Record number of China foreign teacher expats deported in 2014 according to CFTU special report…


You cannot legally work on the above visa!


For more than a decade over 20,000 expat foreign teachers were working illegally on tourist, student, and business visas.  If caught the worse you could expect was a fine, a stern warning, and 30 days to get legal (obtain a Z work visa).  Times have changed drastically since the new visa law took effect in September of 2013.  No more warnings.  Instead, foreigners caught working without Z visas are now arrested on the spot and detained until a stiff fine is paid, and then after you hand write a letter of apology for the government captors, you will be deported within 10 days – all at your own expense. If you happen to be a student at a Chinese University or even engaged or married to a Chinese partner – tough luck.  Say goodbye to China for at least three years because when you get the boot you will also get a 3 to 5 year reentry ban.

In May of 2014 alone, 379 expat foreign teachers were detained and deported without exception. The smallest fine was 1,000 yuan and the largest 24,000 yuan (the penalty fine is determined by how many days you are found to have been working illegally). It is not only a traumatic, but costly affair. In only the first six months of 2014, the CFTU reports that 1,237 expat foreign teachers have already been deported for visa violations. Now take a look at the below chart from 2012 and you will realize in short order that the visa law enforcement and deportation rates have doubled in only two years.

CFTU Visa Alert_1

Indeed, deportation stinks, but the smell starts with the bs farts of unethical agents and recruiters who apparently will gloss over visa issues, lie outright, or deftly deceive. So pay attention fellow foreigners. The good old days are gone and despite what the crafty recruiters and and greedy agents may tell you… THERE IS NO LEGAL WAY TO CONVERT ANY OTHER VISA TO A Z VISA ONCE YOU ARRIVE HERE!  So why do they keep telling this to all the newbie wanna be China-bound teachers?  Here are the reasons…

1)  85% of all the schools in China are not licensed to hire foreign teachers (aside from the public schools and universities) and they therefore are not allowed nor authorized to issue an employment invitation letter that would give you the required “Z” visa.

2)  Sponsoring a full-time foreign employee for a Z visa costs money and let’s face it, Chinese are…uh…er, shall we say “frugal”.

3)  By getting you to come here to China illegally, they will own you upon arrival and if you threaten to quit for a better-paying job they will threaten to report your illegal status to get you deported!

4)  Only about half of Z visa applications are accepted whereas 95% of L visa applications and 87% of F visa applications are accepted.

5)  Agents and recruiters are not required to identify your employer until after you arrive as a “tourist’. If they were to identify the employer before you get to China you would have time to check the various blacklists of China schools below and maybe find your employer has a horrible history and reputation of cheating teachers.

So friends, be aware that if you choose to roll the dice and work without a “Z” visa, you have an 80% chance of getting away with it, but conversely, you have a 20% of being caught – and deported. If you do get busted, you also need to know that there is absolutely nothing the CFTU or your embassy can do for you.  If some smooth recruiter convinces you to ignore all the warnings, you can get a free copy of China Visa Laws in English to read for yourself by sending an email to

Good luck and safe journey no matter where your teaching career may take you!  🙂



China Investment Scams – Now More Sophisticated And Less Detectable. Welcome to China’s Creative Investment Frauds…

Only five years ago, it was fairly easy to spot a Chinese investment fraud after only a few dozen victims told their stories. The red flags were easy to spot… unsolicited business contact from a prospective Chinese partner or investor, invitations to visit China, quick and easy negotiations, etc. Within a year scam warnings were being flashed and posted all over the internet and so the Chinese fraudsters had to get creative and they did.

They began recruiting scam team members abroad in the West to bird-dog for them and to present themselves as nephews and cousins of “very wealthy and corrupt” investors and government officials in China. Many use photo-shopped photos of themselves with past and presents Chinese leaders at the deputy minister level and above, and leased luxurious office spaces in New York, Beverly Hills, London, etc. The appearance of wealth is everywhere yet it is fabricated – all part of a big well-produced and directed show.

