Tens of millions of gold sold at a low price, leading to a major economic case of 470 million

reporter / Zhou Qunfeng

Posted in 2022.6.6 General No. 1046 " China News Weekly "

"Buy gold, immediately sell it at a loss" "claims that the raw material of the product contains gold, However, it was found that there is no gold content in it.” “After the products are exported to Hong Kong, they are immediately disposed of as waste products.” Behind this series of abnormal business operations, there is a cross-provincial economic crime gang hidden.

Under the guise of trading in gold products, they adopted the method of "reporting low value at high value and making false reports" to defraud the state for export tax rebates and frantically issue special VAT invoices.

After more than a year of meticulous investigation, the police of Mianyang City, Sichuan Province traveled to Sichuan, Guangdong, Guangxi, Shandong and other provinces, traveling tens of thousands of kilometers, to destroy the criminal gang in the whole chain. At the end of April 2022, as the defendant Zhan Moudui and others were prosecuted by the procuratorial organs, it marked the completion of the case. Jin Baolin, the main member of the

task force and the instructor of the third team of the Economic Investigation Detachment of the Mianyang Public Security Bureau, participated in the investigation of the case throughout the whole process. In an interview with "China News Weekly", he said that in this extraordinarily large case of fraudulently obtaining export tax rebates and falsely issuing special VAT invoices, many of the suspects were only junior high school graduates. They lied about using precious metal to process products in order to increase the value of incoming commodities.

He said: "In two or three years, the criminal gang purchased about 1 ton of gold in total, then sold it at a low price, and falsely issued 470 million VAT invoices. The tax was paid, and a total of more than 30 million yuan was recovered for the country’s economic losses.” At the end of 2020, the tax department of Mianyang City reported a clue to the police: Sichuan Guobao Industrial Co., Ltd. (hereinafter referred to as "Sichuan Guobao Industrial Co., Ltd." National Jinbao Company”) purchased a large amount of gold in a short period of time, claiming that it was used as a raw material to produce export products, and applied for export tax rebates.

was suspected of defrauding the Sichuan Guobao Company of export tax rebates. After spending tens of millions to buy gold, it immediately sold it at a loss. Photo courtesy / Mianyang Municipal Public Security Bureau

During the inspection, the tax authority found that the products sold by the company did not contain any gold components, and there was an obvious mismatch between purchases and sales. The tax department was alerted and believed that the company had a large amount of gold. suspected of defrauding export tax rebates.

According to relevant laws and regulations, export tax rebate refers to the refund of value-added tax and consumption tax paid in various domestic production links and circulation links for goods declared for export in my country, which can help export enterprises reduce costs, enhance the international competitiveness of goods, and make the overall export of goods. The tax burden is reset to zero, which effectively avoids the double taxation of import and export of international trade, which is "paying taxes at home and paying customs duties abroad".

This can not only reduce the burden on enterprises, but also promote foreign trade. Once the tax is refunded, large sums of money can be returned to the business account. Some lawbreakers focus on this link, and defraud the state for export tax rebates by means of false export reports.

Tianyancha shows that Guojinbao was established on June 5, 2019 with a registered capital of 50 million yuan, and the legal representative of is Jiao Mou. The registered address is 3rd Floor, Building 2, Block C, Enterprise Accelerator, Entrepreneurship Service Center, Kechuang District, Mianyang City. Its business scope includes wholesale of building materials; manufacturing of semiconductor lighting devices; sales of electronic products; manufacturing of glasses; sales of gold and silver jewelry, etc. Jiao holds 100% of . After

received the clue, the policemen from the Economic Investigation Detachment of the Mianyang Public Security Bureau immediately checked. Jin Baolin said that after the police entered the company, they found that the company had stopped production. The factory seems to be several hundred square meters. From the appearance, it looks like a normal operating company, but the factory building is relatively simple, there are only some simple production equipment, the quality control is not strict, and it does not have the ability to produce qualified products.

The police investigation found that Jiao Mou is a man from Xi'an, Shaanxi Province. He and Jiang Mou'an (a man from Linhai City, Zhejiang Province) are jointly responsible for the operation of the company. The company said to the public that gold was used in the raw materials of the two products (visual training instrument and inverter), which were both exported to a Chinese company in Hong Kong.From September to November 2019, Guojinbao Company spent more than 10 million yuan to purchase a total of 41 kilograms of gold from Shenzhen, Guangdong Province three times on the grounds of production needs, and obtained a special input value-added tax invoice.

Baolin introduced that in 2020, Guojinbao Company applied to the Sichuan tax department for export tax rebates for input items. Due to the strict control of the tax department, they failed to succeed. After that, they went to a Shenzhen company to help export the product to Hong Kong, and applied for a part of the tax refund in Shenzhen.

