Madagascar scam crackdown led to 500 arrests, US says

US judicial authorities said on September 9, 2026, that they helped shut down 13 online scam centers in Madagascar run by Chinese citizens, leading to 500 arrests.

Jeanne Pirro, the US attorney for the District of Columbia, said US investigators had travelled to Madagascar over the previous two weeks to assist the operation. She said related US actions included taking down Telegram channels of Xinbi Guarantee, which she described as a scam marketplace, and seizing $52 million in cryptocurrency.

Pirro said the marketplace had more than 650,000 users and was used by vendors to market services for scam operations, including custom investment-scam and laundering websites. The US Treasury announced sanctions against Xinbi Guarantee and two entities that support its activities.

Madagascar's justice ministry said a first group of 50 Chinese citizens had been sent to China after being convicted in Madagascar of crimes linked to online scams. The ministry said they would serve prison sentences in China ranging from two to 10 years, depending on whether they were lower-level participants or bosses. China's embassy in Madagascar said 50 Chinese citizens were sent home and praised judicial cooperation between the two countries.

Pirro said online scam networks were no longer centered only in Southeast Asia and now operated in hubs across Asia, the Middle East, Africa and Central America. She said revenue from such facilities was estimated at $40 billion a year, including $12 billion from Americans who had been deceived.