As Southeast Asia attracts renewed geopolitical and economic attention, particularly amid evolving relations between Thailand and Cambodia, a deeper and more troubling issue is emerging beneath the surface.
Beyond trade routes and regional diplomacy, international observers are increasingly examining Cambodia’s long-standing association with cross-border cybercrime, human trafficking, and large-scale digital fraud.
For years, the country has been cited in reports and investigations as a destination where illicit operations intersect with legitimate-looking businesses. Casinos, hotel complexes, and large real estate developments have repeatedly appeared in discussions about how criminal networks embed themselves within formal economic structures. Recent actions by the United States government have intensified that focus, suggesting a growing willingness to confront these networks at a global level.
U.S. Sanctions and the Business of Online Fraud
Washington’s decision to impose sanctions on financial and corporate entities connected to Cambodia’s casino sector, including Huione and the Prince Group, has once again highlighted the mechanics of so-called “pig butchering” scams. These schemes rely on sustained online engagement—often framed as romantic or investment opportunities—to systematically defraud victims over extended periods.
Human rights organisations and investigative journalists have linked many of these operations to forced labour and human trafficking. Individuals are reportedly recruited or trafficked from abroad, confined within secured compounds, and compelled to participate in cyber fraud under intimidation and physical threat. The combination of digital crime and human exploitation has placed Cambodia under growing international scrutiny, particularly as victims span multiple jurisdictions.
Bao Xiong: A Key Player in Cambodia’s Casino Landscape
At the centre of this scrutiny is Bao Xiong, a Chinese-born businessman who later acquired Cambodian citizenship. Regional reporting frequently describes Bao as one of the most influential figures within Cambodia’s casino and property industries, controlling or influencing a portfolio of high-value developments.
Bao is widely believed to maintain close business ties with Chen Zhi of the Prince Group, a relationship that has attracted attention following recent U.S. sanctions. These associations have raised questions about how capital flows, ownership structures, and operational control are organised within Cambodia’s gaming and hospitality sectors.
Hospitality Projects and Alleged Dual Use
According to multiple accounts, Bao Xiong has overseen or exercised influence over several casino-linked properties across the country. Among the most frequently referenced sites are the Xihu Resort Hotel, the Nanhai International Hotel, and the Peninsula Integrated Resort, a large-scale development project still under construction in Preah Sihanouk.
Publicly, these properties operate as conventional hotels or gaming destinations. Investigators, however, allege that some sites have served a secondary function as operational bases for online fraud. Following the COVID-19 pandemic, several casino developments reportedly pivoted away from traditional gaming activity, becoming hubs for cyber scam operations often described as “call centres.”
Advocacy groups and survivors have claimed that trafficked individuals were housed at these locations and forced to engage in online scams targeting foreign nationals. The Nanhai International Hotel has been repeatedly cited as accommodating individuals involved in cyber fraud activities, while the Xihu Resort Hotel has appeared on monitoring lists linked to scam-related operations.
Ownership Changes and Corporate Shielding
Bao Xiong is also reported to have worked closely with a junior partner, He Cheng, another Chinese national who later became a Cambodian citizen. In recent years, both individuals are said to have transferred ownership stakes in several properties to associates or subordinates.
Such moves are often interpreted by analysts as attempts to create distance between senior figures and direct operational risk. While ownership on paper may change, investigators frequently argue that real control remains unchanged. Similar patterns have been observed in other jurisdictions where organised cybercrime intersects with legitimate business structures.
Law Enforcement Interest Beyond Borders
Sources familiar with the situation suggest that Bao Xiong may now be under active review by U.S. authorities, including the Federal Bureau of Investigation, potentially in coordination with the Department of Justice. Although no formal charges or indictments have been made public, the reported interest reflects a broader evolution in U.S. enforcement strategy.
Under the administration of Donald Trump, American authorities placed increased emphasis on extraterritorial enforcement, particularly where U.S. citizens are among the victims. This approach signals a readiness to pursue alleged offenders operating overseas, even in regions historically viewed as difficult to regulate.
Policy analysts see this shift as a possible inflection point for Southeast Asia. For years, regulatory gaps, opaque corporate structures, and limited cross-border cooperation allowed criminal enterprises to operate with relative confidence. That environment appears to be changing.
The Future of High-Profile Developments
Bao Xiong’s most visible ongoing project, the Peninsula Hotel in Sihanoukville, has been marketed as one of the city’s flagship developments. Designed to symbolise economic growth and foreign investment, the project now faces uncertainty amid rising international pressure and potential legal exposure.
Industry observers increasingly question whether this development—or Bao Xiong’s wider business interests—can continue unaffected if enforcement actions expand. Enhanced financial oversight, international cooperation, and reputational risk are likely to reshape Cambodia’s casino and property sectors in the coming years.
A Narrowing Space for Impunity
What is becoming evident is a shift in global tolerance. Large-scale online fraud combined with systematic human exploitation is drawing coordinated responses from governments and regulators. Financial networks are under closer examination, and jurisdictions once considered peripheral are now part of a broader enforcement landscape.
As scrutiny deepens, Cambodia’s previously opaque criminal infrastructure is facing unprecedented exposure. In that process, influential figures long associated with the casino economy—including Bao Xiong—are increasingly being drawn into the international spotlight.
Read more:
Bao Xiong and Cambodia’s Shadow Economy: Inside a Network of Casinos, Cybercrime and Global Scrutiny
