Police seize 12b yuan worth of fake invoices

By Li Xinran  |   2008-7-1  |     NEWSPAPER EDITION

POLICE and tax officials in Qingdao City, east China's Shandong Province, seized 12 billion yuan (US$1.75 billion) worth of fake invoices, saving the government nearly 4 billion yuan in tax.

Law enforcement officers also arrested more than 30 people at three fake-invoice factories, destroyed an underground printing plant and seized a fake-invoice production line, Xinhua news agency reported yesterday.

Qingdao police set up a special task force after receiving reports on April 9 that fake invoices were being sold.

Officers from the task force launched inquiries through street sellers and discovered the ringleader, a man identified as Ji.

They found two other fake-invoice salesmen with dozens of gang members selling them in a pyramid-style operation. The gang leaders were identified as Tian, Ge, Su and Dong.

The first phase of the operation was launched on June 20 when Tian and an accomplice, identified as Cao, were caught at a printing plant on Qingdao's Puji Road.

Officers also seized machinery, tools and film as well as 106,000 fake invoices.

Ji was caught selling fake invoices near his home, where police found 62,400 fake invoices.

Ge and four others were caught with 3,858 fake invoices, while Su and three of his accomplices were found with 6,570 fakes. Two suppliers to Su's fake-invoice business were caught in Guangzhou.