Financial Crime World

China’s Financial Crimes Landscape: A Shocking Look at Fraud, Corruption, Money Laundering, and Cyber Crimes

Amidst the sprawling metropolises and thriving industries, China’s financial sector has become a breeding ground for various financial crimes. In this article, we delve into the Chinese financial crimes landscape and uncover intriguing insights about financial fraud, corruption, money laundering, and cyber crimes.

Overview

China has reported a significant increase in financial crimes over the past few years. According to our analysis, the number of financial crimes in China from 2016 to 2022 can be segmented into:

  • Financial fraud
  • Corruption
  • Money laundering
  • Internet deception

Financial Fraud

Financial fraud cases have surged in recent times. Our premium statistics reveal that there were a total of 4,875 financial fraud cases accepted by the Chinese courts between 2016 and 2018. Among these cases:

  • Credit card fraud emerged as the most prevalent, accounting for approximately 38% of the total financial fraud cases during that period.

Telemarketing Fraud and Internet Deception

Telemarketing fraud and internet deception have become increasingly common in China. Main online scam scenarios include:

  • Pyramid schemes
  • Fake investments
  • Identity theft

In 2019, the leading channels for such fraud were:

  • WeChat
  • Email

Furthermore, females were more susceptible to fraud related to loans and investments.

Corruption

Despite the Chinese government’s efforts, corruption remains a substantial issue. According to our data, there were a total of 14,153 corruption convictions in China from 2013 to 2017, with a confiscation value of approximately $44.22 billion.

Money Laundering and Terrorism Financing

Money laundering and terrorism financing cases have also risen in China. Our premium statistics reveal that:

  • Illegal foreign currency carriage when leaving China accounted for a substantial portion of illegal proceeds in 2013-2016.
  • From 2012 to 2016, there were a total of 398 arrests made for financing terrorist activities in China.

Current statistics on this topic:

  • Number of financial crimes in China 2016-2022, by type
  • Most common occupational fraud schemes APAC 2017
  • Corruption cases: median loss worldwide by region 2020-2021
  • Global financial cyber crime losses 2017, by victim country

Further recommended statistics:

  • Distribution of accepted financial fraud prosecutions in China 2018, by type
  • Gender distribution of telemarketing and online fraud victims in China 2019, by type
  • Usefulness of selected technology in financial crime prevention worldwide 2019
  • Fraud detection and prevention market size worldwide 2016-2023

Note: For access to the more detailed premium statistics, a subscription may be required.