The Nanfang / Blog

CCTV Accuses Bank of China of Money Laundering, Helping Elite Move Abroad

Posted: 07/9/2014 5:57 pm

bank of chinaCCTV has broadcast a report accusing the Bank of China of engaging in money laundering to aid wealthy Chinese citizens emigrate abroad, reports the SCMP.

The money laundering is allegedly being done through a money transferring system at the Bank of China called You Huitonghe. Through the system, wealthy Chinese are able to send an unlimited amount of funds overseas after applying for immigrant investor programs.

The total amount involved is unknown, but one Guangdong branch has reportedly sent 6 billion yuan (US$970 million) overseas. By law, a Chinese citizen isn’t allowed to move more than US$50 thousand out of the country per year.

The CCTV report went undercover at an emigration information conference at a five-star hotel in Beijing’s Central Business District. There, an employee from the Shuguang Xili branch of the Bank of China was supposedly caught on video saying:

What we help you do is exchange large sums of money into foreign currency. You can do it all in one step. 

The Bank of China employee was to have brazenly said:

We don’t care where your money comes from, or how you made it. In any situation, we can help you take care of it and move it outside the country.

The Bank of China employee further described the process of laundering the money:

The Renminbi is first transferred to a Guangdong branch, then the currency is exchanged (into another currency). This high exchange rate is accomplished with the cooperation between us and the immigration intermediaries. We won’t tell anyone else. It’s only when the client himself comes asking questions that we’ll finally start talking.

Immigration intermediaries are said to have conspired with the Bank of China in order to obfuscate the source of the funds. An immigration intermediary summed up Bank of China’s role:

If you want to apply in an investor program, you will have to put your money through the Bank of China. To stay over there and prosper, if you have the need, then just go to them directly.

Photo: Planet Minecraft


Mayor of Dongguan: “I Had No Idea Prostitution Was Such a Big Problem”

Posted: 04/10/2014 11:30 am

As parents, we try to protect our children from harm and indulge ourselves in thinking that we can preserve their innocence for just a bit longer. The world is a harsh den of vice and men, and it always will be

Yuan Baocheng, mayor of Dongguan, has now unflinchingly come into his own as a man who can see the world for what it is during a interview on the CCTV show News 1 + 1. With the gates to the garden of paradise firmly shut behind him, Yuan spoke to the media for the first time about the crackdown back in February in which he expressed his bewilderment that prostitution was such a huge problem in the town under his jurisdiction.

“But to be frank, we didn’t expect a problem as serious or widespread as the TV report showed,” Yuan stated as reported by Global Times, visibly showing his dissatisfaction that the world does not live up to his expectations. But before Yuan could express how the fine people of Dongguan have let him down, Yuan stated that his government had been “incompetent handling prostitution”.

Launched a day after a CCTV news report that exposed the city’s extensive vice trade, the crackdown would put 200,000 sex workers out of work as they fled the city in droves. The crackdown caused a huge hit to the local economy, of which Yuan stated that hotels, entertainment, bath and massage venues generated 8.3 billion yuan, or 1.5 percent of the city’s total GDP.

“The 8.3 billion yuan is not all from prostitution, drugs and gambling,” he would add, though he didn’t invoke his realization of how big a “problem” prostitution is for the local GDP, rumored to have been worth 50 billion yuan, or 10% of the city’s GDP.

Yuan was adamant that the city government had never turned a blind eye to the illegal trade. Instead, certain lower-tiered officials had secretly consented to the matter. This would include the sacking of Yan Xiaokang, deputy mayor of Dongguan and head of the police force, as well as the investigation of 36 police officers.

When confronted with the prospect of a resilient local sex trade that will continue to flourish three months from now, Yuan was steel-willed as he clung to his innocence:

“Three months from now, we will have adopted measures that no one would have expected. I can fundamentally make the determination now that whatever cases we find, we will investigate.” 

One can only hope for the day when Yuan will not be able to find anymore instances of vice in Dongguan, thereby proving that no such problem even exists. Hopefully, parental supervision will be strict and Yuan won’t be contacted by prostitutes using WeChat or watch documentaries about the notorious Dongguan sex trade.