They target western project developers who are already actively seeking EB5 investments in the west – also known as the “immigration by investment program” since these people rarely need to be sold on China’s excessive wealth. Once a target is selected they will get a casual call or an email expressing a “mild interest” in their project an request an executive summary. A second call will follow within two weeks suggesting “a friend from China” will be visiting and has requested a preliminary meeting. A complete name for the fiend will never be provided. They will say “Mr. Liu, Mrs. Zhang, or a Mr. Chen” a longtime associate for example which narrows it down to a field of about 50 million people who all share that family name. But they will curb their enthusiasm and remain low key – unlike previous scammers who would puff up the importance of the Chinese contact.

Upon arrival, the Chinese visitor will shun any public appearance at a restaurant and always insist on a private meeting. At that time they will insist that mutual non-disclosure agreement with huge monetary penalties be signed before proceeding further and the agreements are produced and signed.


Now the great fairy tale unravels… Mr. Liu represents two or three corrupt generals or Chinese officials who want to get their dirty money out of China since it cannot be deposited in any bank. They are looking for an investment vehicle that will launder their money and allow 10% of the millions to be directed into the actual investment. The mark has no clue the meeting is being secretly recorded. Of course they will not use their real names on any contracts and documents and so long as they continue to launder the funds, the investment dollars will continue. Perhaps photos like the one below will be shown to document the “cash” problem they have.


The catch is that they must use a Beijing company as an intermediary agent to provide third party deniability for all parties concerned. One such company is called ZERO TO IPO in Beijing, which runs a few unrelated scams of their own as well. Now, the foreigner is invited to come to China “at his convenience” when they are ready to do business. There is no pressure or rush as other previous Chinese scams. Zero To IPO is just one of over a hundred such scams operating in Beijing and twice as many are operating out of Shanghai. If our small team of three volunteers can find them, rest assured the authorities know who they are as well. We spotted Zero to IPO in less than an hour after our unscheduled walk-in to their office generated near panic and one employee grabbed a box of documents and ran out a side door and another began shredding. When we asked to speak to the “Managing Director” we were asked by the naïve receptionist “which one?” When I replied I could not remember Chinese names very well and I think it was Mr. Li, she replied, “Sorry, there is no Li on the list”. So at this point I gathered up a handful of business cards that were in the conference room that I ducked into while pretending to be looking for the wash room. Note below that this Zero To IPO company does not have a Managing Director. They have 9 of them! In some countries this is illegal and in most others – unheard of.


Back to our little scam story… Once in China, the mark is wined and dined for a day or two before being told that “the General” wants to meet the man he is trusting his money to”. A dramatic and secret meeting is arranged at a tea house. The General will always be waiting in some private room but never in a uniform, although photos of him in a uniform will be shown at some point. Again the meeting will be secretly recorded. After a short 30 minute meeting the general will get “an urgent call” and leave with a veiled threat “I am trusting you with a small amount first, but if anything goes wrong, I am holding you personally accountable”. The translator reluctantly does his job, the general shakes the mark’s hand and exits the room to attend to his fabricated emergency.

Now the intermediary agent explains the procedure that a Hong Kong company will use $5 million of cash to buy shares in some successful Shanghai listed company in the name of the foreign project and once the shares are in hand the mark must pay a $500,000 facilitation fee to the intermediary company to handle the entire process which is secured by the shares. Since there appears to be no risk, the mark usually agrees. If he hesitates, he will be driven to a luxury home wearing a blindfold, and led into a room that will have about 5-10 pallets of cash wrapped in plastic to convince him that his $500,000 is nothing compared to what awaits if he cooperates. He is then told that they want to move $10 million a month. By now, the hesitation has been replaced with greed. The mark usually agrees and then is asked to remain in China for another day or two while the shares are procured.


“Because of the Snowden thing, don’t dare send an email or talk with anyone on the phone about this” the mark is told as he is reminded that money laundering is against the law in both China and America, but at least in China, you can buy your way out of a problem if you are caught. In 2 or 3 days, the stock shares are produced (excellent counterfeits that are virtually undetectable). They are shown to the mark and he is told he can hold half of them until the money is wired in and then he will get the balance of the certificates. He has no objections.

