What’s the True Story Behind Kok An, Poipet, and the $800,000 Thai Crackdown?

In a dramatic cross-border law enforcement move that is reshaping regional dynamics, Thai cyber police recently launched a sweeping operation targeting properties in Thailand linked to prominent Cambodian tycoon and senator, Kok An. This unprecedented crackdown is rooted in a widening investigation into online scam networks operating out of Poipet, Cambodia’s bustling border city, which authorities say have siphoned millions of dollars from Thai citizens.

The Start of the Crackdown

The operation unfolded on July 8, when the Thai Cyber Crime Investigation Bureau (CCIB), acting on evidence gathered over several months, executed simultaneous raids on 19 properties across Thailand tied to Kok An. These properties, which include luxury homes and offices, were suspected of serving as financial and logistical nodes supporting scam syndicates based just across the border in Poipet.

Read more: Why Do Scammers Like Using Telegram to Scam Online?

By the end of the raids, Thai officers had seized over 27 million baht (approximately $831,000) worth of assets, including high-end cars, luxury watches, branded handbags, and other valuables. More critically, they secured enough evidence for the Thai Criminal Court to issue an arrest warrant for Kok An, accusing him of facilitating scam operations that defrauded countless Thai nationals.

A statement by the Royal Thai Police was direct:

“The cyber police cracked down on the international call centre gang ‘KOK AN,’ searched 19 locations, destroying the criminal network linked to the Poipet base of operations, and initially seized over 27 million baht. The investigation will continue.”

Why Target Kok An?

Kok An is not just any businessman. He is one of Cambodia’s most powerful tycoons, owner of the sprawling Crown Casino & Entertainment Complex in Poipet, which includes a 25-story hotel, an 18-story building, and reportedly one of the region’s biggest call centre hubs.

Read more: How Did a Scammer Steal $7,000 by Pretending to Be EDC?

Thai authorities believe these call centres were not merely customer support centres but massive scam factories, orchestrating sophisticated online and phone scams targeting Thai citizens. Victims were lured into fraudulent investment schemes, loan offers, and romance scams—only to lose their life savings.

By targeting An’s properties in Thailand, Thai police aimed to cut off the support structure that allegedly funneled money, laundered funds, and provided safe havens for scam operators tied to his business empire in Cambodia.

The Broader Context: Scam Epidemic on the Border

Poipet has become notorious in recent years as a hotbed for online scam centres. Its proximity to Thailand and relatively lax regulatory environment have made it an attractive base for transnational crime groups. Reports by both Thai and Cambodian NGOs suggest that thousands of workers, many trafficked from countries as far as China, Vietnam, and the Philippines, have been forced to operate online scam systems from heavily guarded buildings in Poipet.

Just days before the raids, a joint operation between Thai and Cambodian police rescued over 215 foreign workers from one such scam centre in Poipet, underscoring how large and deeply embedded these networks have become.

Political Reactions and Denials from Cambodia

The raids have sparked a wave of diplomatic tension. Chea Thyrith, a spokesperson for the Cambodian Senate, where Kok An is a sitting senator, quickly dismissed the allegations as politically motivated.

Read more: How to Protect Yourself from Scammers Offering Fake Jobs in Cambodia

“As Samdech Techo’s [Hun Sen’s] spokesperson, I want to respond to the Thai side’s attacks on Cambodia and on Samdech Techo. The case of online scamming in Cambodia, as claimed by the Thai side, is exaggerated and fabricated. I confirm that this is a revenge game,” Chea Thyrith said.

Meanwhile, Cambodian government figures, including Hun Lak (Secretary General of the Cambodian Oknha Association) and Touch Sokhak (Interior Ministry spokesperson), declined to comment or did not respond to inquiries.

Kok An’s Background: Tycoon, Senator, Power Broker

Kok An is one of Cambodia’s richest and most influential men. Through his company, Anco Brothers, he owns vast interests spanning casinos, real estate, manufacturing, and agriculture. He has long been a close ally of Cambodia’s former Prime Minister Hun Sen, which has afforded him significant protection and privilege.

Thai media reports state that the Thai Criminal Court arrest warrant now accuses An of involvement in a transnational criminal organization and money laundering. Authorities say buildings he owns in Poipet were knowingly rented out or provided to scam operations that targeted Thai nationals.

