UN Report: Telegram Becomes Center For Dark Market For Southeast Asian Crime Syndicate

Telegram, offers strong encryption and minimal moderation (photo: dock. pexels)

JAKARTA A recent report from the United Nations Office for Drugs and Crime (UNODC) revealed that the Telegram instant messaging application has become the main platform used by organized crime networks in Southeast Asia to carry out large-scale illegal activities.

Telegram, which offers strong encryption and minimal moderation, is used by criminal groups to trade hacked data, such as credit card information, passwords, and an open search history.

In addition to data trading, cybercrime tools such as deepfake software for fraud, data theft malware, as well as money laundering services offered through illegal crypto exchanges are also widely found on the platform, according to UNODC reports. One of the ads in Chinese quoted in the report even claimed to be able to move USD 3 million stolen from abroad per day.

The report also states that the data black market has moved to Telegram, where sellers are actively targeting transnational organized crime groups in Southeast Asia. Southeast Asia has now become the center of a billion-dollar crime industry targeting victims worldwide through various fraudulent schemes.

Many of these syndicates come from China and operate from closely guarded complexes with labor coming from victims of human trafficking. The industry is estimated to generate between 27.4 to 36.5 billion US dollars (Rp429.3 trillion - Rp571.9 trillion) annually, according to UNODC estimates.

The report highlights that criminal groups in the region continue to innovate to maximize the benefits of their illegal activities. They have integrated new business models and advanced technologies such as genative artificial intelligence, deepfakes, and malware into their operations.

UNODC identified more than 10 deepfake software service providers specifically targeting criminal groups involved in technology-based fraud in Southeast Asia.

Telegram's Response and the Legal Actions of Telegram's Founder and CEO, Pavel Durov, who is a Russian citizen, were arrested in Paris in August and charged with allowing criminal activity to occur on his platform, including the spread of images of children who violate the law. These arrests sparked debate over the boundaries between freedom of speech and the platform's responsibility in enforcing the law.

Durov, who is currently released on bail, promised to submit the IP address and user phone number to the authorities who submitted an official lawsuit. He also said that Telegram would remove some of the features that had been misused for illegal activity. However, this response still raises concerns about how Telegram will balance user freedom with law enforcement demands.

Benedikt Hofmann, UNODC's representative representative for Southeast Asia and the Pacific, said that Telegram has become a very friendly environment for criminals. "For consumers, this means their data is at a higher risk of being used in fraud or other criminal activities," Hofmann said.

In addition, the report notes that the enormous profits from illegal activities in Southeast Asia have prompted criminal syndicates to innovate quickly, including using the latest technologies such as deepfakes and generative artificial intelligence to manipulate victims.

In other Asian countries, such as South Korea, where it is estimated to be the country most targeted by pornography deepfakes, authorities have launched an investigation to see if Telegram facilitates online crime.

Last month, a hacker reportedly used a chatbot on Telegram to leak data from one of India's largest insurance companies, Star Health. This prompted the company to sue Telegram, after the chatbot was used to download documents containing names, phone numbers, addresses, and other personal information.

With the growing use of advanced technology by criminal groups in Southeast Asia, the report warns that risks to society and global security continue to rise, unless tougher steps are taken to monitor and regulate platforms like Telegram.

Telegram, which has nearly a billion users worldwide, has yet to provide an official response to the UNODC report, despite sharp criticism from various parties regarding its role in supporting or at least allowing illegal activity to take place on the platform.

This report has re-opened discussions about how far the responsibility of application providers is in fighting cybercrime, particularly in the midst of challenges between maintaining user privacy and ensuring effective law enforcement.