Young and Dangerous - The New Age Digital Businesses of the Bamboo Union Triads
The Asian Crime Century briefing 59
In recent weeks the business of the Bamboo Union triads have been apparent from cases in Taiwan, where the group is centred and most active.
The Bamboo Union triad society, or United Bamboo Gang, or ‘Chuk Luen Bong’ (竹聯幫), was established in Taiwan in 1956, largely comprised of many offspring of mainland Chinese who had fled from the communist forces in 1949. One group of Chinese exiles residing at Wing Wor Village on the outskirts of Taipei were repeatedly attacked and extorted by established local gangs, and so they grouped together to form the Chuk Luen Bong, literally translated as ‘Bamboo United Gang’ with the name derived from the bamboo groves that surrounded Wing Wor Village. The Bamboo United Gang were generally supportive of the Kuomintang and flourished. The original United Bamboo Triad society was reportedly comprised of five branches, which were lion, tiger, leopard, phoenix, and duck.
The digital age of criminality is well illustrated by the Bamboo Union led business lines. In February, Taipei police announced that they are investigating a group of around 12 suspects led by a member of the Bamboo Union who were operating a fraudulent cryptocurrency mining scheme that defrauded investors out of NT$100 million (US$3.2 million). The police stated that the Bamboo Union ringleader, surnamed Chang, convinced the owner of a crypto mining operation that he could help him find investors for a second crypto mine for an advance fee. Chang and the gang took the advance fee as well as the funds sent by crypto investors, who were told that the crypto mine had failed and the funds were lost. Chang and the gang were arrested in late 2023 when police seized cash, luxury cars and banknotes, and will be prosecuted for fraud and organised crime offences.
The leader of the crypto fraud gang is reportedly the son of the former leader of the ‘War Hall’ (戰堂), which was established in the 1980s within the Bamboo Union for training killers and protection of leaders of the society but has now become a full branch of the group. The 34 year old leader of the crypto gang arrested is a second generation Bamboo Union member, illustrating the technology skills of younger triads who are developing new Internet and digital criminal business lines.
Bamboo Union members are also involved in more traditional areas of crime. In February, it was reported that police in Taipei had arrested a 38 year old man surnamed ‘Zhou’ who is a member of the Bamboo Union triad society for organising a group selling illegal drugs. Zhou and his associates operated a 24x7 business selling drugs, using a rented warehouse located in Banqiao District, New Taipei City, with customers making orders for delivery via WeChat.
Fraud is a long term staple business line for Bamboo Union members as well as other Taiwan triad groups, some of which led the expansion of fraud across Asia in the past twenty years. According to the Taiwan police, the new younger generation of Bamboo Union members are less engaged in traditional crimes involving casinos, drug trafficking, kidnapping, and violent intimidation, but far more active in Internet based fake investment, fraud and money laundering.
A major police operation commencing from January led to action against 34 fraud groups led by Bamboo Union members, the arrest of 189 people, with more arrests likely as there are over 100 intelligence based cases under investigation. The violence of the Bamboo Union led groups was illustrated as police seized four pistols and 107 rounds of ammunition.
As part of the operation, in February, the Taiwan police announced that a syndicate led by Lu Nan, president of the Tainan branch of the Tai Chi Hall of the Bamboo Union, was arrested on suspicion of having deceived over 50 victims by posing as investment analysts. The gang collaborated with computing centres located outside Taiwan, including in Cambodia, to distribute false investment information and lure victims to invest via Facebook and other online channels. The gang also advertised high paying jobs followed by interviews of applicants who then paid an advance fee to open an account for the job search. The Bamboo Union led group had revenue from the frauds of around NT$30 million (US$955,000).
In January, the Taiwan police broke up another Bamboo Union led fraud group that cooperated with an investment fraud gang in the People’s Republic of China (PRC). The Bamboo Union leader of the gang accepted cash from victims who were given TEDA coins (a US dollar denominated crypto currency) which they were then asked to invest in fake ventures, after which the virtual currency was transferred to wallets operated by the gang. In the past six months, the gang has defrauded around 40 victims of 200 million yuan (US$28 million).
In December 2023, Taiwan police arrested Shi Xiaolong, a leader of a Bamboo Union branch, for operating a company called ‘Wushuang International’ to fraudulently solicit investment in property. Shi and his group established a large group of Internet users calling themselves the ‘Sun Zi Art of War Strategic Marketing’ company to increase traffic and leave good reviews on websites, convincing people to invest money.
Triad membership is not always central to Chinese organised crime groups. Triads can be facilitators of criminal businesses, such as Bamboo Union member ‘Chang’ coordinating the crypto fraud, but this does not always mean that this is a criminal enterprise managed by the Bamboo Union. Members of Triad societies use their networks for collaboration and facilitation of criminal enterprises. It seems that the Bamboo Union is highly effective in using its network to have members organise criminal business lines, and continue to evolve with new digital crimes. Internet based fraud, investment scams, and use of crypto currencies appear to be easy tools for Bamboo Union led groups.
The number of crime cases involving Bamboo Union, and also other triad groups, in parts of South East Asia as well as in collaboration with criminals in the PRC illustrate how these are not only Taiwanese criminal gangs but have become Asian regional organised crime groups. Given that Taiwan and the PRC do not have official links between their law enforcement agencies and also that the Taiwanese authorities have limited access to international cooperation (Taiwan is not a member of INTERPOL), combatting the Bamboo Union and other Taiwanese triads on a regional basis will be difficult. Far more intelligence regarding the Bamboo Union and other Taiwanese triad gangs is needed by law enforcement agencies, which inevitably means better cooperation with the Taiwanese authorities as they have the greatest knowledge of these groups.