The $500,000 facilitation fee is wired into an account set-up only days before especially for this scam by a ghost account holder. The mark is now given the balance of his shares and told “Do not sell these for at least 30 days or you will set off alarm bells and we suggest you sell no more than $1 million at a time.” The mark is elated and is told to return to Beijing in 45 days to do the next and monthly transactions which will be $10 million each.


Eventually the mark learns he was duped and the stock certificates are great fakes. If he calls or returns to protest or request a refund, he is played the recordings and told that if any problems are made the recordings will be sent to the authorities. Choosing between a $500,000 loss or a potential 20 year prison sentence, incredible embarrassment, and hefty legal fees, you can guess how this story ends.

There are many variations to this scam and some even involve some drunken affair arranged with a local prostitute as added insurance of the victim’s silence. But each score is for a minimum of at least $500,000 and as high as $3 million. No CEO wants to admit they were taken in by such a scam and usually cover up the entire ordeal.


Warning! China’s newest down and dirty fraud is the $50,000 relationship scam targeting expat executives…

Until recently expat executives in China only had to worry about meeting sales and production quotas, and perhaps the occasional identity theft scam. But these days, the risks have grown and victims are multiplying. Most are too embarrassed to admit they were snookered for $50,000 by a beautiful young Chinese girl in her 20s who can barely speak English.

“Michael” as we have agreed to call him so he can safely share this warning with you is an executive with a large MNC in Beijing. Almost every Friday he stops at the LAN Club for Happy Hour. The upscale lounge attracts Beijing’s elite entrepreneurs, a few celebrities, plenty of hookers, and young victims like Michael who want to unwind from a stressful week. After having a few drinks, Michael noticed a young beautiful Chinese girl sitting across the bar from him looking at with “seductive eyes” as he put it. Within 10 minutes the looks turned into a conversation and the two hit it off quite well, as they decided to have dinner together. After a pricey meal they exchanged phone numbers and Michael was pleasantly surprised that she offered no sexual services as he had feared. He was thrilled that she was not a hooker.


The following Sunday they went to Fragrant Mountain together and had a lovely time snapping each others photo in the scenic park. At the end of a long day Michael invited her back to his place, but she declined saying he was "moving too fast" and she was not a fan of "casual sex". Michael was both impressed and frustrated as he was developing strong feelings for the beautiful and "traditional Chinese" girl.

But the two agreed to go to Huairou in the nearby countryside the following weekend to have a "quiet time" together and ride some horses near Lake Yan Qi. Michael brought some wine and hoped to get lucky. He did. It was a passionate night for sure and Michael slept like a baby afterward. But when he awoke in the morning, Ming was gone and left a note for Michael to call her "brother" and something about her having to "see a doctor". Fearing some family accident Michael called the "brother" and got the shock of his life…


Ming says she was drugged and raped and was at the doctor’s office getting a medical report to take to the police. The “brother” asked Michael what he wanted to do. Michael was speechless. The sex was great and completely consensual as he recalled that Ming refused to let him use a condom. Michael began to freak and asked to speak with Ming. Her brother explained that Ming would never speak with him again and he could meet her at the police station if he wanted. Michael was now beginning to wonder how he would explain his arrest to his colleagues and his Chinese HR director. The “brother” asked Michael if he new Ming was only 17 years old. Michael was sure she had said “26”. There was an awkward silence on the phone as Michael’s heart was beating wildly. The good brother offered a solution…


Long story short, for $50,000 the brother would persuade his fake sister to remain silent and even send him a love letter saying she had to break up with him as insurance against a future shake-down. Michael thought about the alternatives which would include arrest, being jailed, humiliated in the news, suspension or terminated from his $80,000 job, and loss of all his friends in China and back home in Chicago. Nobody would ever believe him, or so he thought (We heard this same story at least a dozen times). He agreed to the pay-off and borrowed a few dollars from his family back west and emptied his local account to foot the bill for Ming’s silence. The scammers were elated with their latest score – one of many that keep accumulating.

