Cambodia Passes First Cybercrime Law to Shut Down Scam Centers for Good

TLDR:

• Cambodia’s parliament passed its first cybercrime law on April 3, 2026, targeting online scam centres directly.
  
• Convictions carry prison terms of up to 10 years and fines reaching $250,000 for gang-related scam operations.
  
• Cambodia extradited two high-profile figures to China amid a broader crackdown on senior scam network leaders.
  
• Britain sanctioned Cambodia’s largest fraud complex and a crypto marketplace used to trade stolen personal data.

Cambodia’s cybercrime law marks a turning point in the country’s fight against online fraud operations. The parliament passed the legislation on Friday, April 3, 2026, making it the first law specifically targeting scam centres.

These centres have cost international victims billions of dollars. The move follows growing global pressure on Southeast Asian governments to act against the illicit operations embedded across the region.

Parliament Approves Strict Penalties for Online Scam Operators

The new law sets out prison terms of two to five years for those convicted of online scams. Fines can reach up to $125,000 for individual offenders.

Gang-related scams or cases involving multiple victims carry heavier sentences of up to 10 years. Fines in such cases can go as high as $250,000.

Justice Minister Keut Rith described the law as a tool to strengthen ongoing enforcement efforts. He stated the law aimed to enhance the “cleaning operation” taking place across the country.

He also stressed that it would ensure the centres do not return after the crackdown. The law will proceed to Cambodia’s king for final signature before taking full effect.

Rith further explained the reach of the problem during his remarks to reporters. He said the issue had also affected the economy, tourism, and investment in Cambodia.

He described the law as being “strict like the fishing net, strict to ensure we don’t have the online scams anymore in Cambodia.” Those words captured the government’s stated intent to pursue a thorough and lasting enforcement effort.

The law also covers penalties for money laundering, data collection on victims, and scammer recruitment. Previously, Cambodia had no dedicated legislation for targeting scam operations.

Authorities had relied on charges such as aggravated fraud and recruitment for exploitation. This new legislation addresses that legal gap directly.

Recent Arrests and Extraditions Signal Broader Crackdown

Cambodia’s enforcement actions have extended beyond legislation in recent months. On Wednesday, the government extradited Li Xiong to China.

Li Xiong was a former leader at a Cambodian financial conglomerate accused of laundering money for criminal organisations. The extradition reflects a shift toward holding senior figures accountable.

In January, Chinese-Cambodian businessman Chen Zhi was arrested in Cambodia and also extradited to China. Chen Zhi faced accusations of running a brutal online scam and money laundering operation.

His arrest marked a dramatic reversal for a once-prominent business figure. The case drew international attention to Cambodia’s ties with transnational crime networks.

On Thursday, Britain sanctioned operators of what it described as Cambodia’s largest fraud complex. The UK also targeted a crypto marketplace used to trade stolen personal data.

Britain called it part of a fast-growing network of scam centres across Southeast Asia. Workers in these compounds are reportedly confined and forced to commit fraud.

Cambodian officials say the current campaign is broader than previous efforts. Hundreds of sites are being closed, and senior figures are being detained.

The government had long played down the existence of these compounds. That position has now clearly changed.