Tokyo Vice author's viewpoint: Malaysia as an unfavorable location for yakuza operations, contrasted with the favorable business climate in Singapore

In a recent conference, acclaimed American investigative journalist Jake Adelstein shed light on the shifting landscape of organized crime in Southeast Asia, particularly in Malaysia and Japan.

Adelstein described Laos and Cambodia as "ripe for organized crime" corruption, contrasting them with Malaysia's effective measures against organized crime. Surprisingly, he noted that Singapore is a favored destination for organized crime companies, especially those originating from Japan, while Malaysia is considered a "bad place for business" for the Japanese yakuza.

Despite Malaysia's tough stance on crime, Adelstein suggests that it remains relatively unattractive for organized crime syndicates like the Japanese yakuza. This is due to Malaysia's strict laws against criminal gangs, with punishments including a maximum 20-year prison term for being a member of organized criminal groups.

However, Yotoriyama, a former Japanese police division director investigating scams, states that the Philippines and Cambodia are "hot points" for scam groups due to high levels of corruption and a large Japanese diaspora. Yotoriyama also discussed the presence of tokuryū, loosely organized Japanese crime groups that often work with the yakuza, in Malaysia.

Fraud rings targeting Japanese victims have been shifting to South-east Asia, according to Yotoriyama. He believes these rings could be masterminded by Japanese or Chinese citizens, and have been avoiding arrest through bribery and lax enforcement of identity verification when buying SIM cards.

In August last year, Malaysian police arrested 21 non-Japanese suspects in a scam group targeting Japanese victims. Similarly, Malaysian police had arrested Japanese suspects of scam call centres operating in Malaysia: seven in November 2023 and 13 in May this year.

Notable examples of such groups include the Philippines-based fraud ring "Luffy" and "JP Dragon," founded by a former yakuza member. Adelstein suggests that tokuryū could still pose a risk to Malaysia: they might set up operations there if they can get away with it.

Adelstein gained prominence for exposing the nexus between organized crime and law enforcement, including a notable exposé on a yakuza boss's deal with the FBI. He began his career in Japan in 1993 as the first non-Japanese staff writer at the Yomiuri Shimbun.

With advanced translation apps, it is now possible for non-Japanese scammers to impersonate Japanese individuals convincingly. This development could potentially increase the threat posed by scam groups in South-east Asia.

Despite the challenges, Malaysia's geographical and cultural distance from Japan, and the fewer Japanese-specific service providers, make it a less convenient base of operations for scam groups. However, vigilance and continued enforcement efforts are crucial to maintaining Malaysia's reputation as a safe haven from organized crime.