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China Targets Illicit Loan Brokers and Debt Collectors in Financial Cleanup

Published: Dec. 25, 2025 10:46 p.m. GMT+8

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Chinese authorities conducted a six-month nationwide crackdown on illicit financial activities in mid-2025

Chinese authorities have launched investigations into more than 1,500 cases involving nearly 30 billion yuan ($4.2 billion) in a nationwide crackdown on illicit financial services, officials said Thursday.

The results follow a six-month campaign launched in June 2025 by the Ministry of Public Security and the National Financial Regulatory Administration (NFRA) across 17 key provinces and cities.

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Chinese authorities investigated over 1,500 cases involving nearly 30 billion yuan ($4.2 billion) in illicit financial activities during a six-month nationwide crackdown starting June 2025.
The campaign dismantled over 200 criminal gangs, with coordinated efforts using big data and intelligence sharing across 17 provinces and cities.
Authorities targeted fraudulent loan brokers, unauthorized debt collectors, and issued 1,100 risk warnings, while planning continued enforcement and potential legislative updates in 2026.

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What Happened When

2025：: NFRA bureaus in Shanghai, Chongqing, Zhejiang and Jiangsu established collaboration mechanisms with local police. Campaign specifically targeted fraudulent business loan packaging and automobile insurance scams. NFRA issued over 1,100 risk warnings and held forums with the judiciary and legal scholars.

June 2025：: The Ministry of Public Security and the National Financial Regulatory Administration (NFRA) launched a six-month nationwide crackdown campaign on illicit financial services.

June 2025 to December 2025：: Police launched nearly 60 cluster raids, dismantled more than 200 professional criminal gangs, and addressed over 1,500 cases related to illicit financial activities.

By December 25, 2025：: Officials announced that more than 1,500 cases involving nearly 30 billion yuan were investigated as a result of the campaign.

As of December 25, 2025：: NFRA had referred more than 4,500 leads involving over 21 billion yuan to public security authorities. Financial institutions were prompted to report more than 1,700 cases involving over 17 billion yuan.

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