FILE - Plain clothes security personnel stand on the road as people protest at the entrance to a branch of Chinas central bank in Zhengzhou, Henan province on July 10, 2022. Provincial authorities announced on Monday, Aug. 29, 2022, the arrests of 234 people allegedly involved in a scam to bilk people out of their savings with the false promise of high interest rates. The scandal drew national attention after investors seeking information about their money were prevented from reaching Zhengzhou.
Multiple bank customers interviewed by the AP said they had been interrogated and threatened by police. The statement from the Xuchang city government said the alleged mastermind, Lu Yiwei, and his associates had taken control of four county-level banks and lured investors with promises of interest rates as high as 18% annually.“At present, the public security organs have apprehended a large number of criminal suspects, among whom 234 were arrested," the statement read.
The statement said the originators of the scheme who later “absorbed" the funds had talked up the investments to other people who deposited hundreds of thousands of dollars, giving the scam the appearance of a Ponzi scheme.The scam unfolded as thousands of customers opened accounts at six banks in Henan and neighboring Anhui province that offered relatively high interest rates.
Thought they would of cleared that in March . . .