Hsu/ Thant Zin (NP News) - Nov 4
According to a source speaking to The Statesman, the Karen National Union (KNU) and the KNLA, derive revenue from three main sources, including online scam operations and illegal gold and mineral mining.
Among these revenue sources, online scam operations are reportedly concentrated in KNU Brigades 4, 6, and 7, located closest to the Myanmar–Thailand border.
“These operations must generate revenue as well. Brigade 7 also serves as the KNU’s headquarters, so such activities take place there. Although Darr Baw himself claims he is not involved, some operations are conducted under the names of his wife or younger brother. People simply do not know about it,” the source said.
According to the source, local brigade commanders are directly involved in these scam operations, either by leasing land to operators or running the businesses themselves.
“Online scams, you know. Even though they are illegal, a brigade commander may own an entire scam compound. In other words, these kyar phyant (online scam) operations are conducted under the banner of the liberation struggle. They are among the main business activities,” the source said.
Illegal gold mining operated by the KNU is reportedly most prevalent in Brigades 1, 2, 3, and 5—areas long known for their extensive gold mining operations.
“Gold mining comes first. It is concentrated in Brigades 1, 2, 3 and 5. It has been carried out continuously along that belt. Thaton, Bilin and Shwekyin are gold-producing regions, and mining has been ongoing there. Shwekyin, as its name suggests, really does have gold veins. The Bilin gold belt is also well known,” the source continued.
According to the source, most tin, tungsten, and antimony mining is concentrated in Brigade 6 (Duplaya District) and Brigade 4 (Myeik–Dawei District). KNU-linked operations in these areas reportedly work in partnership with Chinese businesspeople.
“There are also antimony mining sites. Antimony is found in Brigades 6 and 4. They also mine tin and tungsten, and there are mining sites for these minerals. In Brigade 6, for example, the KNU operates mines at a place called Thar Ngei, where tin and tungsten are extracted in cooperation with Chinese operators,” the source said.
According to the source, revenue from checkpoint fees and domestic and cross-border trade has risen since fighting with the military resumed after 2021. The KNU’s expanded territorial control has allowed it to tighten its grip over key trade routes and collection points.
“For example, in Brigade 6 alone, the daily financial turnover generated through its business network—from checkpoint fees and trade—would be at least 500 million kyats. Groups and brigades located closer to the border have greater opportunities to profit from these activities,” the source continued.
In addition to Thai-baht-generating online scams, illegal mining, checkpoint fees, and trade taxes, KNU officials reportedly operate various other illicit ventures. The source noted that even setting aside drug and arms trafficking, the group's daily earnings are enormous, elevating several senior leaders to near-billionaire status.
“They have become wealthy behind the scenes of the war. These are things the public does not know about. In fact, amid the ongoing conflict, I think the KNU’s top leaders are not far from becoming billionaires. That is based on what I have seen of their current assets and business operations. Since I live in this area, I know enough to understand what is going on,” the source said. –