Strategic Importance: Why Now?

This crackdown also reveals Thailand’s strategic shift to directly tackle the infrastructure of cross-border scam networks. By seizing assets and issuing warrants for high-profile figures like Kok An, Thailand is sending a powerful message that no one—no matter how wealthy or politically connected—is beyond its reach if Thai citizens are being exploited.

Analysts suggest this operation is part of a broader Thai effort to disrupt scam networks by severing their financial arteries and logistical safe havens, many of which have spilled over into Thai territory. Moreover, with Thailand preparing for a major economic pivot that relies on digital confidence, cracking down on scams has become a national priority.

What Happens Next?

The investigation is still unfolding. Thai authorities have vowed to press ahead, coordinating with international police networks to track Kok An’s movements and financial transfers. Cambodia, however, may not be eager to cooperate. Kok An’s position as a senator and longstanding Hun Sen ally could complicate any extradition attempts.

Read more: How to Protect Yourself from Scammers Offering Fake Jobs in Cambodia

Meanwhile, thousands of Thai victims who lost their savings to scams operating out of Poipet will be watching closely, hoping this landmark crackdown finally brings some justice—and perhaps sends a warning to others operating similar schemes.

A Landmark Cross-Border Case

The raids on Kok An’s properties mark a significant escalation in Southeast Asia’s fight against transnational scams. They highlight how the rise of online fraud is no longer just a matter of phone calls and fake websites; it involves deeply entrenched business and political elites, international money laundering pipelines, and vulnerable workers forced into crime.

Whether Kok An will ever face trial in Thailand remains uncertain, but this case has already changed the landscape. It has exposed just how interconnected regional crime, big business, and politics can be—and why dismantling these networks requires more than just local police work. It demands a new level of cross-border accountability and political will.

✅ Sources:

• Nikkei Asia on Thai raids targeting Kok An
• The Nation Thailand
• Kiripost coverage of Poipet raids and political responses

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The country should approach gas-fired power development with caution, write the authors of a new report from the Institute for Energy Economics and Financial Analysis.

In October, the Cambodian conglomerate Royal Group broke ground on a 900-megawatt (MW) electricity generation project in the Botum Sakor district, on the country’s south-western coast. If it’s completed and running by 2027, the project would become the country’s largest operational power plant, and its first to run on gas.

Cambodia does not produce its own gas, so the project requires the infrastructure to import the fuel in its cold, liquid form, then reheat it for combustion in the plant. A 2023 report by the Economic Research Institute for ASEAN and East Asia (ERIA) advocates for liquefied natural gas (LNG) to play a major role in Cambodia’s energy future.

This is a risky proposition. In recent years, other countries in the region that rely on imported LNG have struggled to maintain energy security and affordability. This has been due to global market disruptions and skyrocketing costs. Cambodia’s foray into LNG markets will therefore require careful strategic foresight and planning to reduce energy costs, improve reliability and support economic growth.

Numerous questions remain, however, regarding costs and procurement, the role of LNG-fired electricity in the country’s power mix, and the use of potentially cheaper alternatives. Without clear answers, Cambodia’s economy could find itself exposed to the large costs and volatility of global LNG markets.

How will Cambodia buy LNG and what will it cost?

New buyers such as Cambodia typically acquire LNG from spot markets or through multi-year contracts. The latter establishes volumes and pricing methods across the contract’s term. Both of these acquisition options entail risks for energy security and cost.

Buying from the spot market means Cambodia could import shipments whenever needed rather than committing to set contracts. The country would pay the prevalent global market price at the time of the purchase.

This can be risky during periods of volatile prices. Since 2020, spot prices have fluctuated between US$1 per million British thermal units (MMBtu) and US$100/MMBtu – that translates to a swing of between roughly US$4 million and 375 million for a typical, 72,000-tonne LNG shipment.

Contracts alleviate these concerns by setting a pricing formula, typically tied to a percentage of the global oil price. This reduces price volatility, narrowing the cost range of LNG cargo deliveries. However, contracts also stipulate rigid “take-or-pay” terms, meaning Cambodia must either “take” the LNG or “pay” a penalty if the LNG is unneeded. Since LNG’s role in the Cambodian energy system is still uncertain, the country could find itself paying significant penalties.