Michael is lucky in a way. Other “big brothers” who run this scam would take the $50,000 and in another two or three months, come back for a second slice of sucker pie and claim sis “discovered she is now pregnant” and then negotiate a second pay-off for another $50,0000. Our CSP investigation indicates that one scam operator is operating between 5-8 little sisters at one time and we have traced the origins of this scam to Shanghai in the late 1990s. It is such a devious and embarrassing scam that very few victims come forward to talk about it. We have forward our reports to the authorities who swear they will run a sting. But whoever they ultimately arrest will be quickly replaced by others who can’t resist the quick and big money this scam generates in less than 4-6 week that it takes to run from beginning to end. One con artist operating 5 girls is earning roughly $250,000 every month. Over the last year they have claimed victims at Nestle, IBM, and Siemens. Interestingly, not all the victims are expats. They are equal opportunity scammers.


Victims need not be charming nor even good looking. Michael is balding, has an acne problem and even a small beer belly. Ming said she was attracted to him by his “unselfishness and intelligence” and frequently complimented him on his “sense of humor”. Michael swallowed it all. So would most single guys who meet a sweet, sexy, and friendly girl in a foreign land who simply wants to “socialize”. BTW… not all the girls are Chinese. Many Russian girls are also players in this popular fraud scheme.

If you patronize upscale nightclubs and hotel restaurants/lounges you will probably be targeted. Stay sober and safe or then next ONS or even what you think is a genuine budding relationship, will be quite costly and stressful beyond description. Sanya and other resort areas are hot spots for this scam as well. You’ve been warned.


Is CUCAS Study In China Program A Scam? Too Many Expats Say “Yes”.

Chinese diploma
For the last four years Peter Zheng (his full Chinese name remains unknown at this time) has been soliciting expats in China and abroad to come study in China. Certainly there is nothing wrong nor unethical about this. Whether he charges foreigners $500 or $3,000 for his “Registration Services” is also quite legal if customers are willing to pay this price for someone filling out university application forms. But, it seems Peter relies on massive deception to make his sales and here is what our undercover investigation turned up…

PeterFirst you must understand that prior to opening up this hustle called CUCAS, Peter was a manager at China’s CERNET which is the government agency responsible for assigning and registering domain names. He worked their several years and as per a recording we obtained Peter was willing to sell .cn and .edu domain names to anyone willing to pay him $7,000 a year. Why would someone want these internet suffixes? Because if you had one, people would falsely believe you were a university or a part of the Chinese government, both of of which equate to credibility in China. As you can see here, Peter is quite proud of himself In China you are admired by Chinese society if you can swindle a foreigner without their knoweldge. This is actually the Chinese definition of the word “clever”.

When he opened up CUCAS he gave himself a domain name that is illegal which deliberately misleads people and prospective clients to believe that his private company is actually a Chinese university when it is nothing more than a private commercial enterprise as we confirmed with SAIC of Beijing (which issues government business licenses) and the Haidian District Tax Authority. This deception is however only the first of many. Peter and his staff lie to foreigners and tell them that application forms to Chinese universities are in Chinese and very complicated and only those with “connections” will get into Chinese Universities. This too is utter bollocks since every university in China has an international department that accepts applications in English, Spanish, and French. The only “connection” you need is the money that pays your tuition.

The next deception is quite a doozy! Peter and his associate advertise on their website that their services are “FREE”. If they were in fact a government entity that would make sense. The truth of the matter is that CUCAS requires all their applicants to pay their sister company hefty service fees of $500 to $5,000 depending upon a) what package is purchased and b) how gullible and naive the buyer may be. The sister company is called “Beijing Chiwest” and guess who owns this company? Peter’s relative! (Zheng Tian Ting) So the “FREE” is absolutely bullshit. To see the connection between the companies look at this old 2010 ad that CUCAS placed on an expat job forum And here is the the web site of Beijing Chi West: which is hosted on the same server as

Next deception… When prospects are called by skype in America, Canada, the U.K. etc. they are told that the person calling is the “International Admissions Manager” of the CUCAS “agency” yet the entire CUCAS fraud team pictured below are all Chinese. Occasionally when a government official comes by to inspect business licenses or reps from universities want to see his office, Peter will arrange for a few foreign expats to be in the office that day.


