Law Enforcement

China announces new crackdown on high-tech fraud

By: 
Staff Writer
Published: 
April 8, 2011
News Photo
Image: g2rdistribution.com
BEIJING, China

China's highest courts, the Supreme People's Court (SPC) and the Supreme People's Procuratorate, have issued new rules to combat high-tech fraud. The new judicial interpretation aims to provide clearer guidelines on what constitues high-tech fraud, and also stipulates penalties for accomplices who assist in the transfer of criminally gained funds, with full awareness of the offense.

Under the new changes, suspects of fraud can be convicted and punished if they send more than 5,000 fraudulent messages or make telephone calls under false pretenses to more than 500 people, even without evidence of specific gains from such scams. People who offer technical services or techniques for fraduent communication could also face conviction as accomplices if they are deemed to have acted knowingly during a fradulent process.

China's courts have seen a large rise in cases of fraud in recent years, helped partly by a huge increase in the number of people using the internet and mobile phones to conduct business. In 2010 China's courts received a total of over 25,000 cases of fraud prosecution and sentenced 32,284 people, a sharp increase from 16,345 cases received in 2005.

Chinese police uncover counterfeit Apple ring

By: 
Staff Writer
Published: 
April 1, 2011
News Photo
Image: themoneytimes.com
BEIJING, China

Chinese police announced yesterday that they have uncovered a gang in Shanghai selling fake Apple products, including iPhones, iPads and other electronic products. The products were estimated to have a total value of more than 5 million yuan ($764,000).

According to the economic crime investigation division of Shanghai Municipal Public Security Bureau, the fake products were produced in China and were indistinguishable from genuine Apple products by sight only. The products however, usually sold for less than 1000 yuan - genuine iPads retail at around five times that amount - and used different operating systems to Apple's own produccts.

Police were tipped off by consumers who said that several electronics retailers in a market in Shanghai had been selling fake products. Police traced the sources of the fake goods and discovered the counterfeit products came from two residents, a brother and sister, both associated with the Shanghai gang.