Importantly, LNG is likely to be expensive under both approaches. Prices under both spot and contract arrangements are currently two to three times as high as coal. Our recent Institute for Energy Economics and Financial Analysis (IEEFA) study estimates that, at current prices, operating one 900MW, LNG-fired power plant at baseload levels could cost as much as KHR 2.95 trillion (US$730 million) for the fuel alone. This exceeds Cambodia’s entire 2022 coal import bill.

Cambodia could pay a premium on current prices and struggle to access affordable LNG supplies because it’s a new market entrant with limited bargaining power, uncertain gas requirements and a lower demand profile. In 2022, the Russian invasion of Ukraine caused global LNG prices to skyrocket, as wealthy European and Northeast Asian buyers outbid emerging markets for limited supplies.

Pakistan and Bangladesh, for example, were often unable to afford LNG shipments, resulting in fuel shortages and power outages that devastated key economic sectors. In 2024, prices remain well above historical levels, and both countries are still struggling to finance their ballooning LNG import bills. Consequently, in early 2023 Pakistan announced it would stop building LNG-fired power plants.

What impact will LNG have on electricity prices?

Integrating expensive LNG into the Cambodian power mix will have knock-on effects on electricity prices, hindering the government’s efforts to reduce these rates.

At current spot market prices, LNG-fired electricity could cost more than five times that of recent solar projects in the country, or about double the rate of current coal and hydro contracts. For example, IEEFA estimates that LNG-fired electricity could cost US$0.17 per kilowatt-hour at current LNG prices. Meanwhile, Cambodia has attracted solar projects that produce electricity priced at US$0.026 per kilowatt-hour.

LNG fuel prices would likely have to fall below US$4.8/MMBtu to compete with coal and renewables. However, global prices have rarely fallen this low. Most producers require a selling price of US$8/MMBtu or more to service debt and earn a return – and LNG prices are unlikely to fall to competitive levels for the Cambodian power sector.

Other Asian countries, such as Vietnam and the Philippines, are grappling with the impact of uncompetitive LNG imports upon their electricity rates. It is slowing down LNG-to-power development and putting higher pressure on end-user tariffs.

Cambodian consumers already pay among the highest rates for power in Asia. With LNG prices unlikely to compete with renewables or baseload coal plants and the government prioritising electricity affordability, the role of LNG plants in the power mix remains uncertain.

What is the alternative?

Cambodia needs to properly assess whether a baseload LNG-to-power project is necessary to achieve its energy objectives. Those objectives include maintaining an affordable power supply and generating 70 per cent of the country’s power from renewable sources by 2030, up from 50 per cent in 2023.

The current impetus for LNG development appears to be driven by concerns that wind and solar resources do not provide uninterrupted, dispatchable power. LNG is seen as an integral ingredient to support the grid reliability as electricity demand rises and the power system becomes increasingly reliant on renewables enroute to decarbonisation.

However, with wind projects only starting to materialise and solar making up a mere 5 per cent of Cambodia’s power mix, there is ample opportunity for both wind and solar to expand without jeopardising grid operations. Countries can typically integrate up to 15 per cent of the electricity mix with wind and solar generation with only minor changes to the grid.

Moreover, achieving its 70 per cent renewables target will require Cambodia to limit its utilisation of baseload LNG-fired power plants. This will make it difficult for the country to commit to long-term LNG contracts. This uncertainty will challenge Cambodia’s ability to configure LNG infrastructure and the necessary contracts in a way that ensures both energy security and affordability.

Cambodia must scale its LNG project aspirations so that LNG-fired power does not put the government’s energy goals out of reach. Doing so would allow stakeholders to pursue LNG contracts and infrastructure plans that are best-suited to deliver Cambodia’s energy objectives.

This article was originally published on Dialogue Earth under a Creative Commons licence.

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Why Cambodia Is Becoming a Strategic Destination for the Automotive Industry?

Cambodia is steadily positioning itself as a rising hub for automotive component production in Southeast Asia. Its central geographic location, youthful labor force, competitive investment climate, and strong trade access are turning the country into an increasingly attractive destination for global automotive manufacturers. Supported by growing investments and export momentum, Cambodia’s automotive sector has begun capturing the attention of regional investors and multinational brands.

