January devoid of fraudulent money-siphoning apps: The elusive disappearance of equine accounts and the prevalent trend of fund transfers via the cryptocurrency market in Thailand.

Yesterday, the Bank of Thailand hosted a Coffee Hour at BOT where the media had the opportunity to inquire about the progress made in addressing financial fraud issues over the past year. Mr. Rung Mallika Massa, Deputy Governor of Financial Stability, Ms. Darani Saeju, Assistant Governor of Payment Systems Oversight, and Mr. Peerajit Patomsut, Director of Financial Consumer Protection and Inspection, provided additional information from previous press releases.

A significant change noted was the absence of unauthorized payment fraud cases in January compared to the previous year, with only a few cases reported towards the end of 2024. However, other forms of fraudulent schemes enticing victims to transfer money independently still persist. The crackdown on mule accounts has forced criminals to alter their tactics, limiting transactions to a single account before swiftly transferring funds to cryptocurrency accounts.

Currently, the overall damage stands at 75%, with the majority of funds being sent to the local cryptocurrency market. The challenge lies in the complicated process of exchanging information between mule accounts and the cryptocurrency market, often requiring police coordination through the Anti-Money Laundering Act. Future amendments to regulations aim to streamline this exchange process.

At present, the account management process involves identifying suspicious mule accounts without waiting for legal proceedings. Despite the risk of false positives, banks often release accounts easily once identified as mule accounts, as the perpetrators tend to abandon these accounts. In cases of reporting errors by law enforcement or regulatory agencies, corrective measures must be undertaken promptly by the notifying party.

TLDR: The Bank of Thailand addressed financial fraud issues, with a decrease in unauthorized payment fraud cases noted. Efforts to combat fraudulent schemes continue, with a focus on mule account management and cooperation with cryptocurrency markets. Regulatory revisions are planned to facilitate information exchange between accounts and cryptocurrency platforms.