He said: "This quickly attracted the attention of the Shenzhen taxation department, and they sent a letter to suggest that the Mianyang taxation department should investigate the authenticity of the production enterprise." The actual controller behind it is Zhou Mouxin. At the same time, Zhou Mouxin not only has a company in Shenzhen, but is also the actual controller of a certain Chinese company in Hong Kong.

Zhou Mouxin was arrested. He is the actual controller of Sichuan Guobao Company and Hong Kong certain Hua Company. Guobao Company exports products to certain Hua Company, which is equivalent to the transfer of products from his left hand to his right. Photo courtesy of Mianyang Public Security Bureau

This means that the so-called Guojinbao company exported its products to a certain Chinese company in Hong Kong, which is actually equivalent to the transfer of the products from Zhou Mouxin's left hand to his own right hand, the purpose of which is to facilitate deception Tax.

In January 2021, the Mianyang Municipal Public Security Bureau decided to file a case for investigation of Zhou Mouxin, Jiao Mou and others suspected of defrauding export tax rebates, and set up a special task force led by the Economic Investigation Detachment and the Fucheng District Public Security Branch Economic Investigation Brigade.

In order to find out the clues as soon as possible, the special team sent investigators to Shenzhen to carry out the work. After

Baolin and other members of the task force arrived in Shenzhen, in order to find out the whereabouts of the funds, with the cooperation of the local public security organs, they interrogated all the suspects and investigated all the relevant companies and individuals one by one. Work, the task force investigated the flow of each of the above 41 kilograms of gold.

Baolin said that after Guojinbao purchased the gold in Shenzhen, it did not transfer it to a company in Mianyang for production, but sold it at a reduced price in Shenzhen. "Every time Jiao picks up gold from a warehouse in a jewelry market in Luohu District, Shenzhen, he sells it to a gold jewelry manufacturer or individual who does not need an invoice at a price of 3 to z13

spent tens of millions of dollars to buy immediately sold at a loss. This abnormal business operation of Guobao Company attracted the attention of the police. What's the secret behind this bizarre behavior?

"Dispose of as waste in Hong Kong"

In March 2021, the task force decided to launch an arrest operation, and Jiang Mou'an, Zhou Mouxin, and Jiao Mou were arrested in Mianyang, Shenzhen, and Xi'an respectively. The three were taken criminal compulsory measures by the public security organs for being suspected of fraudulently obtaining export tax rebates.

Baolin said that at the beginning of the interrogation, the three suspects did not cooperate very well, trying to get away with it. Later, as evidence was presented one by one, their psychological defense line gradually collapsed, and they explained the crime of defrauding export tax refunds. .

After investigation, Zhou Mouxin is 48 years old and a native of Linhai City, Zhejiang Province. In June 2019, he conspired with Jiang Mou'an, a fellow countryman, and established Guojinbao Company in Mianyang with his friend Jiao Mou as the legal representative to produce training instruments, variable flow equipment and other products for export to a Chinese company in Hong Kong. Zhou Mouxin lives in Shenzhen all the year round, manages a technology company in Shenzhen, and conducts remote command of the operation of the Mianyang company and the Hong Kong company.

Baolin said that Zhou Mouxin once did business in Xi'an, during which he met Jiao Mou, a local Xi'an, and later developed into a friendship, "Jiao Mou, in addition to being the boss of Guobao Company, is also responsible for extracting gold, and he is cheap with several other people. Selling gold, etc."

Baolin said that during the police interrogation, the suspect explained that Guojinbao had recruited several workers to do some work on assembling visual training devices and inverters. Zhou Mouxin confessed that the vision training device has applied for a patent. There is a motor in it that carries an object containing light. The nearsighted person stares at one of the colored objects and turns the eyeball, which can correct the vision.

Mianyang police revealed that the above two products have no technical content and no practical significance, and neither of them contains gold. From October 2019 to March 2020, within 5 months, Zhou Mouxin declared the export tax rebate to the tax department on the grounds that the products were exported to Hong Kong.More than 590,000 yuan of export tax rebates have been obtained, and nearly 1 million yuan of export tax rebates have been reported to the tax department but have not been obtained.

Baolin said that the economic loss caused by the criminal suspects in handling gold at a loss was only about 20,000 yuan, which was "very cost-effective" compared with the export tax rebates they defrauded.

Zhou Mouxin confessed that he and two accomplices born in the 1980s were both junior high school culture, and decided to take desperate risks in order to make "big profits".

He said that they open companies, produce products, and do export trade to hide people's eyes and ears and improve the success rate of fraudulent tax rebates. "The simple production line of Guojinbao can't produce qualified visual training instruments and inverters, these low-cost and low-quality products. After it is transported to a Chinese company in Hong Kong in the form of false export trade, it will be treated as waste."