Expanding Automotive Capacity and Rising Global Presence

In recent years, Cambodia has witnessed a steady increase in both automotive assemblers and component manufacturers. Japan, Korea, and China remain the main sources of foreign investment, while Thailand and Japan serve as the country’s largest export markets for automotive-related products. The presence of major assemblers such as Toyota and RMA, alongside globally recognized component producers like Denso and Sumitomo, illustrates the sector’s rising credibility. As of April 2024, total committed investment in the sector reached USD 1,687 million, strengthening Cambodia’s position in regional supply chains. Automotive component exports between 2020 and 2022 amounted to more than USD 484.78 million, supported by an impressive 10% compound annual growth rate, confirming the sector’s long-term potential.

A Thriving Motorcycle Industry Driving Domestic Demand

Cambodia’s domestic motorcycle market remains one of the most active in the region, with over 400,000 motorcycles produced annually. This strong local demand has attracted assemblers and component manufacturers seeking opportunities to expand their production lines. The continuous rise in motorcycle use. particularly among young urban residents, acts as a catalyst for the broader automotive ecosystem.

Sustainable, Consistent Economic Growth

Cambodia’s economic environment has proven resilient and increasingly conducive to industrial expansion. With a 10% GDP compound annual growth rate over the past decade, the country continues to strengthen its macroeconomic foundations. Major infrastructure investments, including the $1.9 billion Phnom Penh–Sihanoukville Expressway and the $150 million Siem Reap 38-road project, support smoother logistics and lower transportation costs for manufacturers. Electricity infrastructure has also improved significantly, with power capacity increasing more than tenfold over the past 15 years and costs dropping nearly 20% over the last decade. Sustainability plays a central role in Cambodia’s growth trajectory: approximately 70% of the country’s energy capacity came from renewable sources in 2019, giving investors access to greener and more reliable power systems.

Read more: Why Invest in Electronics in Cambodia?

Stable, Predictable Business Conditions

Beyond infrastructure, Cambodia offers a stable and predictable business environment supported by low inflation, steady exchange rates, and decreasing unemployment. These conditions strengthen investor confidence and ensure long-term operational stability. Manufacturers benefit from a climate that allows for forward planning, stable pricing, and reduced economic risk, an important advantage in the global automotive industry.

Strong Trade Access and Strategic Connectivity

Cambodia’s strategic connectivity gives automotive manufacturers access to major regional markets. As a member of ASEAN, the country benefits from multiple free trade agreements and participates in the Regional Comprehensive Economic Partnership (RCEP), the world’s largest trade deal, representing nearly 30% of global output. Cambodia also plays a pivotal role in the Southern Economic Corridor, linking Myanmar, Thailand, and Vietnam. With 17 airports, including three international hubs, the country provides strong air connectivity, while the Sihanoukville Special Economic Zone (SSEZ) ensures reliable access to sea, road, rail, and air transportation.

Read more: What Does the 20% Capital Gains Tax Mean for Cambodian Investors?

Moreover, borders with Thailand, Vietnam, and Lao PDR place Cambodia within hours of several major ASEAN markets. Four Special Economic Zones (SEZs) are situated along the Thai border and 13 near Vietnam, enabling manufacturers to integrate smoothly into cross-border production networks.

A Young, Skilled, and Competitive Workforce

Cambodia’s population of 16 million offers one of the youngest workforces in Asia, with over 60% under 35. With an 80% labor force participation rate and literacy levels nearing 90%, the country provides a ready pool of increasingly skilled talent for secondary and tertiary industries. Labor competitiveness remains a major draw for international investors, supported by a monthly minimum wage of USD 208, making Cambodia one of the most cost-efficient locations for automotive manufacturing in the region.

Read more: Phnom Penh Land Prices in 2025

Investor-Friendly Policies and Attractive Incentives

Cambodia’s regulatory environment reflects its commitment to supporting foreign investment. The country enforces an open economic system where foreign and local investors receive equal treatment. There is no requirement for local equity participation, and the government does not control product or service pricing for investment projects. Currency conversion and repatriation of profits are permitted without restrictions, further easing business operations.

