From Chinese gangs, a former deputy minister of M’sian and Burmese rebels: Kuala Lumpur incident entangled in Myanmar scam centre?

KUALA LUMPUR – Alleged links between a former Malaysian deputy minister and a convicted Chinese triad leader for a project linked to Burmese militias are being investigated by a human rights group in an attempt to link organized crime activities in Myanmar.

According to a report by Burmese activist group Justice for Myanmar, the JW Marriott Hotel here hosted a launch event and investor appreciation evening for the Saixigang Industrial Park in southern Myawaddy, Myanmar on March 15, 2020, just three days before the nationwide lockdown due to Covid-19.

The park, publicly touted as a business and tourism hub led by Hong Kong company Dongmei Investment Group Ltd (Dongmei Group), covers about 20 square kilometres and is said to have attracted billions of ringgit in investment from prominent individuals, including Malaysians.

The inner workings of the park – now known as Dongmei Zone – were previously revealed by the New York Times in 2023. The US daily cited testimony from a Chinese trafficking victim who claimed the heavily guarded site was rife with criminal activity, illegal drugs and brothels.

The Dongmei zone as shown in promotional materials from the developers. – @JusticeForMyanmar X-photo, August 24, 2024

Dongmei Zone was also negatively exposed by local Chinese newspaper China Press in February this year, when it reported that 11 trafficking victims from Malaysia attempted to escape the zone, with only six of them succeeding.

Meanwhile, the US Institute of Peace had reported on Chinese criminal syndicates operating scam centers and casinos along the Thailand-China border, prompting a crackdown by Chinese authorities and the expansion of such operations into areas controlled by the Burmese militia group the Karen National Army (KNA).

Who are the Malaysians allegedly linked to the Dongmei zone?

Based on the US Institute of Peace’s July 2020 report, a Malaysian with a ‘datuk’ title had signed an $8.5 million agreement with Dongmei Group during the Marriott event to develop a nightclub on 3.3 hectares of land in the zone.

Checks by Scoop revealed that the datuk was a colonel in the Royal Malaysia Air Force when he was given the honorary title “Darjah Indera Mahkota Pahang” in 2003.

While Dongmei Zone appears to be backed by a complex international corporate network, Malaysia’s involvement in the project could be through Grand Commerce Network Sdn Bhd.

A Facebook post from a company said to have coordinated the Marriot event showed a digital background with the logo of Grand Commerce Network, a decade-old company jointly owned by former deputy religious minister Datuk Mashitah Ibrahim and her husband Datuk Abdul Shakor Abu Bakar, a former diplomatic officer.

Companies Commission of Malaysia documents seen by Scoop show that Grand Commerce Network, an entity with a share capital of RM1 million, has Mashitah and Abdul Shakor as its sole directors and shareholders. The couple own 85% and 15% stakes respectively.

Mashitah, who is still politically active, was not only a term MP for Baling and former branch head of Umno Wanita, but also served as Deputy Minister of Religious Affairs Datuk Seri Jamil Khir Baharom in the administration of Datuk Seri Najib Razak from 2009 to 2013.

Mashitah and Abdul Shakor’s alleged involvement in the event and its affiliates also appears to extend beyond their company’s presence, with Mashitah calling herself an “iron lady” for the Dongmei Group project in a caption to her Facebook post about the event.

Mashitah called herself an “iron lady” for the Dongmei Group project in a caption of her Facebook post from the event. – Screenshot, August 24, 2024

Convicted criminal Broken Tooth, Dongmei’s main investor

In photos in Mashitah’s Facebook post from the launch of the Dongmei Zone, she and her husband are standing next to convicted Macau mafia boss Wan Kuok-Koi, also known as Broken Tooth.

Wan, now 69, was sentenced to 14 years in prison in 1999 for loan sharking, money laundering and leading a criminal organization.

He was reportedly released from a purpose-built, high-security detention facility at Coloane in 2012.

Less than a year after the Marriott event here, in December 2020, the US Treasury Department announced it would impose sanctions on Wan as a leader or official of an entity that had engaged in corruption – including embezzlement of state assets, corruption involving government contracts, and bribery, to name a few.

The department named Wan as the leader of the 14K Triad, reportedly one of the largest Chinese organized crime groups in the world, involved in drug trafficking, illegal gambling, extortion, human trafficking and a range of other criminal activities.

The department’s Foreign Assets Control Bureau has also identified several entities “owned or controlled” by Wan, including the Dongmei Group and the Cambodian branch of the World Hongmen History and Culture Association (WHHCA).

While the department noted that Wan “led” the Dongmei Group and was a “major investor” in the then Saixigang Zone, documents obtained from Hong Kong’s commercial registry show that Abdul Shakor and fellow Hong Kong official Yong Mun Hong were founders and shareholders of the company.

