Fri, Feb 23, 2007 - Page 3 News List

Fugitive Chinese banker arrested quietly in Canada

AFP , OTTAWA

A Chinese fugitive banker accused of embezzling millions of dollars was quietly arrested last week in Vancouver, a metropolis on Canada's Pacific coast, local media reported on Wednesday.

Gao Shan (高山), 42, a former head of the Bank of China in Harbin, is wanted in China for allegedly siphoning off about US$130 million from customers and transferring the funds to a Canadian account.

China's Minister of Public Security asked Ottawa to arrest and deport Gao, who disappeared from China in 2005, Chinese media said.

No extradition

But Canada and China have no extradition treaty, Canadian justice department officials said.

According to the Toronto-based Globe and Mail newspaper, Gao was arrested on Sunday at his home in a Vancouver suburb because he allegedly lied about his occupation when he entered Canada.

He arrived in 2005 to join his wife and 17-year-old daughter who were already living here as permanent residents.

Canada's federal police kept Gao under surveillance for the past year, the paper said, citing Royal Canadian Mounted Police testimony at an immigration hearing held on Tuesday in Vancouver.

All three family members were taken into custody, but his wife Li Xue (李雪) and their daughter Lily were later released. Gao remains in custody, the paper said.

Canadian authorities could not immediately confirm the reports.

Despite the large amount of money allegedly linked to Gao -- US$130 million according to Chinese media reports and US$71 million according to Canadian federal police -- the immigration adjudicator heard of a modest family living a modest life in Canada, the Globe and Mail said.

Li Xue testified on Tuesday her husband does not work and the family survives on her childcare wages of US$28,000 per year.

She said she arrived in Canada with US$56,000 and the couple now have only US$9,500 in a bank account.

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