More than one CUCAS client has told us that Peter helped them find jobs in China teaching even though they would be working illegally on an “L” or “X” visa. Apparently breaking one more law is no big deal to Peter escpecially since it will be the expat teacher that will be fined deported with a reentry ban and not him!

Moving right along, the next deception is that CUCAS staffers claim they represent only the top 20 Universities in China. Again this is a pile of horse manure. The top universities are Peking University, Tsinghua University, Renmin University, China Academy of Sciences, etc. and only 1 of the 10 universities he cooperates with is in the top 25. The universities that he does represent are those that pay him the highest commissions of 15% – 20%.

Now we get to the best part for Peter. Not only is he collecting 20% commissions from the universities but $500 to $5,000 from the students who applications he is processing. Thus he is collecting at both ends while having the audacity to advertise that he provides a “FREE SERVICE” and that he is promoting a “Cultural Exchange”. We give Peter a “A” for creativity and an “F” for ethics and honesty.

Peter elevates himself within the Chinese community as someone promotes “cultural exchange” between the East and West yet not many CUCAS clients think very highly of Peter once they realize how much of their money actually went into his pockets. Yet Peter loves to give speeches anywhere he is allowed to have a public forum. He uses those opportunities to recruit even more victims for his clever “educational” scheme.


We are bringing this matter to the attention of every University in China as well as the Procuriate’s office and the CCP’s Corruption Bureau in Beijing. Peter has bragged on tape that his “guan xi” is the best and now we will see if that is also yet another lie. You can visit his elaborate web site and read all the shill testimonials and fake “reviews” his former employee informed us about. By the way, Peter wants us all to know that he is friends with the U.S. Ambassador Gary Locke as you can see here. DO you think he told the Ambassador what he really does for a living?
U.S. Embassy

Chinese University Students Getting Scammed Abroad And In China By Study & Work Abroad Frauds…

Over 2 million Chinese students take the Gao Kao exam every September. Their careers are at stake.

In China it is no coincidence that 80% of all children are wearing eye glasses by the age of 12 years. The life of a Chinese student is one of endless study from the age they can read. Many forfeit their entire childhoods just to be “properly prepared” for that dreaded Dragon that awakens every September just long enough to devour the dreams of a few million high school kids, and then goes back into hibernation for another year. In China they call that voracious dragon “Gao Kao”. It is their annual version of the college entrance exam. For those who score in the top 20% of the Gao Kou their careers are guaranteed as they will win entrance into one of China’s top ten universities. For the other 80% they will grope and scramble to pick up the pieces of their suddenly shattered dreams.

But wait… if you have money, you can buy a solution to this horrible problem! Those sharing this “good news” appear to be saviors to both the students and their parents. But who are they? Basically millionaires who less than five years ago were only English teachers with an idea. Recognizing that university enrollments were way down in the west due the sick western economies, they seized upon the opportunity to cash in at both ends. They would become official and unofficial agents for the universities abroad and become “career counselors” back in China where they would hold free workshops and seminars at various high schools and sell hope. Hope to study abroad is not cheap, but it always comes with some “guarantee”. For example BOSSA, a study abroad company located near Sanyuanqiao guarantees to get a Chinese student into a top 100 university in America, the U.K. or Canada for 50,000 yuan. And if they fail? They guarantee to “try” again. Oxbridge is yet another such hope peddler only they have franchised their operations to ten locations throughout China. The CEO Anjing Lu is now reported to be worth close to a billion dollars. But in reality they are just selling false hope to the desperate students with promises that go like this… “You can study at the famous Sheffield University in the U.K. and when you graduate there will be dozens of great paying job offers to choose from and your U.K. residency will be guaranteed!” Sounds “promising” doesn’t it?

Princeton and 99 other top universities are the bait used in China’s most expensive scam.

