Innocent people and businesses have reportedly been caught in the crossfire as Thai banks froze millions of accounts suspected to be “mules” for scammers over the weekend.
The nationwide crackdown began in August, and weekend reports suggest that banks have frozen three million accounts and imposed daily transfer limits on all bank customers in the Kingdom, according to reports.
However, the Cyber Crime Investigation Bureau (CCIB) reported on Sunday that bank accounts of innocent online vendors and merchants are being frozen too after scammers adopted new methods to launder stolen money, according to the Bangkok Post.
Meanwhile, the Bank of Thailand warned that more people could face freezes as authorities widen the dragnet and investigate mule accounts.
“We urge the public not to panic. The suspension is only temporary and will be lifted once checks confirm no wrongdoing,” said Digital Economy and Society Ministry secretary Wisit Wisitsora-at on Monday, adding that commercial banks may suspend suspect funds for up to three days, while the police may extend the suspension to seven days.
Chinese-affiliated call centers, often based in neighbouring countries, have targeted Thailand this year with online scams, luring victims with social engineering attacks.
Earlier this month, the Thai Police launched a full-time joint operation with Japan and India, as part of ongoing efforts to dismantle call center syndicates.
Foreigners targeted
Expatriates residing in the country have taken to social media and online forums in droves to complain about being debanked or locked out of banking services in the country recently.
Several have seen their accounts at specific banks arbitrarily frozen or restricted for weeks with no explanation. Resident foreigners now have to register their biometrics at their local bank in person and follow strict Know Your Customer procedures to make larger transactions with the mobile apps.
Bitcoin could be the answer
“Thank you, BoT, for the free Bitcoin marketing,” said crypto and technology investor Daniel Batten in response to the news.
“This should be an international story. Thank god for Bitcoin,” said Jimmy Kostro from the Thailand Bitcoin Learning Center.