17-11-2023 (YANGON) Laukkai, a town in northern Myanmar infamous for its gambling dens, prostitution rings, and online scams, is witnessing a mass exodus as thousands of residents flee in anticipation of approaching conflict. In October, ethnic minority groups launched an offensive against the military in northern Shan state, presenting the most significant challenge to Myanmar’s ruling junta since its takeover in 2021.
Long caravans of people now stretch out of Laukkai, with residents seeking refuge in the rugged hills near the Chinese border as an armed alliance closes in. Reports indicate that the town is emptying out, and the situation is becoming increasingly precarious.
A construction worker, Mr Aung Aung, recounted the dire conditions that led to his decision to flee, citing escalating prices that left his employer unable to provide food. As the conflict intensifies, residents face the impact of air strikes and artillery shells, prompting fears and necessitating their escape.
Laukkai gained notoriety in 2009 when junta chief Min Aung Hlaing, then a regional commander, expelled the Myanmar National Democratic Alliance Army (MNDAA). Subsequently, a militia was installed, engaging in drug production and fostering a lucrative environment of gambling and sex trade catering to Chinese visitors.
Access to Laukkai is tightly controlled, with a correspondent noting the lawlessness a decade ago when rival gangs made arrests at gunpoint. The town’s boom attracted migrant workers, including those engaged in car mechanics, such as Mr Kyaw Kyaw, who reported earning around US$400 per month before deciding to flee.
The town’s darker underbelly included brothels, drugs, and a burgeoning online scam industry. Analysts suggest that thousands of trafficked individuals from China and other countries were forced to participate in online scams, angering China, a key ally of the junta. Despite China’s requests for crackdowns, suspicions linger that scam compounds still operate in Laukkai under militia guard.
Residents who managed to escape faced a challenging journey, seeking refuge in villages held by ethnic armed groups, including the MNDAA and the United Wa State Army (UWSA). The UWSA provided food and transportation for the displaced, but they were required to leave behind their possessions.
As Laukkai remains surrounded by ethnic armed groups, the UN estimates that over 200,000 people have been displaced across Myanmar due to the ongoing conflict. The MNDAA recently announced the encirclement of Laukkai and pledged to hand over captured scam operators to Chinese authorities.
Residents like Mr Aung Aung, thankful to be away from the escalating violence, find themselves displaced and uncertain about their return. The journey back home, often spanning hundreds of kilometers, is fraught with challenges, including financial strains. As Laukkai faces an uncertain fate amidst the broader conflict in Myanmar, the exodus continues, leaving residents yearning for the safety and stability of their homes.