So much so in fact that this year over 500,000 of China’s high school graduates applied for enrollment abroad and were accepted! Great news right? Wrong. You see Chinese students are considered to be international students, and as such they must pay double the tuition rates that locals pay in the U.S., Australia, Canada, and the U.K. One year at Cornell University will cost a Chinese student over $60,000 USD when you factor in housing, meals, insurance, etc. And unlike China which graduates students in 3 years, the universities abroad run a 4 year program. So, a Chinese family will expend their entire life’s savings to send junior abroad to study. But with those great-paying jobs awaiting them upon graduation, it will all be worth it right? Wrong again.

You see now the first group of these kids have graduated and they have learned the cruel facts of western life. They have learned painful and expensive lessons in racism and IP paranoia. In economies that are struggling to stay afloat, local politicians abroad want every possible job to go to native citizens, not the Chinese graduate who is perceived as just another immigrant. It matters not how well-qualified the Chinese students are, nor how fluent their English may be. In fact, technology companies don’t want them coming abroad any more at all since the American government has accused 20% of them of being IP theft moles for the Chinese government.

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This cycle of deception has bankrupted many Chinese families with their children coming home with the most expensive diplomas on Earth, but still with little hope of finding a a good job. Ying who doesn’t want us to use her last name graduated summa cum laude with her MBA from Cardiff University (a top ten university in the U.K.) and still could not find a job within her major. She spent no less than $78,000 on her MBA and sent out almost 300 resumes to receive two job offers as an assistant restaurant manager and a Metro safety inspector, both at minimum wage. Now back in Beijing she has to compete with even more young grads in an even tighter job market. She cannot hold back the tears as she murmurs “I failed my family

Promises made but seldom delivered once a student pays his fees to the agents in China.

Promises made but seldom delivered once a student pays his fees to the agents in China.

Actually it was not at all Ying’s fault but rather ours, for turning a blind eye to all the “study abroad” frauds operating in China. All these “agents” and “recruiters” need to be shut down and let Universities from abroad come and do their own recruiting every year like they do everywhere else in the world. On average these sly middlemen add an extra cost of $20,000 to the already super expensive education abroad, and they do nothing more than than accept and process paperwork, although they will say otherwise. They are greedy and slimy bottom feeders that are exploiting China’s youth, and in our judgement only a pedophile is a creature more despicable.

Consider too that China’s growth cannot continue if deliberate brain drain is openly promoted by foreigners as well as local cheaters – only to make a fast buck. In fact, if more attention was focused on this problem, China would enjoy brain gain instead of brain drain. Just think about that for a moment and see if you do not also agree that enough is enough. An example needs to be made and the Procuriate is the one best positioned to set that example. Who are the offenders? There are many but Oxbridge and Beijing Aoji are the two biggest. But Bossa remains the most brazen and egregious by far. The youth of China are far more valuable than the guan xi of any businessman. Don’t you agree?

We publicly call upon the Ministers of Education and Ministers of Justice to stop the fraud and help restore the lost millions and dignity of over 2 million Chinese families taken in by this shameful ruse. Only a lucky few will prosper from their studies abroad and the rest will suffer not only monetary loss, but the humiliation of being duped twice. We also call upon the alumni associations of every university in America, Australia, Canada, and the U.K. to pressure your university to cease their willful complicity in this shameful scheme. The exploitation is real and it needs to stop. Further the government of China should not allow any recruiter to step foot on Chinese soil who does not agree to recruit Chinese students on the same terms and conditions as any other student in the world. Anything less is racial and commercial discrimination. If the Chinese government won’t protect China’s best investment in the future, who will? Hopefully these words will not fall upon deaf ears.

Graduation day must always mark a new beginning for China’s youth and never just a dead end. Student exploitation must be stopped.

China’s Famed Pirates of Zhongguancun – Fake Electronics Fraud Capital Of World… Buyers Beware!


No matter what language you speak or from which country you hail, YOU qualify to be the next fraud victim of China’s famous silicon valley outlet mall for electronics known as Zhongguancun located in the heart of Haidian District, only 1,000 meters away from famous Peking University. Here at this bustling center of cut-rate electronics merchants operating from over 3,000 booths in two buildings connected by an overpass, you are certain of two things; 1) You will get a great deal and 2) You will also get ripped off!

