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Gambling Arrests: China Officials in Macau to Advise on Security

Beijing has tasked Liaison Office head Fu Ziying to ‘supervise, guide, coordinate, and support’ the government on the matter


The world's largest gambling hub has been hit hard by Covid, with revenues dropping 68% year-on-year to $400 million in May.
The six Macau casino operators are facing daily revenue losses and accumulating debt as liquidity continues to dry up. Photo: Reuters.

 

China’s top representative in the semi-autonomous gambling hub of Macau will begin advising the former Portuguese colony’s government on national security matters, state news agency Xinhua reported on Friday.

The move highlights increased scrutiny from Beijing over Macau affairs after the central government declared outflows of Chinese gambling-related funds into Macau and other gaming hubs were a national security risk.

Last week Macau authorities arrested Alvin Chau, the founder of Macau’s biggest junket operator, which brings in high rollers to play at casinos, along with 10 others, for allegedly using Macau as a base for an illegal “live web betting platform”.

A warrant for Chau’s arrest has also been issued by the mainland Chinese city of Wenzhou, accusing him of forming an extensive junket agent network that helps citizens engage in gambling activities and of setting up a company that helps gamblers make cross-border fund transfers.

 

Zero Tolerance for Gambling

The move was seen as a warning that Macau and mainland Chinese authorities were adopting a zero-tolerance approach to the promotion of gambling in mainland China, where it is illegal.

Xinhua said Macau asked Beijing to appoint a national security affairs adviser in the city and that Beijing tasked the head of its Liaison Office Fu Ziying to “supervise, guide, coordinate, and support” the government on the matter.

Beijing will also appoint three national security technical advisers from within the Liaison Office, which is Beijing’s main representative institution in Macau.

 

  • Reuters with additional editing by Kevin Hamlin

 

 

 

ALSO SEE:

 

Arrest of Macau Junket Mogul Rocks World’s Biggest Gambling Hub

 

Chinese City Seeks Arrest of Macau Junket King Alvin Chau

 

China Regulators Set Sights on Macau Casinos, Triggering $18bn Plunge

 

 

Kevin Hamlin

Kevin Hamlin is a financial journalist with extensive experience covering Asia. Before joining Asia Financial, Kevin worked for Bloomberg News, spending 12 years as Senior China Economy Reporter in Beijing. Prior to that, he was Asia Bureau Chief of Institutional Investor for ten years.

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