MANILA, Philippines – Twelve Filipinos were able to flee Myanmar’s Shwe Kokko Special Economic Zone or Yatai New City after being allegedly forced to engage in a cryptocurrency scam by Chinese mafia.
The incident revealed by Senator Risa Hontiveros on Monday, November 22, is one of many human trafficking incidents reported in the economic hub.
The abuses in Myanmar give Philippine authorities a glimpse of the complex web of shadow cross-border operations and how criminals use cryptocurrencies to launder billions of pesos.
What is Shwe Kokko?
Shwe Kokko is a $15-billion development located in the town of Myawaddy, which sits on the Myanmar border with Thailand.
Prior to the construction of casinos, hotels, and other luxury buildings in 2017, the area was a sleepy, underdeveloped village.
According to Frontier Myanmar, Shwe Kokko was built on an area controlled by the Kayin State Border Guard Force (BGF), formerly an insurgency group.
The Kayin BGF partnered with Yatai International Holdings Group – a company registered in Hong Kong and Thailand – to form Myanmar Yatai International Holdings for the venture.
The Myanmar government initially told the group that it could not push through with the project since investments over $5 million would have to secure permits from the Myanmar Investment Commission.
Construction later proceeded, even without permits. The Kayin BGF and Yatai eventually struck a deal with a Chinese business…