More than 70% of all the camera’s, mobile phones, laptops, tablets, and myriad of other electronic gadgets sold here are fakes – but they are best damn fakes you will ever find on Planet Earth! Our undercover team had a blast exploring the mall for 3 days and setting up the proprietors with hidden cameras and microphones. Here is some of what we discovered…

Almost 90% of the I-Phones sold at this location are bogus – or at least the internal components certainly are. Approximately 9 months ago there were a plethora of ads running all over China and abroad that said something like this…

“We will buy your old I-Phone 4 for $150 Cash – No Questions Asked” Thousand were bought up and then their guts were inserted into brand new IPhone 4S cases and packaged in identical Apple packaging. Over 12,000 of these phones were sold at Zhongguancun over the last 6 months. How do we know? One of the workers at the 3rd floor store pictured below told us so after we busted him red-handed and threatened to turn him over to Apple and the cops. He told us everything. On each new sale of old Iphones the company earns a 700 yuan profit (just over $100) and they sell an average of 40 per day. Do the math.

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The same worker also told us the Sony, Nikon and Canon cameras were all fakes that were manufactured in a South China location that is kept super top secret. He himself only knows that they come from Zhejiang Province. Our new friend who we shall call “Ming” gave us tour of his shop and pointed out 27 fake products that looked damn real to us, right down to the bar-code and hologram stickers, as well as the warranty cards and operating manuals. Ming also took us to a back alley behind the mall where he showed us vans full of phony IPhones being onloaded. After we agreed not to photograph the driver nor his van’s tags, the driver agreed to talk with us and told us he makes this trip twice a week with 3,000 phones to just this one store. He says six other vans supply six other booths at Zhongguancun.

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We had previous purchased the phone from this manager below who pleaded with us to delete his photo and return his card. We gracefully declined. By our calculation, this one shop sells over $50,000 of counterfeit products every single day representing a daily profit margin of $32,000. We visited the local police department in Haidian about this matter but they did not seem very interested and kept trying to blow us off.

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We are now sending all we found to the local Procuriates (Prosecutor’s Office) and we will keep you posted of any developments. Don’t hold your breath, but certainly avoid Zhongguancun. Below is our receipt for the phony IPhone 4S that we purchased as evidence.

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China “Work Abroad” Scams Growing – Blacklist & Whitelists Now Being Compiled – YOUR Help Is Requested

With each passing day, China is is being used more often as “bait” for over 300 known and growing “work abroad” scams. Thousands of desperate unemployed people from westerns economies that are gasping for air, as well as new university graduates with huge student loans to repay are falling for ads like this one…

“English-Speaking Manager Trainee wanted by Fortune 500 Company in Shanghai. Must hold degree in Business Administration, be a team player and wiling to sign a 3-5 year contract. Compensation: $60,000 – $80,000 depending on your talent, experience, and contacts. Send your CV and current photo in confidence to Phillip@C**”

According to the vague requirements of this ad, over 14.5 million people in America alone might qualify, perhaps 60 million qualified candidates world-wide and ultimately about 200,000 people will apply. Unfortunately the ad is a fake – designed to lure people into one of many foreign teacher or internship scams being operated by unscrupulous fraudsters looking to grab all the low-hanging fruit they can for a quick $1,000 to $3,000 profit per snatch. It is a very lucrative business. In fact, Interpol estimates the China “work abroad” scam market exceeds $350 million annually.

Indeed China is the current land of golden opportunity, but those who work here can tell you straight away that all the good-paying jobs with international companies require one of three things; 1) either inside company contacts, 2) government contacts, or 3) an unpaid or low-pay 3-6 month internship with the company doing the hiring, the latter becoming a growing trend where employers can “try before they buy” a candidate. But for every real internship, there are 30 fraudulent ones being peddled online by no less than a dozen companies like and which spend a fortune on extravagant and flashy web sites, and thousands of dollars on SEO to get hundreds of ads littering the internet. Their clients pay $2999 for an internship with an unnamed company that usually turns out to be an unpleasant surprise like a telemarketing job “professionally matched” to a business finance major. Of course there are no refunds and legitimate companies look for legitimate interns with the intent to hire the best performers are finding it more difficult to make all the pieces fit. Other companies are just glad to get the near slave labor provided by CRCC and China Solutions and had their “international” company names like “Lucky Gold Star 88 Export Company” actually been disclosed to intern applicants, business would quickly evaporate.

