Chinese Film Actress Arrested for Tax Evasion

Home>>Business

Last updated at: (Beijing Time) Friday, July 26, 2002

Chinese Film Actress Arrested for Tax Evasion

DISCUSSION

CHINESE

SEND TO FRIEND

Noted Chinese film actress Liu Xiaoqing was arrested in Beijing on Wednesday on charges of large-scale tax evasion by the firms she runs, with the approval of the Second Branch of the Beijing Municipal People's Procuratorate.

Earlier, on June 20 Liu was detained by the Beijing Municipal Public Security Bureau.

As proven by public security and taxation departments' investigations, she is suspected of tax evasion, as Liu is the legal representative of the companies she runs.

The public security and taxation department are currently further investigating her case.

Relevant sources said that the No.1 Inspection Sub-bureau of the Beijing Local Taxation Bureau on April 2 filed the cases of tax evasion for investigation and prosecution with regard to the Beijing Xiaoqing Culture and Arts Ltd. Co., Beijing Liu Xiaoqing Business Development Company and Beijing Xiaoqing Classic Advertisement Company.

The bureau has so far found the Beijing Xiaoqing Culture and Arts Co., Ltd. evaded paying large amounts of tax by practicing accounting irregularities. The company falsified its accounts, resorting to such methods as reporting a far higher expenditure and much lower income since 1996.

The actress was detained by the Beijing Public Security Bureau on June 20, nearly two months after the detention on April 24 of company general manager Jin Jun (the husband of her younger sister)and former chief accountant Fang Li, based on evidence obtained. Jin and Fang were arrested on May 30, with the approval of the Second Branch of the Beijing Municipal Procuratorate.

Ran Yihong (also named Liu Xiaohong, the actress' sister) was also taken into criminal custody on June 18.

The companies' bank deposits of 1.96 million yuan (about 236,000 US dollars) were confiscated by the Beijing Local Taxation Bureau according to law on May 9. Taxation and public security departments are working to recover the amount involved in tax evasion that has been investigated and proven, to hand over to thestate treasury.

Questions?Comments? Click here

Tax Authorities to Watch Income of Beijing's Upper Bracket

Income Tax Reform, Dreadful Not in Slowness But in Standstill: Analysis

The Weathy Evade Taxes? Income Tax Still on Agenda

Missing Worker Found, Relatives Mourn ( 5 Messages)

China's Economy Grew 7.8 Percent in First Half Year ( 18 Messages)

Chinese Office Software Challenges Microsoft's Win98 ( 13 Messages)

Gang of 66 Criminals Get Heavy Sentences ( 74 Messages)

Secret of China's Manned 'Spaceport' Revealed ( 3 Messages)

How to View Major Problems in China's Income Distribution System ( 134 Messages)