Recent border tensions between Thailand and Cambodia have cast a spotlight on a shadowy multi-billion-dollar casino empire thriving along their shared frontier. A new report from the Centre for Gambling Problem Studies reveals a complex web of influential figures, political patronage, and alleged corruption that underpins this gambling network, raising questions about its sustainability amid escalating restrictions and diplomatic friction.
A Booming Border Industry Under Scrutiny
The Thai-Cambodia border, long a hotspot for trade and transit, has become Southeast Asia’s gambling epicenter, with Cambodia hosting around 150 casinos, many concentrated near Thai territory. The largest hub, Poipet in Banteay Meanchey province, sits opposite Thailand’s Aranyaprathet district in Sa Kaeo province, drawing an estimated 80% of its clientele from Thai nationals. These casinos, including major operations like Grand Diamond City and Star Vegas, generate staggering profits, often in the billions of Thai Baht, with some transactions reportedly facilitating illicit activities.
The current border dispute, which intensified with clashes at Chong Bok in Thailand’s Ubon Ratchathani province, has disrupted this lucrative trade. Since June 7, 2025, reduced border crossing hours—now limited to 08:00-16:00 at key points like Aranyaprathet-Poipet—along with explicit bans on Thai nationals traveling for gambling, have hit casino revenues hard. Yet, the deeper story lies in the intricate power structures that have allowed this industry to flourish for decades, often out of public view. 
The Powerbrokers of Poipet and Koh Kong
At the heart of this network are influential figures whose business interests span casinos, real estate, and political connections. In Koh Kong province, near Thailand’s Khlong Yai border crossing in Trat province, the Koh Kong Resort casino is a flagship operation owned by Cambodian senator Ly Yong Phat, known in Thailand as “Sia Pad.” Through his LYP Group, Sia Pad controls vast swathes of land and diverse enterprises, from industrial estates to private infrastructure. The Centre for Gambling Problem Studies highlights his close ties to former Cambodian Prime Minister Hun Sen, described as a political “elder brother” who has bolstered Sia Pad’s influence since his early support in Koh Kong electoral campaigns.
In Poipet, the landscape is equally dominated by powerful players. Grand Diamond City, one of the largest casinos, is owned by Watthana Asavahem, a former 11-term Thai MP from Samut Prakan, often referred to as the “Paknam Godfather.” Having acquired the business in 2001 for approximately 700 million Thai Baht (US$19.6 million, based on exchange rates as of June 12, 2025), Watthana reportedly sought to sell it in 2021 for 12 billion Thai Baht (US$336 million). His current legal troubles, including a 10-year prison sentence for land fraud in Thailand, underscore the controversial nature of many figures in this industry.
Other Poipet casinos, such as Holiday Poipet and Star Vegas, involve a mix of international investors from Indonesia, Macau, Taiwan, and Thailand, alongside Cambodian political elites. These joint ventures often rely on a “nominee shareholding” system, where local influentials secure stakes in casino operations through land ownership, creating overlapping profit-sharing arrangements with both central and provincial authorities.
Cross-Border Networks and Allegations of Corruption
The Centre’s research points to systemic corruption facilitating the casino trade across the border. Operators reportedly pay bribes to officials on both sides to manage border crossing schedules, passport processing, and inspections, ensuring a steady flow of gamblers and funds. More troubling are claims that these casinos serve as money-laundering hubs for Thai elites engaged in illegal activities. While such allegations remain unconfirmed by primary sources, the report suggests a symbiotic relationship between casino owners and high-profile clients who obscure the origins of their wealth through gambling transactions.
One notable case involves Kok An, a wealthy Cambodian businessman and adviser to Hun Sen, linked to the Princess Crown casino project in Poipet. According to the report, the project violated border agreements, sparking protests from Thailand and forcing a halt to construction. Such incidents highlight the geopolitical sensitivities surrounding these developments and the potential for business interests to exacerbate diplomatic tensions.
International Dimensions of a Regional Empire
The casino network along the Thai-Cambodia border is not merely a bilateral affair; it draws in players from across Asia and beyond. Malaysian tycoon Chen Lip Keong controls Naga World through NagaCorp, while Indonesian businessman “Tony” owns stakes in Holiday Palace and Holiday Poipet. Macau Chinese investors and Taiwanese groups are also deeply embedded in operations like Star Vegas, alongside Thai entrepreneurs from Sa Kaeo and beyond. This international web of ownership complicates efforts to regulate the industry, as profits flow across borders and jurisdictions.
For Cambodia, the casino boom has been a double-edged sword. While it brings significant revenue and employment, particularly in border provinces like Banteay Meanchey and Koh Kong, it also fuels social issues such as gambling addiction among Thai visitors and local communities. For Thailand, the proximity of these casinos poses a policy dilemma, balancing domestic anti-gambling laws with the reality of cross-border travel and economic interdependence.
Border Restrictions and Uncertain Futures
The recent border restrictions, implemented in response to territorial disputes, have thrown the casino industry into disarray. With crossing hours curtailed and explicit prohibitions on gambling-related travel for Thai nationals, operators face a sharp decline in footfall. The Aranyaprathet-Poipet checkpoint, a lifeline for Poipet’s casinos, now operates under stringent controls, reflecting what some analysts see as a broader Thai effort to curb cross-border crime and gambling addiction.
Yet, these measures also expose the fragility of an industry built on political goodwill and porous borders. If tensions persist, the economic fallout could be severe, not only for casino owners but also for the thousands of workers and ancillary businesses—hotels, transport, and retail—that depend on gambling tourism. Cambodian authorities, meanwhile, may face pressure to diversify their border economies, reducing reliance on a sector increasingly under international scrutiny.
Questions of Accountability and Reform
The Centre for Gambling Problem Studies describes the casino network as a “colossal profit machine” that connects political and business elites across Thailand and Cambodia. While the report stops short of definitive evidence on some of the more serious allegations, such as money laundering, it raises critical questions about transparency and accountability. How have these networks operated with such impunity for decades? And what role do state actors play in perpetuating a system that appears to prioritize profit over public good?
For now, the Thai-Cambodia border remains a flashpoint, both diplomatically and economically. As governments on both sides grapple with the fallout of their dispute, the future of this multi-billion-dollar casino empire hangs in the balance. Observers and policymakers alike are left to ponder whether this moment of crisis could spur meaningful reform—or whether the entrenched interests of a powerful few will continue to shape the frontier’s fate.
