Phnom Penh, 13 September 2024 — The Ministry of Foreign Affairs and International Cooperation of Cambodia has expressed profound regret over the recent sanctions imposed by the U.S. Department of the Treasury on prominent businessman Mr. Ly Yong Phat and his conglomerate L.Y.P. Group Co. Ltd., along with four associated businesses. The sanctions, announced on 12 September 2024, stem from allegations of forced labor linked to online investment scams.
In an official statement, the Ministry condemned the U.S. action as politically motivated and detrimental to the spirit of bilateral cooperation and mutual trust. This concern was particularly resonant during U.S. Secretary of Defense Lloyd J. Austin III’s visit to Cambodia in June, where enhancing the partnership between the two nations was a key topic of discussion.
The Cambodian Ministry highlighted Mr. Ly Yong Phat's substantial contributions to the country's socio-economic development, emphasizing his pivotal role in infrastructure development, job creation, and poverty reduction through L.Y.P. Group. "His dedication to advancing Cambodia's socio-economic progress over the decades is well-recognized," the statement asserted.
Additionally, the Ministry took issue with the U.S. Government’s use of its Trafficking in Persons Report as justification for the sanctions, labeling it as unfortunate and misleading. The Cambodian government argues that the report does not accurately portray the nation’s ongoing commitment to human rights, law enforcement, and the fight against human trafficking and forced labor.
"Cambodia has achieved significant progress in addressing these crucial issues in cooperation with its international partners, including the United States," the statement noted, underlining the country’s proactive stance against complex cross-border criminal activities. The Ministry characterized assertions that Cambodia has shown indifference or negligence in law enforcement as a misrepresentation of its efforts and accomplishments in tackling these significant challenges.
Despite the tensions surrounding the sanctions, Cambodia has reiterated its openness to international collaboration, including with the United States, to tackle global challenges. However, the Ministry emphasized that these cooperative endeavors must be founded on dialogue, mutual interests, respect for sovereignty, and a true spirit of partnership.
In conclusion, the Ministry cautioned that unilateral sanctions jeopardize international law and the fundamental norms that govern interstate relationships, particularly the principles of sovereign equality and non-interference.
This statement underscores the persistent friction between Cambodia and the United States regarding human rights and governance, illuminating the intricate dynamics of their bilateral relations.
