Myanmar’s military junta has introduced a draft law aimed at combating online scam operations, but legal experts and observers have questioned whether the law can effectively address cyber fraud networks operating along the country’s border areas.
The junta announced the draft law on May 14. It includes plans to establish a central anti-scam supervisory committee under the Ministry of Home Affairs and cooperate with international organizations in tackling online fraud.
The draft law outlines punishments ranging from large fines to the death penalty for offenses linked to online financial scams. It also allows authorities to block phone numbers and bank accounts connected to scam operations and conduct investigations and undercover operations.
Those directly involved in online scam businesses could face up to three years in prison and fines under the proposed legislation.
Under Sections 44 to 48 of the draft law, opening scam centers, committing digital financial fraud, recruiting workers for scam operations, unlawfully arresting or abusing people for scam activities, and human trafficking or forced labor connected to scam businesses are prohibited.
The law states that offenders could receive life imprisonment and heavy fines, while cases involving deaths could result in the death penalty.
However, legal analysts pointed out that the draft law mainly targets operators and workers involved in scam centers while failing to clearly address individuals or groups providing protection and shelter for the operations.
A legal expert and senior lawyer said the law contains vague wording and leaves room for different interpretations.
“These scam businesses cannot survive on their own. They exist because there are groups protecting them. In places like Shwe Kokko, access has become more restricted and tightly controlled. Military-linked leaders are benefiting financially by allowing these operations to continue. They may not directly commit fraud themselves, but they provide protection. The law does not clearly address those people,” the lawyer said.
The lawyer added that while Section 50 mentions measures targeting anyone assisting or supporting crimes under existing laws, however, the enabling wording remains broad and unclear.
Online scam operations along the Thai and Chinese border areas are widely believed to be linked to armed groups, which also provide security protection for the businesses.
In border areas such as Myawaddy and Three Pagodas Pass, which are known for large-scale online scam operations, leaders from the Karen National Army (KNA) and the Democratic Karen Benevolent Army (DKBA) have frequently been accused of involvement.
Observers noted that the junta usually intensifies anti-scam measures only when facing pressure from neighboring countries such as China and Thailand.
One observer monitoring scam operations in Karen State said the junta’s actions appeared more focused on easing international pressure than genuinely eliminating the scam industry.
“Everyone already knows where these scam centers are located. If the authorities truly wanted to shut them down, they could do it immediately. Instead, scam operators are often moved out before raids happen. The reason no serious action is taken is because authorities themselves are involved,” the observer said.
According to local observers, although the military junta has repeatedly announced arrests and crackdowns on scam centers near the Thai and Chinese borders, scam operations remain on the ground.
Critics said the main reason the junta’s anti-cybercrime laws remain ineffective is because military authorities themselves are benefiting financially from the scam industry.
Observers say, as long as officials continue to rely on income from online scam operations, the junta’s anti-scam laws will remain little more than symbolic measures.
