China makes it harder to move capital overseas

The ancient buildings at Dali Dong camp in Rongjiang County, southwest China's Guizhou Province. Xinhua/Lu Bo'an

The ancient buildings at Dali Dong camp in Rongjiang County, southwest China's Guizhou Province. Xinhua/Lu Bo'an

Published Dec 9, 2016

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Beijing - China's difficulties in bringing

home graft suspects who fled abroad have prompted tighter

measures against illegal moves of capital and people beyond its

borders, the government said on Friday.

China has sought to build international cooperation in its

hunts for corrupt officials overseas, after President Xi Jinping

launched a war on graft about four years ago.

But some Western nations have been reluctant to send people

back to a country where rights groups say mistreatment of

criminal suspects remains a problem, and they also say China is

unwilling to furnish proof of the crimes.

The People's Bank of China and the Public Security Ministry

have cracked down on the use of offshore companies and

underground transfers of capital this year, the Central

Commission for Discipline Inspection (CCDI) said.

"Preventing one person from fleeing abroad is to a certain

degree the same as recovering one, so we must unceasingly

increase efforts to prevent escape," said Liu Jianchao, head of

the graft agency's international cooperation bureau.

At the same time as weaving a web overseas, 'Sky Net' must

build a dam to keep individuals from moving overseas, the agency

said on its website.

It was referring to a programme dating from 2014 that has

drawn on the resources of several Chinese agencies to track and

repatriate corrupt officials and their plunder.

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Fewer suspects left China in 2016 than last year, when

returning suspects for the first time exceeded those who left,

the agency said, but gave no figures.

Bringing home the plunder was "very difficult," Huang

Shuxian, deputy head of the agency, said in April.

The operation has recovered 2.3 billion yuan ($333 million)

in the first eleven months of this year, or less than a third of

total recoveries of 85.4 billion yuan ($12.4 billion) since

2014, the agency said.

China tracks capital outflows closely and regularly steps up

measures to restrain abnormal flows. Last month, the central

bank vowed to tighten checks against money laundering in

Shanghai's free trade zone.

The anti-graft body also joined hands with three ministries

this year to stamp out use of illegal documents during

emigration, it added.

REUTERS

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