Chinese Man Gets 16-Year Prison Sentence for Organizing Gambling Ring, Crimes Extend to Macau

Posted on: June 5, 2020, 02:20h. 

Last updated on: June 5, 2020, 04:50h.

Devin O'Connor @CasinoorgDevinO Read More
Expertise: Asia Pacific Gaming, Commercial Gaming, Legislation, Politics.

A Chinese man has been sentenced to 16 years in prison for his involvement in a multimillion-dollar gambling ring.

China illegal gambling Xi Jinping
China President Xi Jinping continues to direct federal and local law enforcement to penetrate illegal gambling rings and online casino operations. (Image: Jason Lee/Reuters)

Nantong city police in the Jiangsu province near Shanghai say a man they only identified by his surname, “Shi,” has been charged and convicted with running an underground gambling network that involved more than CNY1.3 billion ($180 million).

The Nantong Public Security Bureau announced the conviction yesterday, GGRAsia reported. Law enforcement officials said Shi ran an illegal online gambling business for over two decades, and also organized trips to Macau for his customers to gamble.

Shi was found guilty on several counts, including gambling crimes, running an illicit casino business, and unlawful detention. He was fined more than $17.3 million.

Risky Gamble

Other than China’s state-run lottery, all forms of gambling are illegal in the mainland.

Macau, one of two Special Administrative Regions in the People’s Republic, the other being Hong Kong, has a high degree of autonomy and is the world’s richest casino market. However, China still prohibits any marketing of gambling activities on the mainland. Those who violate China’s ban on gambling advertising face severe penalties.

Shi was found guilty of marketing gambling ventures to Macau, as police say he arranged countless trips to Macau since 2007. He also lent his customers money through online gambling accounts, and when people didn’t pay up, his ring used violent detention methods to recoup debts.

Nantong police say it was the “biggest” organized crime ever infiltrated in the city.

Another high-profile case regarding the illegal promotion of gambling in China came back in 2016, when 19 employees of Australian casino giant Crown Resorts were arrested and detained. The Crown workers were charged with “gambling crimes” on allegations that they were there to recruit high rollers to the company’s casinos in Australia. Jason O’Connor, Crown Resorts’ head of VIP operations, spent 10 months in a Chinese prison before his release.

China Crimes

It’s been a busy couple of years for China in cracking down on illegal gambling enterprises.

Last August, police in the Zhejiang Province arrested 36 people involved in a massive online gambling ring. The bust involved $75.8 million and some 810,000 player accounts. Law enforcement say the online social messaging platform WeChat was used to facilitate the illicit operation.

In March, an alleged illegal gaming racket in Hong Kong was infiltrated. Eight gambling dens were seized, along with $1.8 million.

China continues to try and stop offshore online gaming operators – many based in the Philippines – from serving Chinese citizens with internet gambling.

Philippines President Rodrigo Duterte says though China President Xi Jinping asked him to ban Philippine Offshore Gaming Operators (POGOs), the internet casinos provide too great an economic benefit for him to order their closures. As a result, China announced in February that it was canceling thousands of passports on citizens believed to be working in POGO centers.