Government Clamps Down on Bogus Overseas Investments

China will crack down on bogus financings that masquerade as legitimate investments but are merely meant to transfer money or other assets overseas, an official from the foreign exchange bureau said Thursday.

As more Chinese firms seek business opportunities abroad or acquire overseas companies, the State Administration of Foreign Exchange (SAFE) wants to support the ones that do "real" investments rather than those simply move assets across the border, said SAFE official Guo Song at a news conference.