These shady operators thrive in a Chinese culture where cheating foreigners has almost become a national hobby and pulling off a successful fraud is thought to be “clever” by the locals. Most scammers operate large telemarketing boiler rooms staffed by low-paid staff working on commissions. They dial for dollars 24/7/365 into a dozen different time zones. This is one scam that never sleeps. This link explains what one fellow found when he visited the Beijing office of “China’s leading intern placement company” Both and claim to be “partners” with many American universities but this New York Times article explains what these affiliations really mean;

But by far the more common work abroad frauds are being perpetrated by self-proclaimed “employment recruiters” and “agents” – 95% of which are unregistered and not licensed to do business in China. They mostly focus on recruiting foreign teachers for china or selling worthless TEFL certificates (see our recent post on Online TEFL training scams). They too rely on selling employment dreams in China to desperate people around the world using a pile of lies and smooth talking telesales people. This article sheds some insight into their deceitful methods; Many of these sly schemers will use advertisements on Craiglist and even run hundreds of ads in overseas newspapers and on expat forums like,,, etc. The editors of these publications do not have the time nor resources to properly screen all of these ads, especially when they are paid ads. Two such bogus ads even turned up in the New York Times and Chicago Tribune recently!

There are even companies now charging people serious money just to “volunteer abroad”! Why do people fall for this crap? The reasons are many, but ignorance of overseas employment markets is the primary problem. Now just add a little gullibility, naivete, and an awesome web site of a scammer, and PRESTO – we have another victim! So how to sort the facts from all the fiction? If you are job seeker with hopes of finding a new life in China, we offer the following advice:

1) Do not be fooled by fancy websites, self-generated fake review sites, or the dozens of ads a company posts on line, nor how long they claim to be operating. These are just illusions designed to create false credibility.

2) If you are contacted by someone claiming to be an agent, ask them to email you a color scan of their Chinese ID card, their SAIC license, physical street address, and then do some simple verifications before you send them a dime or any personal ID (like a passport or visa scan) they can sell to ID thieves. Fake agents tend to go by western names like “Tommy” or “Lilly” and use disposable mobile phone numbers and free email addresses that change regularly.

3) Check the blacklslists online at,,, or send us an inquiry to

4) Simply Google the name of the company along with the key words of “scam, problems, complaints, fraud” and see what pops up.

5) Stay away from the below websites which are just fronts to collect contact info for telemarketing scams that are selling either illegal visa services, TEFL certificates, bogus teaching jobs, dead-end internships, travel insurance, overpriced travel packages, etc. Everyone has a right to operate a legitimate business but these folks have a history of greedy and/or unethical exploitation. (under investigation) (under investigation)

Remember, there is no Better Business Bureau nor Federal Trade Commission here in China to protect you, and the courts here will not be bothered with petty fraud complaints from foreigners. You are basically on your own, and only the above advice and your own common sense can help you avoid being scammed. 52% of all foreigners who came to work in China in 2012 admit that they were cheated. The average loss was $3,700. But the thieves are not all Chinese. About 20% of them are now foreigners who came to China to ply their con games, almost with impunity. Also, NEVER send copies of your passport nor visas to “agents” nor “recruiters” – only verified direct employers as 20% of all Chinese agents are front for ID thieves. See: Don’t become another victim. Whether you heed or ignore the above advice is up to you, but when you do stumble upon a fraud like the above, please share it with us so we can warn the 52,000+ expats that receive our newsletter every month. You can report your job, agent, and/or intern fraud to us at scamreport[at]

UPDATE: Please take note that this link has been hacked three times thus far and it will now be monitored daily as it appears someone has hired hackers to conceal this fraud alert.


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