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To: Poet who wrote (63444)1/22/2000 7:31:00 PM
From: T L Comiskey  Read Replies (1) | Respond to of 152472
 
China Rocked By $10B Smuggling
Ring
High-Level Officials Charged With Smuggling Oil, Telephones

Jan. 22 ? A $10 billion smuggling ring involving
top provincial officials and a Politburo member
may be modern China?s worst case of official
corruption ever.
Beijing has asked Interpol to arrest Lan Fu,
vice-mayor of Xiamen city in the southeastern Fujian
province, who has now fled to Australia. He?s charged
with involvement in a plot to smuggle tens of thousands
of barrels of oil, cars, semiconductors, and more than
$300 million in telephone equipment through the port of
Xiamen without paying taxes.
The South China Morning Post reported that the ring
evaded more than $50 million in taxes.
A senior police official has reportedly been arrested
for helping Lan flee the country. Australian diplomats
said they don?t know where Lan is.
Sources in Xiamen told the press that another 159
government officials, including top bankers, are being
interrogated in connection with the smuggling ring.
One of them is Jia Qinlin, a former top official of
Fujian who is now a member of the national ruling
committee. His estranged wife is under investigation in
the scandal.
The case revolves around a private company called
the Fairwell Group and its president, Lai Changxin. Lai
employed army officers? families, treated officials to lavish
parties, and left suitcases of money in bankers? offices,
reports say. His firm had a dock at the Xiamen port.
Fairwell has now collapsed, Lai?s private club has
closed and the Fujian Juzhou Group, the
government-run firm which Lai was using to get import
licenses, has seen its stock price plummet by half.
Lai is also nowhere to be found.