Qualified Investment Projects (QIPs) receive a wide range of incentives, including up to nine years of income tax exemption, export tax exemptions, full import duty exemptions, and VAT exemptions for local production inputs. Investors also benefit from a 150% tax deduction for R&D, training, innovation, and machinery upgrades. The Council for the Development of Cambodia (CDC) streamlines the investment process through a single-window service, issuing registration certificates within 20 working days for projects not listed under restricted categories.

Conclusion

Cambodia’s automotive sector is entering a new era of growth driven by young talent, strategic connectivity, investor-friendly policies, and long-term sustainability efforts. With rising global brands establishing operations and consistent improvements in infrastructure and trade access, the country stands out as a competitive and promising destination for automotive manufacturers and component producers looking to expand into Southeast Asia.

Source: CDC

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The highly-anticipated and debated Funan Techo Canal project was launched on August 5th 2024 with the ambitious plan to connect Cambodian waterways over the length of 180 kilometres passing through Kandal, Takeo, Kampot, and Kep provinces at a cost expected to be approximately USD $1,7 billion. It’s one of several large-scale infrastructure projects in the Kingdom trying to shape the economic standing of the country.

The project was announced in 2023 following 26 months of feasibility studies and had a targeted completion date in 2028 when it was announced. However, Hun Manet said in a speech in May 2024 that the project might take 5-6 years to complete while other observers have questions if the project is in fact under-budgeted.

The groundbreaking ceremony was held in Prek Takeo village, Samrong Thom commune in Kandal province’s Kien Svay district, which was presided over by Samdech Moha Bovathibodi Hun Manet, Prime Minister of the Kingdom of Cambodia and First Lady Lok Chumteav Dr. PICH. Chanmony HUN Manet and in attendance were deputy prime ministers, senior ministers, and ministers.

The Funan Techo Canal is a significant project aimed at enhancing the country’s logistics and economic capabilities, so can it deliver on its hype?

Cambodia Celebrates The Canal’s Launch

Just days before the ceremony, it was announced that the day would be celebrated as a national public holiday to mark the occasion, and as many as 10,000 people were expected to attend, with the event marked by the sound of bells, gongs and drums across the country at 9:09 AM.

Two large-scale concerts were held, one on Koh Pich in Phnom Penh and another in Kandal’s Takhmao town while the Kandal provincial administration prepared Kun Khmer, Bokator and other forms of martial arts competitions to mark the milestone. There were also fireworks planned to be held in the capital later in the evening.

What Do You Need To Know About This Major Cambodia Infrastructure Project – Cambodian Funan Tech Canal

FTC Length and Structure

The canal is planned to be 180 kilometres long, connecting Phnom Penh to the coastal province of Kep, ultimately reaching the Gulf of Thailand.

Split into three stages, starting in the Takeo Canal of the Mekong River, the project will pass through Prek Ta Ek of the Bassac River, Prek Ta Hing of the Bassac River, Koh Thom district, and onto the sea in Kep province – in total passing through four provinces (Kandal, Takeo, Kampot, and Kep).

1. First Segment (20km): Connects the main Mekong River to the Bassac River.

2. Second Segment (30km): Follows the natural course of the Bassac River.

3. Third Segment (130km): Connects the Bassac River to the Gulf of Thailand through the port of Kep.

The Funan Techo Canal will be approximately 100 meters wide at the top and 80 meters wide at the bottom with a depth of 5.4 meters (navigation depth of 4.7 meters and safety distance of 0.7 meters), with two lanes designed to accommodate vessels to safely travel in opposite directions and with a deadweight tonnage (DWT) of up to 3,000 tons.

• The project was initially said to include three dams/sluices, 11 bridges, and a 208-kilometre sidewalk, as well as provide navigation assistance and other river-crossing infrastructure.

• It is designed to accommodate cargo ships up to 3,000 tons in the Cambodian dry season and 5,000 tons in the rainy season.

Cost and Funding The Funan Techo Canal

The project is estimated to cost around USD $1.7 billion, with funding primarily from the China Road and Bridge Corporation under a 50-year Build-Operate-Transfer (BOT) model. In June 2024, Prime Minister Hun Manet confirmed that a 51 per cent stake would be held by Cambodian investors.

Around 1.6 million people live on either side of the planned canal and will be impacted. The government said “fair compensation” and resettlement with a similar approach taken with the Phnom Penh-Sihanoukville Expressway will be implemented.