Meanwhile, the WHHCA, which published several blog posts about the event and other programs related to the Dongmei Group, is believed to be Wan’s brainchild to promote solidarity and cultural exchange among the Chinese diaspora.

However, the US State Department alleged that the 14K Triad had used the association to “legitimize” itself, with the association managing to “co-opt elite figures in Malaysia and Cambodia.”

“The WHHCA is expanding across Southeast Asia, building a powerful business network covering the development and launch of cryptocurrencies, real estate and, most recently, a security company specializing in protecting investments in China’s Belt and Road Initiative,” it added.

Former Malaysian fugitive Nicky Liow

Mashitah’s social media post about the Marriott event suggests she has ties to another controversial attendee: Malaysian businessman Nicky Liow, a former fugitive who was reportedly vice-chairman of the WHHCA when he was accused of involvement in Macau fraud syndicates.

Mashitah (third from left, front row) in a photo with former fugitive and Malaysian businessman Nicky Liow (second from right, front row). – Screenshot, August 24, 2024

About a year after the events, Liow first went on the run from the authorities. Police conducted large-scale operations and raids to uncover his role in an organized crime syndicate that was involved in money laundering, illegal lending, investment fraud and drug trafficking.

Liow, whose “datuk seri” title was revoked by the Pahang Palace in 2021, surrendered on April 11, 2022. The next day, he was arraigned at the Shah Alam District Court on 26 counts of money laundering involving RM36 million worth of funds.

Burmese Militia

A month before the Marriott event where Mashitah and Abdul Shukor were photographed with Wan and Liow, the duo flew to Myanmar to meet a “group of 20 ‘taikos’ (bosses)” as part of the launch of their “first hotel project”.

Mashitah’s post about meeting ’20 taikos’. – Screenshot, August 24, 2024

Wan is believed to be one of the ‘taikos’ Mashitah is referring to, as she uploaded photos of him the following evening, along with her and Abdul Shakor, as they dined at a seemingly upscale restaurant in Mae Sot, Thailand.

“Seek knowledge, even if it comes from the Chinese (because) much knowledge has been gained from them. When it comes to business, the Chinese believe in honesty, hard work, solidarity and blessings from God,” Mashitah said in the February 24, 2020 post.

Mashitah and Abdul Shakor dine at a seemingly posh restaurant in Mae Sot, Thailand, reportedly with Broken Tooth in attendance. – Screenshot, August 24, 2024

Another post from the same date included a photo and video of Abdul Shukor giving a speech at an event known as the Dongmei Zone foundation ceremony, with armed militias providing security in the background.

Abdul Shukor delivers a speech at an event known as the foundation ceremony for the Dongmei zone, where armed militias can be seen in the background. – Screenshot, August 24, 2024

Mashitah’s message about the occasion, which she was also pictured attending, reads: “Proud to be a Muslim. Let there be a Muslim who explores the overseas economy. Done with the groundbreaking ceremony.”

Mashitah’s message during the laying of the foundation stone. – Screenshot, August 24, 2024

When Scoop contacted Mashitah, she denied any involvement with Dongmei Zone, claiming that there was no need to speak to the press as she had already given a statement to the police on the matter.

Inspector General of Police Tan Sri Razarudin Husain has not yet responded to Scoop’s request for confirmation of police procedures regarding Mashitah.

Justice for Myanmar considers the presence of armed militia members at the event, who were identified as KNA soldiers, as evidence of the militia’s involvement in the area.

KNA leader Colonel San Myint, whose real name is Saw Chit Thu, along with several other associates, was listed as a target of financial sanctions by the United Kingdom in December 2023.

He is accused of being responsible for providing support or obtaining benefits from human trafficking to the Shew Kokko Special Economic Zone, where victims were forced to work as con artists.

The Shwe Kokko Special Economic Zone, also in Myawaddy, was developed by Yatai International Holding Group Ltd, a Hong Kong registered entity with headquarters in Bangkok.

In addition to China Press’s report on Malaysian trafficking victims who escaped from the Dongmei zone in April this year, a foreign Chinese-language newspaper also reported that another Malaysian victim was beaten by guards when he tried to flee the zone in February 2023.

Justice for Myanmar has meanwhile reported on how these scam centres operate using victims who have been trafficked. They are lured with promises of well-paid jobs abroad, before being handed over to gangsters upon arrival in the country. – 24 August 2024

The post From Chinese Gangs, a Former Malaysian Deputy Minister, and Burmese Rebels: KL Event Snared in Myanmar Scam Center? appeared first on Scoop.