Was Cambodia’s Senate built with scam money?

Cambodia’s new Senate building, inaugurated last week in Phnom Penh, is drawing scrutiny not for its architecture but for its financing. Officials have confirmed the “Solidarity Palace” was funded by leading business figures, including tycoon Ly Yong Phat, who was sanctioned by the United States in 2024 for alleged links to human trafficking and online scam centres.

The four‑storey complex, initiated by Senate president Hun Sen, boasts a helipad and reception facilities for foreign dignitaries. While officials declined to reveal the overall cost, a donor plaque inside lists 11 contributors. Ly Yong Phat’s name tops the list. He attended the opening ceremony alongside King Norodom Sihamoni and Prime Minister Hun Manet.

Ly Yong Phat has rejected accusations of involvement in cybercrime and money laundering, calling them “fake and damaging to his reputation”. Yet his inclusion highlights the overlap between Cambodia’s political elite and business networks accused of profiting from the region’s scam industry, which extracts billions of dollars annually through fraudulent online schemes.

Another donor, Hun To — a cousin of Prime Minister Hun Manet — has also faced questions. He previously admitted holding a 30 per cent stake in Huione Pay, a digital payments platform sanctioned by Washington for laundering funds linked to transnational scams. Hun To insisted he never received profits or assets from the venture.

Huione Group, the parent company, was accused by US authorities in 2025 of funnelling money for criminal organisations across Southeast Asia. Its former chairman, Li Xiong, was extradited to China earlier this year to face charges of running a major gambling and fraud syndicate. The National Bank of Cambodia has since revoked Huione’s licences.

The Senate inauguration comes as Cambodia attempts to reassure investors it is tackling cybercrime. Officials stress the building was “designed, built and funded by Cambodians”, but the presence of sanctioned donors underscores the financial entanglements between the regime and figures targeted by international watchdogs.

Analysts say the reliance on such financiers reflects both the regime’s consolidation of power and its vulnerability to external pressure. For Washington, the ceremony is another reminder that Cambodia’s political institutions remain closely tied to business empires accused of fuelling the region’s scam economy.

-2026-08-23