Sri Lanka Police arrested 152 foreign nationals — the majority of them Chinese citizens — following a raid on a hotel in Chilaw, approximately 80 kilometres north of Colombo, on April 3.

The suspects were allegedly operating a large-scale online scam from the premises, according to police.

Prosecution, not deportation

In a significant policy statement, police confirmed that foreign nationals found to have been actively involved in scamming operations will be prosecuted under Sri Lanka’s Cybercrimes Act rather than simply deported. This marks a tougher stance by authorities on foreign-run cybercrime operations in the country.

Those not directly linked to active scam operations will face deportation proceedings, police said.

The raid comes amid a rising number of cases involving foreign nationals using Sri Lanka as a base for cybercrime and online fraud operations. Authorities have stepped up enforcement in recent months, signalling that the country will not serve as a safe harbour for such activities.

Growing concern

The Chilaw operation is among the largest cybercrime busts in Sri Lanka’s history by the number of arrests. While police have not disclosed the specific nature of the scam or the amount of money involved, the scale of the operation — with over 150 suspects operating from a single location — points to a well-organised criminal enterprise.

The arrests are likely to draw diplomatic attention given the number of Chinese nationals involved, though no official statements have been issued by the Chinese Embassy as of Friday evening.