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China cracks down on pyramid schemes


09:31, June 04, 2013

BEIJING, June 3 (Xinhua) -- A large-scale campaign targeting pyramid schemes in China went into effect on Monday, according to a campaign launch meeting held the same day.

The three-month campaign was jointly launched by 12 state organs, including the State Administration for Industry & Commerce, Ministry of Public Security, Supreme People's Court and the People's Bank of China.

Special teams have been established in 26 provincial-level regions to crack down on pyramid schemes, according to a statement released after the meeting.

Police cracked more than 11,000 cases related to pyramid schemes last year, detaining 36,000 suspects, the statement said.

The Ministry of Public Security said such crimes remain rampant and participants frequently resist law enforcement through violence.

Five members of a group involved in setting up pyramid schemes were arrested in east China's city of Hefei on May 5 for leading hundreds of group members in a physical confrontation with police.

Three police officers were seriously injured, according to local authorities.

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