https://mashable.com/2016/03/29/gilbert-chikli-scam/#r6DULT69diqa

ASHDOD, Israel — Gilbert Chikli was rolling in money, stolen from some of the world's biggest corporations.

His targets: Accenture. Disney. American Express. In less than two years, he made off with at least 6.1 million euros from France alone.

But he had a problem. He couldn't spend the money. A tangle of banking rules designed to stop con men like him stood between Chikli and his cash. He needed to find a weak link in the global financial system, a place to make his stolen money appear legitimate.

He found it in China.

"China has become a universal, international gateway for all manner of scams," he said in an interview with The Associated Press. "Because China today is a world power, because it doesn't care about neighboring countries, and because, overall, China is flipping off other countries in a big way."

A visionary con man, Chikli realized early on — around 2000, the year before China joined the World Trade Organization — the potential that lay in the shadows of China's rise, its entrenched corruption and informal banking channels that date back over 1,000 years.

The French-Israeli man told the AP he laundered 90% of his money through China and Hong Kong, slipping it into the region's great tides of legitimate trade and finance.

Today, he is in good company.

Criminals around the world have discovered that a good way to liberate their dirty money is to send it to China, which is emerging as an international hub for money laundering, an AP investigation has found.

Gangs from Israel and Spain, North African cannabis dealers and cartels from Mexico and Colombia are among those using China as a haven where they can safely hide money, clean it, and pump it back into the global financial system, according to police officials, European and U.S. court records and intelligence documents reviewed by the AP.

China's central bank and police refused repeated requests for comment.

In a regular briefing with reporters Monday, Chinese Foreign Ministry spokesman Hong Lei said the government "places great emphasis" on fighting crimes such as money laundering and is working to expand international cooperation. "China is not, has not been, nor will be in the future a center of global money laundering," he said.

Chikli is widely credited in France with inventing a con that has inspired a generation of copycats.

Chikli's scam, called the fake president or fake CEO scam, has cost companies around the world $1.8 billion in just over two years, according to the FBI.

And the damages are rising fast.

Dirty money has long washed through China, but has been viewed primarily as a domestic problem. Now, mounting evidence shows that non-Chinese criminals are learning to tap entrenched, sophisticated Chinese systems to move money illegally— largely beyond the reach of Western law enforcement.

China's underground financial systems are of rising concern to top policymakers there, who are struggling to stem massive capital flight as the economy slows. Despite strict currency controls, a record net $711 billion gushed out of China last year, not counting foreign direct investment, according to estimates by Fitch Ratings.

A lot of that money leaks out illegally. Corporations undervalue exports or overvalue imports to move capital abroad, for example. There's an official $50,000-a-year limit that forbids mainland Chinese citizens from moving money out of the country, but money changers and underground banks routinely help mainland Chinese slip cash out of the country anyway.

Global Financial Integrity, a Washington-D.C. non-profit, ranks China as the world's largest exporter of illicit money.

"Wherever I go in the world, there is a growing Chinese presence," said John Cassara, a former financial intelligence agent at the U.S. Treasury Department. "It's only natural that the Chinese are going to bring their financial systems with them — their above-board financial systems and their underground systems."

"It's completely off the radar screen," Cassara said. "No one knows about it."