On May 5, the United States imposed sanctions on a Myanmar warlord, Saw Chit Thu, his two sons, and the militia he leads, the Karen National Army (KNA), for their involvement in cyber scams, human trafficking, and cross-border smuggling, according to the U.S. Treasury Department. Saw Chit Thu is a key figure in a network orchestrating cyber fraud operations targeting Americans. The United Nations has reported that criminal gangs in Southeast Asia have trafficked hundreds of thousands of people, forcing them to work in these scam operations.

The sanctions freeze any U.S. assets held by Saw Chit Thu, his sons Saw Htoo Eh Moo and Saw Chit Chit, and the KNA. Americans are also prohibited from doing business with them. Britain and the European Union have previously imposed similar sanctions on Saw Chit Thu. The KNA operates out of the "Special Economic Zone" in Shwe Kokko, along the Thai-Myanmar border, where trafficked individuals are forced into online scamming under the militia's protection.

Michael Faulkender, U.S. Deputy Secretary, stated that cyber scams run by groups like the KNA generate billions for criminal figures while stealing from victims. In response, a KNA spokesperson, Naing Maung Zaw, expressed disbelief at the sanctions, claiming the group was working to combat scam centers and repatriate victims.

Saw Chit Thu’s relationship with Myanmar’s military rulers has bolstered his position, highlighted by an honorary title awarded by junta leader Min Aung Hlaing in 2022. Since the military coup in February 2021, the U.S. has imposed several rounds of sanctions on Myanmar's junta. The latest sanctions are the first related to Myanmar under President Biden’s administration. Additionally, the U.S. Treasury Department recently proposed banning Cambodian financial firm Huione Group from the U.S. financial system over its alleged involvement in laundering funds from cyber crimes and scams.