Zhan Chucai, a counterfeit expert from the Ministry of Public Security, says that counterfeit bills of the new 100 yuan bill, which began distribution October 1 of last year, have already appeared in China according to reports from Beijing by the Hong Kong newspaper, Ming Pao. After cracking a case involving several hundreds of thousands counterfeit bills in Shenzhen last November, the police began investigating the family roots of one of the suspects and began to suspect that the counterfeit bills were coming from across the Taiwan Straits.

According to data from the Ministry of Public Security, 80 percent of China's counterfeit bills come from Taiwan and are distributed from either Guangdong or Henan province.

Zhan says that since 1949, Taiwan authorities have tried to use counterfeit bills to create chaos for the financial system on the mainland.

The Ministry of Public Security has discovered counterfeit operations in Hushan, which use tools and technology from Taiwan.

The Taiwan police have recently cracked a case involving more than 10 billion yuan of the new 100-yuan counterfeit bills.

But Zhan warns that the counterfeit 100-yuan bills are manufactured with technology superior to older counterfeit bills, making it much harder to tell the fakes apart from the authentic money.