Chinese authorities clamped down further on Macau, the country’s gambling mecca, with 17 arrests on suspicion of money laundering.
The police raided a number of pawn shops as well as jewellery and telecommunication shops which they believed were involved in fraudulent use of bank cards and the illicit flow of money from China.
Although the Chinese government has tolerated Macau’s gambling casinos, they have long considered it hub for money laundering and a conduit for unchecked transfers of funds both in and out of the country.
Now that China’s stock market is tumbling and economic growth is dampening, the authorities have begun taking closer inspection.
During the raids records of illegal card payment transactions were found and cash worth €1.5 million was seized.
According to the region’s public security bureau, crimes related to gambling rose to a record 34.5% in the first six months of this year, up from 22.6% last year.
The rise in criminal activity comes as both big-spending punters and revenue melt away.
"The reduced number of big VIP gamblers and increasing difficulty in getting back gaming debt for some creditors has led to the rise in these crime rates," Macau's secretary for security, Wong Sio Chak, told the media.
Macau is trying to break its dependence on gamblers who can drop large sums and is trying to attract more mass market customers and families who spend less but visit in greater numbers.
