The Ministry of Public Security (MPS)has issued a Class B warrant for the arrest of four suspects allegedly involved in an illegal pyramid-selling project.
The four have allegedly been involved in extorting over 1.3 billion yuan (US$174 million) from investors through an illegal pyramid-selling project involving a suspect afforestation investment project, the Beijing News reported.
A reward of 10,000 yuan each has been offered for information leading to arrest of each of the four suspects, Chen Di, Chen Da, Chen Jing and Chenqi, according to the MPS.
Last month, two suspects were arrested for the pyramid selling project in north China's Inner Mongolia Autonomous Region, including Chen Xianggui,the board chairman of a registered afforestation company and Liu Yanying, general manager of the company.
More than 32,200 people from 12 provinces and municipalities were promised sizeable profits before they handed money to the company based in north China's Inner Mongolia Autonomous Region.
Chen and Liu charged the investors 1,660 yuan for each mu of land (0.066 hectare), and promised 12 cubic meters of timber in eight years and 15 cubic meters in 10 years, which means their investment would have been quadrupled, said Fan Xinyi, an official with the local Public Security Bureau in Inner Mongolia Autonomous Region told Xinhua.
It is almost impossible for the trees to bring such a hefty profit in a region where the natural conditions are harsh, said a local farmer.
Deserts in the Inner Mongolia Autonomous Region has been plaguing the country by bringing sand storms to the local region and Beijing, China's capital city.
The company has been involved in "illegal pyramid-selling with bogus advertisement" because it paid bonuses to its members based on the number of the investors they can draw in, said Fan.
(Xinhua News Agency November 7, 2007)
