As telecommunications fraud in Myanmar intensifies, the Chinese authorities have finally decided to take strong action. After being on the wanted list by the police for four days, the leaders of the “Ming family,” Ming Guoping, Ming Julan, and Ming Zhenzhen, were arrested by the Myanmar police and handed over to China. The head of the Ming family, Ming Xuechang, also took his own life out of fear.
In addition to the emerging power family “Ming family,” the Kokang “Four Major Families,” consisting of the “Bai family,” “Wei family,” and two “Liu families,” have been entrenched in Kokang for years, controlling the local economic lifelines and military resources. Some Chinese media accuse them of various degrees of involvement in the telecommunications fraud industry.
Kokang is located on the border between Myanmar and Yunnan, with an area about 2.5 times that of Hong Kong, and 98% of it is mountainous. According to Kokang’s public network, the 2014 census data showed that Kokang had approximately 150,000 residents, with the majority belonging to ethnic minorities from China.
Due to economic and cultural underdevelopment, over 90% of the local population does not speak the Burmese language but communicates in Chinese and writes in simplified Chinese characters. Despite its unique history and political factors, the region has remained independent of Myanmar government control and has been in a state of armed autonomy for an extended period.
The “Four Major Families” of Kokang consist of the “Bai family,” “Wei family,” and two “Liu families.” Reports indicate that these families, along with the emerging power family “Ming family,” have constructed a complex and comprehensive social system. They possess their own armed forces and hold crucial positions in local politics, military affairs, and the economy, forming a chain of industries including gambling, drugs, and fraud.
It is reported that the Four Major Families are mostly under the leadership of the “Kokang King” Peng Jia Sheng. Born in 1931, Peng Jia Sheng joined the Myanmar Communist Party in 1967. After ending years of war with the Myanmar government in 1989, the Myanmar authorities recognized Kokang’s autonomous status. Peng Jia Sheng became the chairman of the first special region in Shan State and the commander-in-chief of the Kokang National Democratic Alliance Army.
Former commander of the Kokang National Alliance Army and former chairman of the first special region government in Shan State, Bai Suo Cheng, is the head of the “Bai family.” He began following Peng Jia Sheng in 1965 and was appointed deputy commander of the Kokang National Alliance Army in 1989, becoming the second in command. In 2009, after Peng Jia Sheng’s defeat in the war against the Myanmar government, Bai Suo Cheng allied with the Myanmar government, becoming the new leader of Kokang and starting the era of the Four Major Families in Kokang.
Bai Suo Cheng’s eldest son, Bai Yingneng, currently serves as the secretary of the Kokang Gongfa Party (the ruling party established by the military government) and the chairman of the Baisheng Group, a conglomerate monopolizing industries such as gambling, entertainment, and real estate. Reports suggest that Baisheng Group is an industry organization combining politics and business, with qualifications to operate monopolistic industries in Kokang.
On May 17th this year, Bai Suo Cheng held a 74th birthday celebration. Pictures show him wearing a red robe with a large red flower pinned to his chest, sitting on a double imperial chair, receiving congratulations from others. It is reported that Bai Suo Cheng has been hosting birthday celebrations in recent years, excluding 2020 and 2021 due to the pandemic. For Kokang, Bai Suo Cheng’s annual birthday celebration is considered a significant event. Four years ago, his 70th birthday celebration lasted from 8 am to the next morning, attracting nearly ten thousand people from around the world to gather in Kokang Old Street.
In addition to Bai Suo Cheng, the “Wei family” and one of the “Liu families” in the Four Major Families of Kokang were once part of Peng Jia Sheng’s old unit. Wei Chao Ren, the representative figure of the “Wei family,” was a member of the Myanmar Federal Parliament and a member of the Kokang Autonomous Area Committee.
Wei Chao Ren’s son, Wei Qingtao, also known as the “Wei Young Master,” is the president of the Henry Group. Like other second-generation members in Kokang, he not only works in the family business but also holds positions in government departments, particularly in the military. It is understood that the Henry Group appears to be engaged in real estate, tourism, and jewelry, but it is involved in industries such as telecommunications fraud and gambling behind the scenes.
According to reports quoting Myanmar media, Wei Qingtao has been detained by the Chinese police. He recently recorded a video urging his family to release Chinese citizens from the fraud area, saying, “The money we make from telecom fraud is the retirement savings of the Chinese people, and some are for medical expenses and even life-saving money. Many families are broken, and many people are bankrupted. Our family cannot continue like this. We cannot engage in telecom fraud activities anymore. We cannot harm the Chinese people anymore. This time, if the Chinese government is determined to eliminate telecom fraud, we must not entertain any illusions. If there are Chinese casualties or deaths in our area, even one or half, we cannot afford the consequences. The Chinese government will definitely make us pay with blood.”
Liu Guoxi, the former parliament member of the Kokang Autonomous Area and the representative figure of the “Liu family,” passed away in 2020. His three sons and one daughter are currently involved in mining, casinos, hotels, and other businesses in Kokang. His third son, Liu Dehong, is a member of the Kokang Autonomous Area People’s Parliament.
As for the only non-Peng Jia Sheng direct lineage in the Four Major Families, the “Liu family” is represented by Liu Zhengxiang, also known as “Liu A Bao.” Liu Zhengxiang is the chairman of the Welfare Group, the head of the Kokang Autonomous Area Committee, and the chairman of the Welfare Group. In 1992, Liu Zhengxiang founded the Welfare Group, and it was later reported that the group, which operates companies involved in casinos, real estate, and other businesses, is a telecommunications fraud group with over 10,000 employees. In addition, the Welfare Group is said to have close ties with the Myanmar government army.
On October 27th this year, Peng Desheng, the son of Peng Jia Sheng, led the Kokang National Democratic Alliance Army, claiming to combat telecom fraud groups, and launched offensives in many areas in northern Myanmar, directly approaching the headquarters of the Four Major Families—Old Street. However, because Liu A Bao did not participate in the rebellion against Peng Jia Sheng, it is rumored that the alliance did not target him. However, Liu Zhengqi, the younger brother of Liu Zhengxiang and the president of the Welfare Group, has been arrested by the Chinese police.
In addition to the Four Major Families, the emerging power family “Ming family” is also known as the “Fifth Major Family.” Public reports indicate that, apart from the Myanmar military, Kokang has three main armed forces, including the Kokang Militia Brigade controlled by the Bai family, the Kokang Border Defense Camp controlled by Wei Chao Ren’s younger brother Wei San, and the Kokang Police Camp, led by Ming Xuechang’s son Ming Guoan.
On November 12th, Chinese public security authorities issued a notice, publicly announcing the wanted status of important figures in northern Myanmar’s telecommunications fraud, including Ming Xuechang, Ming Guoping, Ming Julan, and Ming Zhenzhen. On the night of November 15th, the Myanmar authorities organized the arrest of Ming Xuechang. During the arrest, Ming Xuechang committed suicide, while the other three were arrested and handed over to the Chinese public security authorities. Ming Guoan, the former head of the Kokang Police Camp, is not on the wanted list. According to reports, Ming Guoan fell off a horse in the streets of Old Street, leading to paralysis, and later went to Thailand for treatment. The position of police camp director was taken over by his brother, Ming Guoping.
It is worth noting that the second generations of the major families in Kokang are gradually taking over the power and dark industries of their predecessors. Through official positions and social connections, they have formed an alliance among the second generations. Whether the long-established black industries of the major families in Kokang can be eradicated amid China’s vigorous efforts to combat telecom fraud and the turmoil in northern Myanmar is a major point of concern for outsiders.