Ghost Town in Malaysia Turns Into Scam Hub
Forest City, a 100‑billion‑ringgit development built on Malaysia’s southern coast, was unveiled in 2016 as a “dream paradise” capable of housing 700,000 residents. A decade later the 14‑square‑kilometre island remains largely vacant, with only a fraction of its projected population living there.
Its quiet streets and deserted beaches have earned it the nickname “ghost city”, but the very characteristics that make it appear empty also make it attractive to international scam syndicates. In mid‑July, Malaysian police raided 32 premises across Forest City, arresting 335 individuals – 309 Chinese, 19 Indonesians, three Malaysians and four Myanmar nationals – and seizing equipment worth about one million ringgit (US$245,000), including over 300 computers, 1,557 mobile phones, 17 laptops and 10 modems.
According to the police, the seized sites operated as call‑centre hubs that ran investment and “love” scams, exploiting victims overseas through cryptocurrency channels. Police are coordinating with Interpol to track the mastermind behind the operations. The BBC was unable to obtain comment from Forest City management or the Johor police chief.
Experts say the situation in Forest City mirrors the rise of a global scam industry that is becoming “more professionalised” and “larger in scope.” Researcher John Wojcik of TRM Labs noted that crime operations are increasingly embedded in legitimate‑looking commercial developments, which makes detection harder and allows them to exert significant influence through large profits.
While much of the scam industry still relies on exploitation of trafficked individuals, there is a trend toward recruiting experienced scammers with better pay and conditions. This has led to the emergence of a small professionalised cadre that advertises in online groups, posts resumes and expands their reach by exploiting the infrastructure of otherwise empty, highly connected sites such as Forest City.
Residents of Forest City, such as a property sales tenant who declined to name himself or a former Singapore resident who works in tech, express indifference to the allegations, citing the need to focus on their careers. Yet the fact that more people are starting to move into the complex suggests a shift from a ghost town towards a working community - possibly exposing them to the risk of becoming unknowing participants in illicit schemes.
The recent raid highlights the changing face of organized crime in Southeast Asia. With many “ghost cities” and other under‑utilised developments flush with modern infrastructure, there is a growing concern that these sites could become hubs for trans‑national scam operations in the years ahead.
