Vietnamese business executives received horrifying messages on their phones – deepfake images of themselves and a demand that they immediately pay $80,000 in crypto to avoid those photos from being released.
Over 1,000 business executives were targeted, and over $8,000,000 was collected by the scammers.
Perhaps most alarming is that the scheme appears to be masterminded and carried out from Pig Butchering compounds in Cambodia.
AI Meets Old Fashioned Intimidation With Photos And Videos
According to reports, the scam was pulled off by Chinese Nationals that were using AI to create the deepfakes.
“Hello, I am a private investigator hired to investigate you,” began one threatening message received by a victim. “I have been secretly monitoring your activities and discovered indecent, immoral behavior while in your position of power. I have recorded inappropriate video footage of. you”.
The scammers delivered the messages multiple ways, sending images and videos via phone messages and others via social media. In some cases they even physically delivered threatening letters to the victims homes and workplaces to raise the level of fear.
Another message demanded crypto payments or a threat if the victims did not.
“If you do not want to lose your job, reputation, or wish to resolve this discreetly within three days, transfer 80,000 USDT (a cryptocurrency) to me… Otherwise, I will post all collected images and video clips on major websites, paste them around your home and workplace, and report you to your superiors and related agencies, destroying your reputation…”
They Rented Bank Accounts From Vietnamese Citizens
Investigators in Vietnam determined that the Chinese-run criminal gang spanned multiple countries. Chinese nationals either entered Vietnam directly or worked with local Vietnamese accomplices who provided internationally roaming SIM cards, taxi services, and currency exchange along the Vietnam-China border.
After obtaining the SIMs, the criminals returned to border towns in China where they created the deepfakes and then sent the extortion messages.
To facilitate the payments from victims, the criminals rented bank accounts from Vietnamese citizens who were housed in high-rise buildings in Cambodia (aka scam centers). The investigators found 71 rented bank accounts used in the scheme.
$8 Million Lost To AI Scam And 1,000 Victims
On February 18, 2025, the Ministry of Public Security’s Investigation Department in Vietnam began to arrest suspects that were involved in the scheme.
They arrested nine individuals just north of Ho Chi Minh city that were involved in the scam. It was after the arrest that they learned that the Chinese fraud ring that masterminded it appeared to be working from scam compounds in Cambodia.
An Alarming Trend That Began Months Ago
AI deepfake extortion attacks are the latest threat emerging from scam compounds in Cambodia and Myanmar.
In Singapore recently, more than 100 public servants, including five cabinet ministers, received emails containing a sinister threat: pay $50,000 in cryptocurrency or face the consequences of doctored videos showing them in compromising situations.
The scammers harvested publicly available photos from LinkedIn and YouTube and then used deepfake AI software to superimpose the officials’ faces into compromising situations.
In Hong Kong, attacks emerged last November that appeared to be eeirly similar. Hong Kong Legislative Council members received extortion e-mails starting November 23,2024 demanding large payments to avoid being exposed.
Companies in US Should Prepare Executives
The prolific scam compounds out of Cambodia, appear to be shifting their tactics and this scheme will soon shift to other regions including US, Canada, Australia, Europe and South America.
Organizations may soon need to prepare for swot teams that can debunk AI extortion attacks against their executives.
