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June 10, 2015

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Tax officers part of gang on car plate racket trial

A GANG, that included tax officials, who obtained car plates illegally by using forged documents stood on trial at the Shanghai No.1 Intermediate People’s Court yesterday.

They reportedly sold 5,000 car plates and pocketed 220 million yuan (US$35.4 million) in profits in over nine years.

The gang, consisting of scalpers and officers of the local tax agency, stole or forged official seals and used them to counterfeit documents to get hold of car plates between January 2005 and March 2014, Shanghai Business Daily reported.

The two tax officials, surnamed Fu and Jiang, started colluding with the scalpers a decade ago by stamping on forged documents given by them. The documents were essentially all fake customer information with a tax seal that allowed them to get the plates without bidding at the monthly car plate auction.

But in 2012, the government made changes to car plate rules, that affected the modus-operandi of the gang. A new institution was set up to monitor the car plate quota and the role of the tax authorities were greatly diminished.

But the gang worked out a loophole in the new rules and exploited it. They now looked for car plate buyers and asked them to fill in the personal information of a suburban resident. After getting a certificate for a suburban car — which was easier and cheaper — the gang again forged the papers to change it to an urban car plate.

The court has yet to deliver a verdict.

An official from the transport commission said since it involved over 5,000 car plates it fell outside the purview of the administrative jurisdiction.




 

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