ccp: Chinese companies linked to CCP have kept the personal data of Indians

Chinese companies being investigated in India for tax evasion and evasive financing are said to have been collecting personal data of a large number of individuals, and the alleged real beneficiaries are senior members of the Chinese Communist Party.

National security concerns about such access are exacerbated by the fact that Beijing can harness much of this data because Chinese companies are bound by data disclosure rules under their domestic laws. Many Chinese companies trace their ownership to senior members of the Communist Party, ET has reliably learned.

Due to fake company reports involving Chinese nationals linked to apps promoting online betting and dating, the Registrar of Companies (RoC) has now set up cells across India to investigate such reported incidents, ET has learned as well.

Chinese companies have found easy access to personal data with the growth of India’s digital sector. Mobile games and apps have been used to lure customers who seek “soft loans” but end up with a high interest burden, industry-tracking sources report.

As many as 40 non-bank financial firms with links to China may face revocation of licenses, sources said.

Shopee, whose owners are attributed to China, abruptly halted operations in March as complaints started to surface.

EXIM-, GST-related violations

One of Shoppe’s lead investor apps has been blocked after the Galwan incident. Some Chinese companies have dealt in India through shell companies.

Raids on Chinese telecom companies reveal that they failed to comply with Indian law by concealing transactions with associates. Some Chinese companies in India have been accused of EXIM-related violations and GST-related manipulation.

Fake invoices raised to take advantage of a false tax credit. ET reported in March that the government had discovered several cases of illegal activities by Chinese business entities either directly or through agents across sectors including telecommunications, higher education and microfinance.

ET then reported that more than a dozen Chinese loan apps targeting low-income groups have been scrutinized by Indian security agencies. Chinese companies are part of the largest illicit financial flows globally – and not just India.