Some reports have suggested that the expected cost is too low and potentially the economic rewards too high.

Pham Phan Long, founder of the Viet Ecology Foundation wrote, “The Funan Techo Canal will be as long as the (Phnom Penh- Sihanoukville) highway but three to four times wider. The canal structure must be engineered to withstand both water pressure and turbulence from moving merchant ships up to 5,000 DWT. That heavy load requires that the canal have a stronger bed than the expressway.”

He added that according to some experts, particularly from China, that a similar 100km canal in China cost over USD $10 billion to develop.

Cambodian Economic Goals Spurred By Canal Development

The Cambodian FTC aims to reduce Cambodia’s reliance on Vietnamese trade routes, potentially cutting shipping costs by 70 per cent and generating significant revenue from tolls.

By reducing the duration, distance, and cost of current transportation; the peripheral economic construction and economic developments and major job creation at the existing Sihanoukville Autonomous Port, Phnom Penh Autonomous Port, and other ports; the project will serve as a flagship for promoting sustainable urban development; promoting real estate growth and the Kingdom’s economic development.

Deputy Prime Minister Sun Chanthol, First Vice President of the Council for the Development of Cambodia, stated in April 2024 that the canal is expected to generate USD $88 million annually in the first year and $570 million annually by 2050, and create approximately 1.6 million jobs as well as boost agricultural productivity through improved water resource management.

These economic windfalls are based on the Economic Internal Rate of Return (EIRR) and Chanthol added that the Ministry of Economy and Finance (or the World Bank) only provides funding to projects if the EIRR calculation is at least 12 per cent, but in the case of the Techo Funal Canal the estimates are for 30%.

The construction would span such a vast length of the waterways, that the government anticipates residual benefits too. These would include:

• The establishment of trade zones and logistics centres

• Development of new satellite cities/areas

• Expansion of development zones for agriculture, irrigation, aquaculture, and animal farming.

This will continue to open up opportunities in Cambodia’s commercial real estate sector.

Strategic Importance

The Funan Techo Canal is seen as a vital project for Cambodia’s aspirations to become a major logistics hub in Southeast Asia. Positioned to facilitate smoother trade routes, enhance connectivity within the country, and attract foreign investment.

The canal will also link to Cambodia’s Sihanoukville Special Economic Zone, which has been a focal point of investment under China’s Belt and Road Initiative (and an area offering real estate incentives to address the unfinished buildings under the Special Investment Promotion Programme for Sihanoukville).

Environmental and Regional Concerns

The Cambodian government has highlighted the potential benefits, but the canal has raised concerns (notably from Vietnam). They have expressed concerns about the environmental impact on the Mekong Delta and that it could have contravened the Agreement on Sustainable Development Cooperation of the Mekong River Basin signed in 1995 by Cambodia, Laos, Thailand, and Vietnam.

Other entities have expressed concerns about the canal potentially enhancing Chinese naval power in the region, primarily due to the likelihood of a Chinese company being involved in its construction but these have been dismissed by the Cambodian government.

Cambodian Prime Minister Hun Manet previously said, “This project is more special than the other infrastructure projects. No project has so far brought such a strong sense of unity to Cambodian people all over the world. Some people may be objecting to this project. Some have been calling for people to stop believing in this project. But this project represents a strong sense of nationalism as it has gained the support of Cambodian people from all walks of life.”

So what are the issues the Funan Techo Canal has raised?

• Environmental Impact: The canal’s construction may disrupt existing ecosystems and alter water flow patterns in the Mekong Delta, potentially exacerbating flooding and affecting agricultural production.

• Geopolitical Tensions: Vietnam has expressed worries about the canal’s implications for its own port traffic and regional security dynamics.

• Feasibility Questions: Critics argue that the projected costs and revenues may be overly optimistic, with some analysts suggesting that the financial viability of the project is questionable.

The Funan Techo Canal represents a bold step in Cambodia’s infrastructure development and is one of many large projects currently under development or seeking public-private funding.

If the development goes ahead without issues or delay, which includes a complex array of economic, environmental, and geopolitical challenges that will require careful navigation, Cambodia will increase its strategic importance as a logistics hub which will challenge its neighbours and could reap benefits for a range of industries. 

Source: http://www.realestate.com.kh

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