Photo: iqilu



Tourist who fell into the Pearl River says it was his fault cop died in rescue effort

Posted: 03/6/2013 6:15 pm

The tourist who survived a fall into the choppy waters of the Pearl River has spoken of his anguish for the first time, as new images of the incident showing the heroic actions of the fallen police officer who jumped in to save him was broadcast on Zhejiang Satellite TV.

From his hospital bed, the man, surnamed Chen, tells the reporter it was his own fault for the death of the officer. He breaks down as he struggles to compose himself.

Chen says: “The people missing have still not been found. I would hope that it was me who have died rather than those good people.”

As Beijing Cream says, it’s hard not to feel emotional.

At the time, the body’s whereabouts was unknown, but as The Nanfang reported yesterday, the body was found two nights ago.

The dramatic footage shows the police officer Zheng Yilong, dubbed the modern day Lei Feng, running into the camera frame, taking off his jacket and jumping into the choppy waters, as bystanders look on helplessly on a wet and windy day in Guangzhou.

Here is the video of the incident:

Video credit: Beijing Cream

Jean-Charles Tan contributed to this story.


CCTV News to get a run for its money

Posted: 03/29/2011 10:21 am

It’s difficult at times to make-do with the programming provided on cable TV in Mainland China for your traditional, native English-speaking laowai. If you’re one of the lucky few with satellite TV, or live in a government-approved foreign compound (or serviced apartment), you likely have access to HBO, CNN, MTV and a host of other foreign televisions stations. For the rest of us, there’s CCTV News in English, and occasionally local newscasts on Guangdong Television or Guangzhou TV in Guangzhou. (Full disclosure: I worked as a news host at GZTV when it launched its now defunct “Guangzhou English Channel”. Yeah, the experiment didn’t work out too well…)

As someone who’s been heavily involved in China media both here in the PRD and up in Bejiing and Tianjin, I can tell you that Chinese television stations are experimenting with English shows: Tianjin TV had a Business Traveler program (also a show I hosted), Shanghai has an English channel, and other provincial-level and city-level channels are considering more English-language programming. Sadly, many of these experiments haven’t quite worked (see Tianjin TV, GZTV) because of a whole host of reasons. Generally-speaking, English language audiences don’t typically trust Chinese broadcasters, no matter what they say. Why? Because what they say is edited (and often censored) by people who must make sure that none of China’s sacred cows are touched. The result is a mish-mash of milquetoast programs that try and serve all audiences and end up serving nobody.

So it’s a breath of fresh air that Phoenix Satellite Television, which currently offers up Chinese news in Putonghua, is planning an English channel. For those unaware, Phoenix is partially owned by both the Chinese government and Rupert Murdoch, strange bedfellows to be sure (or… are they?). Nonetheless, Phoenix does a good job of covering news in China; so good, in fact, it’s only allowed to broadcast to Guangdong. For other regions in the country, only 3 star hotels or above, embassies, etc, can receive Phoenix. It’s much more polished than CCTV, and often has debates that discuss some of those sacred cows, like the Dalai Lama or Taiwan. It has a mainland slant, to be sure, but when you consider the current state of news in China, this is one giant leap in the right direction.

Phoenix likely isn’t the magic bullet that will break down foreigners’ scepeticism of any news coming out of the Community Party’s mouth. CEO of Phoenix Liu Changle admits it will be a challenge (from the Financial Times):

Mr Liu said his new venture would also be at risk of being seen as part of this propaganda push, but he insisted it was a purely commercial undertaking.

In its Chinese programming, Phoenix has sought to balance some daring reporting with programmes designed to please the political leadership.

The station will apparently focus on economic and financial news, and also contain some language programs as well (maybe Da Shan will be making an appearance).

Right now, the legitimate international news networks broadcasting in English are few: the BBC, CNN, and Al Jazeera (which burnished its reputation with stellar reporting recently during the Japan earthquake). Britain is represented, America is represented, and the Middle East is represented. On this side of the world, there is NHK (which is very Japan-centric) and Channel News Asia, based in Singapore, which hasn’t quite got the resources to compete on a global level. As the second largest economy in the world, there is a voracious appetite for news and information coming from China – including a desire to understand China’s point of view – that can only come from a legitimate, fair, high-powered and professional international news organization. CCTV is definitely not it. Hopefully Phoenix can make it work.



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