The Billion-Dollars Gambling Empire Unveiled: How Border Disputes between Thailand and Cambodia Unmask Secret Influential Circles
Shedding Light on the Hidden Profiteers Behind Thailand-Cambodia's Cross-Border Gambling Empires
Here’s the lowdown on a fascinating new study from the Center for Gambling Problem Studies that's blown the lid off a gigantic web of politicians, military officials, and business bigwigs who've been raking in dough from illicit cross-border gambling operations between Thailand and Cambodia.
The recent skirmishes at Chong Bok in Ubon Ratchathani province and the subsequent reduction in border crossing hours, effective June 7th, have caused quite a stir. But little did we know that these territorial tiffs have uncovered a hidden goldmine, nestled just behind the Thai-Cambodian border.
The Koh Kong Kingdom
All roads lead to the explosive Koh Kong Resort casino, a mere 800 meters from Thailand's permanent Khlong Yai border crossing in Trat Province. The casino operation belongs to none other than Oknha Ly Yong Phat, a powerful Cambodian senator and shrewd businessman of Chinese-Thai descent. This man controls tens of thousands of rai through his LYP Group, one of Cambodia's biggest corporations under the Li So company umbrella.
Beyond the glitz and glamour of casinos and hotels, Oknha Ly Yong Phat's empire stretches its tendrils into industrial estates, fruit centres, commercial buildings, private roads, and river bridges. Oh, and let's not forget his deep, political connections.
According to the study, Oknha Ly Yong Phat has a close relationship with former Cambodian Prime Minister Hun Sen, whom he allegedly supported during political campaigns in Koh Kong Province, paving the way for electoral victory and his subsequent elevation to Cambodia's highest royal title of "Oknha."
The Poipet Powerbrokers
Cambodia now hosts around 150 casinos, making it Southeast Asia's gambling mecca, with most concentrated along the Thai border. The largest hub is Poipet in Banteay Meanchey province, opposite Thailand’s Aranyaprathet district in Sa Kaeo, where an estimated 80% of gamblers are Thai nationals.
Key Poipet operations include Grand Diamond City, owned by the infamous "Paknam Godfather," Watthana Asavahem, a former 11-term MP from Samut Prakan. He snapped up the business for around 700 million baht back in 2001 and attempted to sell it for a cool 12 billion baht in 2021. Watthana currently faces a 10-year prison sentence for land fraud.
Holiday Poipet represents a joint venture between Indonesian, Macau Chinese, and Thai businessmen, while Star Vegas & Club involves oil tycoons partnering with Taiwanese investors and the brother of a former Cambodian defence minister.
The Shadow Shareholding System
The research exposes a sophisticated "nominee shareholding" system, in which powerful Cambodians leverage land ownership to secure stakes in casino operations. Ex-Khmer Rouge leader Samphor, who became Pailin province’s governor, exemplifies this pattern by opening his territory to Thai investors while demanding partnership stakes in multiple casinos.
This arrangement requires casino operators to fork over overlapping concession fees to both central and local governments, creating multiple layers of profit-sharing amongst political elites.
Cross-Border Corruption Networks
The investigation reveals a systemic web of corruption involving officials on both sides of the border. Casino operators must grease palms to secure border crossing schedules, passport processing, contraband inspections, and cross-border money transfers.
These casinos also serve as money-laundering centers for Thai elite involved in shady businesses, with some casino owners becoming VIP clients themselves. The study identifies "Kok An," a wealthy Cambodian businessman and Hun Sen adviser, who was involved in constructing the Princess Crown casino in Poipet, as an example. The project violated border agreements, infuriating Thai protesters and prompting construction delays with excavated canal soil returned.
Border Restrictions Hit Casino Profits
The current border restrictions have hit casino operations, particularly at the Aranyaprathet-Poipet crossing, where crossing hours have been reduced and Thai nationals are forbidden from travel for leisure or gambling. These measures are an attempt to constrain gambling and cross-border crime but also shine a light on the complex relationships between state power, business interests, and influence networks spanning both countries.
The International Web
The casino network includes an array of international players such as "Tony," an Indonesian businessman owning Holiday Palace and Holiday Poipet; Chen Lip Keong, a Malaysian tycoon controlling Naga World through NagaCorp; Macau Chinese businessmen investing in multiple casinos; and Taiwanese investment groups in Star Vegas. Thai involvement includes "Sia Somboon," former Star Vegas and Star King owner, Cosmo Oil businessmen holding shares in Star Vegas, and local Sa Kaeo entrepreneurs sporting stakes across multiple operations.
The Bigger Picture
As border tensions continue, the future of these multi-billion baht casino networks remains uncertain. The standoff has already disrupted business, but only time will tell whether it will threaten the long-term sustainability of these empire-like gambling enterprises that have thrived in the shadows of the Thai-Cambodia border for decades. Stay tuned as we navigate this unfolding drama!
*Disclaimer: This investigation is based on research by the Center for Gambling Problem Studies examining economic and political elite networks and the impact of border casinos along the Thai-Cambodia frontier.
Enrichment Data:The duration of the Thai-Cambodia border dispute could drag on due to diplomatic negotiations, governments' willingness to compromise, and broader geopolitical dynamics. As of June 2025, tensions persist, with Cambodia indefinitely closing a key border crossing and deploying troops on alert, while Thailand tightens border controls and limits crossing hours. Both countries express an interest in resolution, with meetings being held in Phnom Penh and prior agreements to reposition troops to avoid further clashes[1][4][5]. The border skirmishes trace back to disputed colonial-era demarcation and have led to sporadic violence since 2008, with Cambodia indicating plans to file a complaint with the International Court of Justice regarding four contested areas. However, Thailand rejects the court's jurisdiction, which could further prolong the standoff[1][4]. The dispute's impact on casino networks is already evident, as border restrictions and Thai nationals' prohibition from travel for gambling have been implemented at the Aranyaprathet-Poipet crossing[5]. Prolonged tensions could disturb operations, reduce revenue, and invite regulatory scrutiny, while swift resolution could allow business to return to normal. However, ongoing instability could threaten the long-term viability of the region's gambling empires[5].
- The study reveals that politicians, military officials, and business moguls have been profiting from cross-border gambling operations between Thailand and Cambodia, extending their influence into various sectors like casinos, hotels, industrial estates, and more.
- Beyond the gaming industry, some of these powerful individuals are also players in the international business world, such as Tony, an Indonesian businessman, Chen Lip Keong, a Malaysian tycoon, Macau Chinese businessmen, Taiwanese investment groups, and Thai businessmen like Cosmo Oil businessmen.
- Politicians and elite individuals on both sides of the border have been implicated in corruption networks, with casino operators often needed to bribe officials for services such as passport processing, border crossings, and money laundering.
- The complex relationships between state power, business interests, and influence networks span both countries, and the unfolding drama of these casinos and their hidden profiteers is influenced by international players, political dynamics, and geopolitical factors.
