihanoukville, which was repurposed to facilitate virtual currency scams and launder illicit proceeds. These facilities, built as legitimate casino complexes, became entrenched hubs for criminal activity—often involving victims trafficked and forced into exploitative labor.

Additional sanctioned entities included K B Hotel Co. Ltd., a Sihanoukville-based operator blending office blocks, hotels, and casinos. Its leadership—including Xu Aimin and Chen Al Len—was linked to forced labor and scam operations. One branch under Chen's control, the Heng He Casino in Bavet, sourced workers trafficked from Sihanoukville and ran cryptocurrency scams. These compounds represent how organized crime repurposed hospitality venues into prisons of modern slavery and illicit finance. 

These sanctions come amid mounting evidence that Cambodia has become a global epicenter for industrial-scale cybercrime. According to Amnesty International, at least 53 scam compounds—many formerly casinos—operate across the country under prison-like conditions. Survivors recounted torture, electric shocks, and confinement under armed guards. Alarmingly, these operations are estimated to generate $12.5 billion annually, roughly half of Cambodia's GDP. 

Complementing international pressure, Cambodian authorities have ramped up enforcement in recent months. In mid-July 2025 alone, over 2,100 individuals were arrested during multi-province raids targeting online scam networks, often linked to foreign criminal syndicates. These operations were conducted under directives from Prime Minister Hun Manet to restore security and order. 

Despite these actions, critics—including Amnesty—say the response remains insufficient, pointing to widespread impunity and alleged collusion within Cambodian institutions. The U.S. sanctions represent a targeted effort to sever financial and operational lifelines of scam operators, but meaningful change will require domestic transparency, accountability, and sustained cooperation with international law enforcement.