Several suspects confessed that they purchased 41 kilograms of physical gold for the sole purpose of obtaining special VAT invoices , and then defrauded export tax rebates. The reason for choosing gold is that it has a high input invoice when declaring tax rebates. They lied that gold is one of the raw materials for the production of commodities, and obtained a larger amount of tax rebate at high cost. In order to get their money back, gold that has no practical use for them was sold quickly. Unexpectedly, the police handling the case found another important clue during the trial of the case: From September to December 2020, Zhou Mouxin, through his technology company in Shenzhen, Under the guise of purchasing "gold paste" from another Shenzhen Technology Pigment Co., Ltd. (actual controller Zhan Moudui), paying the other party's "handling fee" of 4%, and obtaining a false value-added tax special invoice from the pigment company The total price and tax amounted to 3.8 million yuan, which was used to defraud export tax rebates.

Jin Baolin said that the gold paste is made of gold through special treatment and has a paste-like shape. It is mainly used for the processing of ceramics and other processes, which can make ceramics and other products have a shiny appearance and increase the appearance. He said, "Zhou Mouxin and others actually never bought gold paste from Zhan Moudui's company." In order to combat the criminal gang, the task force went to Shenzhen again. The police learned that Zhan Moudui was from Raoping County, Guangdong Province, with a junior high school education. He, together with his junior high school classmate Xu, collected the "handling fee" from the companies receiving the ticket for others, and then issued special VAT invoices to downstream companies.

So far, a black chain of false VAT special invoices involving many places across the country has surfaced.

On May 26, 2021, Zhan Moudui was arrested in Shenzhen. After review, Zhan Moudui established two companies in Shenzhen in 2018, and with the help of his classmate Xu Mouwei, obtained the agent membership of Shanghai Gold Exchange first-level member unit, and used the company to produce "gold paste". It is necessary to purchase a total of about 1 ton of gold for several times.

Zhan Moudui was arrested. For 101 domestic manufacturers and enterprises, he falsely issued 900 special VAT invoices, and the amount involved was as high as 470 million yuan. Photo courtesy of Mianyang Public Security Bureau

After Zhan Moudui obtained a special VAT invoice, he entrusted Xu Mou to sell the physical gold to a gold jewelry manufacturer or individual that did not require an invoice at a price lower than the market price. Charge a "running fee".

After investigation, since 2018, Zhan Moudui used the purchase of gold to obtain special VAT invoices for surplus, and then contacted himself or introduced by Xu Mouwei, Hu Mouming, Sun Mouyao and others, and successively contacted Guangdong, Guangxi, Fujian, Zhejiang , Shandong and other places, colluded with some unscrupulous enterprises, and falsely issued special VAT invoices for the purchase of "gold paste, gold water pigment" and other commodities required for the production of ceramics and pigments without real transactions, and charged 4% to 8% of the face value. The "invoicing fee" ranging from % will be used by the next enterprise to declare and deduct tax in the tax department after obtaining false invoicing. In the two years since

, Zhan Moudui has falsely issued 900 special VAT invoices for a total of 101 domestic manufacturers and enterprises, and the amount involved is as high as 470 million yuan, earning tens of millions of dollars.

Zhen Baolin told China News Weekly that according to the police investigation, the principals of the above-mentioned 101 manufacturers and enterprises are mainly engaged in the ceramics industry. Whether they are involved in crimes will be further investigated by the local public security organs. According to the process of obtaining invoices, And whether they are suspected of committing a crime based on the principle of whether they are subjective and objective, etc., the suspected crime will be filed by the local public security organ for investigation.

He said: "Among them, some of them have been banned for allegedly falsely issuing special VAT invoices.Local public security organs take criminal coercive measures. "

Police revealed that after Zhan Moudui was arrested, the task force went to Guangdong, Guangxi, Shandong, Zhejiang and other places successively to fix evidence on the companies involved, and urged tax evasion companies to pay value-added tax, a total of more than 30 million yuan in economic losses were recovered.

2021 In November of this year, Xu Mou was arrested, Hu Mouming and Sun Mouyao took the initiative to come to the case, and the three withdrew their illegal income of more than 2 million yuan. At the end of April 2022, the defendant Zhan Mou was suspected of falsely issuing special VAT invoices. Dui, Xu Mouwei, Hu Mouming, and Sun Mouyao were prosecuted by the procuratorate, and they will be severely punished by the law.

Baolin said that through this case, he also reminded some companies to operate legally and compliantly, and not to drill The loopholes in the national export tax rebate policy are illegal. Otherwise, once discovered by the public security organs or taxation departments, the legal price will be paid.