China’s Police Extortion Scandal: Business Owners Caught in 'Offshore Fishing' Trap

In China, police are allegedly extorting private business owners by freezing assets and demanding bribes for release. Zhang Ke, a businessman from Guangzhou, reveals how authorities exploit legal loopholes in gambling laws. The economic downturn and local government revenue loss exacerbate these unlawful practices.

Social media posts have unveiled alarming incidents across China where police are reportedly targeting private business owners. According to Voice of America, officers are freezing assets and extorting money from these entrepreneurs. Zhang Ke (a pseudonym) from Guangzhou, evading police since September, claims he is being targeted for extortion despite no wrongdoing.

Zhang's ordeal took a dire turn in July when his bank accounts were frozen by Henan's Nanle County Public Security Bureau. His online sports lottery distribution business was accused of illegal activities, leading officers to demand a USD 55,000 bribe to unfreeze his assets, nearly all his earnings, reports VOA. This practice has allegedly affected nearly 10,000 similar cases in Guangzhou alone.

The gambling law ambiguity provides police with loopholes, enabling extortion under the guise of cross-provincial operations. While physical tickets are regulated, online sports lottery sale remains illegal, leaving businesses like Zhang's vulnerable. Zhang argues that this legal grey area allows police to exploit and incriminate thousands of owners.

The phenomenon, dubbed "offshore fishing" by netizens, involves police from one province seizing businesses in others and transferring money into personal accounts, bypassing official channels, VOA highlights. "The required payments end up in officers' personal rather than bureau accounts," adds Zhang.

Experts attribute this rise in unlawful enforcement to China's economic downturn. Professor Teng Biao from Hunter College notes the loss of land-sale revenue has pushed local governments towards "offshore fishing" to fill budget gaps. The crumbling property market leaves them with few alternatives, Teng told VOA.

Feelings of despair are mounting among business owners like Zhang, who face hefty fines or imprisonment. "Refusal to pay results in arrest," warns Zhang, considering leaving China permanently due to the situation. "I can't bear to stay in this country any longer," he expressed. (ANI)

(With inputs from agencies.)