Crackdown on illegal forex trade

Source: Xinhua | 2017-02-28

CHINA’S foreign exchange regulator said yesterday that it has recently uncovered a number of illegal forex trade cases, and vowed to step up market regulation this year.

Authorities discovered an underground bank conducting illegal forex transfers worth nearly 50 billion yuan (US$7.3 billion), according to the State Administration of Foreign Exchange.

In other cases, companies were found to be evading forex controls by using fake receipts or fabricating trade deals.

Many individuals were suspected of money laundering and transferring assets illegally, moving large amounts of money in small sums to avoid scrutiny, according to the SAFE.

It pledged to get tough on illegal forex trade to maintain the balance of international payments, while promising to make policies more transparent and advance the opening-up of financial markets.