News Credit Card Gambling Raid for China Fintech Firm

Credit Card Gambling Raid for China Fintech Firm


Chinese police have raided a top fintech firm in an anti-credit card gambling operation.  

Media in China reported on Monday that 100 officers took part in an anti-gambling raid on the office of 51 Credit Card Inc. The firm, which is listed in Hong Kong, is one of the biggest credit card bill services in China, and claims more than 83 million users.

China is determined to combat underground banking, through which Chinese residents avoid strict capital control laws. Above all, gambling and sending money abroad are the main drivers of attempts to evade the rules.  

In March this year, the Chinese Centre Bank warned finance firms to improve their checks to make sure that they were not missing illegal payments.

But in this case, it seems there were several causes for the raid. One report said that the firm was suspected of misuse of customer data, however the most likely cause seems to be a link with credit card gambling. One media outlet reported that 51 Credit Card Inc had processed payments for gambling firms.

China outlaws all forms of gambling except the state lotteries. In recent months, the government has been vocal in its anti-gambling stance. In August, they praised Cambodia’s government for promising to close down gambling in that country. It has also urged other countries to follow suit and as a consequence, has been working with other nations to target betting firms that target China.

But the raid was bad news for investors. 51 Credit Card had shown a big rise in profits this year after its stock market debut in 2018, but its share price has dropped by a third since Monday.


Please enter your comment!
Please enter your name here

Latest news

ITV to Stage Virtual Grand National

Horse racing fans will still be able to watch one of the world’s most prestigious races, albeit in...

New Rules for Gambling Companies in Denmark

Gambling operators with a license to provide services to Danish customers will face tougher restrictions on advertising from...

Racing Post to Halt Print Version

The COVID-19 crisis has not spared the betting sector, and sports betting fans are having to adjust to...

Irish Racing Succumbs to the Inevitable

The COVID-19 pandemic has forced the shutdown of one of the few high-profile sports in Europe with the...

Cagliari Deal with K8

Serie A football club Cagliari has signed a deal with an online gambling company, despite the increase in gambling restrictions announced...

Betting Shops to Close

The betting industry was dealt another blow by the Coronavirus on Friday when the UK government announced that...

Must read

Guide to Online Casino Bonuses

Anyone who has visited an online casino site...

The online casino sector is one of...

You might also likeRELATED
Recommended to you