Saturday, November 16, 2024

Singapore begins to pay the price for ‘Chinese cuckooing’

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Author: Andy Wong Minjun

As the geopolitical waters between China and the West, especially the United States, become increasingly volatile, Singapore’s economy has become increasingly receptive to Chinese companies and capital seeking safe haven and alternative business routes to Western markets. What looked like realism is turning into a headache. The three incidents (two within a week) highlight the diplomatic and reputational impact of what has become known as “Chinese cuckooing.” This is a reference to the way cuckoos take over the nests of other birds to lay eggs, a form of parasitic behavior similar to the practice of using Singapore to hide their Chinese origins.

According to a report on November 22, 2022 financial times report, at least 500 Chinese companies have secretly chosen to relocate or register in Singapore as a workaround against US trade sanctions against mainland Chinese companies. This “Singapore washing” has been accepted as a viable economic strategy by the city-state, which does not hesitate to exploit its global image as an intermediary destination and gateway to Westernized Asia, similar to Hong Kong. It is being Even so, the Singapore government has always been cognizant of the potential negative reputational risks associated with facilitating Chinese companies’ efforts to “de-sinicize” their business operations and backgrounds, and even if Even if you are trying to wind it up as “Singapore Stamping” or “Singapore Pivot”.

Recent incidents include TikTok’s CEO Chu Shouji at US Congressional hearings over TikTok’s move to Singapore and whether he is a potential Chinese Communist Party agent or an agent of China. This includes the fact that Mr.A shocking investigative article was published in a Singapore-based newspaper. Straits Times Regarding Chinese companies using unmarked rented offices to coordinate the distribution of illegal e-cigarette/vapor products to other countries in the Asia-Pacific region. and a long-running money laundering scandal involving multiple Chinese nationals with foreign passports.

Cotton’s gaffe masks real concerns

There’s been a lot of uproar over the alleged racism shown by Sen. Tom Cotton when he grilled Chew on January 31st. Cotton’s questions were like a hamster, but his questions, along with those of his colleague Sen. Josh Hawley, stem from legitimate concerns: TikTok has a fundamental relationship with ByteDance, which was originally its mainland parent company and thus remains subject to China’s 2017 “National Intelligence Law,” which gives the Chinese Communist Party carte blanche to demand cooperation from all Chinese citizens. It is trying to use Singapore as its global headquarters to hide its pipeline. Individuals, organizations, and institutions that support national intelligence activities.

Cotton definitely missed a trick when asking Chu about the photo Distribution online from 2019, Mr. Chu reportedly posed with other ByteDance employees next to a Chinese Communist Party flag at the company’s Beijing headquarters. Even in 2019, this is far from harmless.

TikTok is headquartered in Singapore in 2019, when the company reportedly tried to move its social media application business away from its Chinese origins. Despite the company deciding to establish its global headquarters in 2020 and promoting Singaporean CFO Chew as its new CEO after previous CEO Kevin A. Mayer stepped down after just three months. , TikTok hasn’t been able to shake it up completely. Political surveillance, especially in the United States.

Amidst the media uproar over Cotton’s “nationality-questioning” remarks about Chu during the hearing, Holly’s far more pernicious question About TikTok keeping US user data private and unable to silo it. Mr Hawley’s question was reinforced with the following words: wall street journal Report 1 day in advance Through an internal report from a TikTok employee, it was revealed that the platform was still providing US user data to ByteDance staff. Despite TikTok It continues to silo US user data as part of “Project Texas.” This was proposed to U.S. regulators as a key measure to deter the U.S. from banning the app outright.

chinese cuckooing

amazing investigative reporting Published in February up to 4 Straits Times It sheds light on yet another example of China’s cuckooing behavior, which could further damage Singapore’s international reputation. Two Singaporeans contacted the newspaper to blow the whistle on the company, which remained anonymous except to be listed as one of China’s largest e-cigarette companies. The company occupying the River Valley office is leased from a Singapore-registered company, but business records show the ultimate beneficial owner is a Hong Kong-registered company whose chief executive is a Chinese e-cigarette manufacturer. be a director of a company;

use Two secretly recorded audio recordings Whistleblowers allege internal phone calls between executives of various companies based in an innocuous, unmarked rented office that coordinates shipments of e-cigarettes and e-liquid to other local jurisdictions. He claimed that his fellow employees were aware that he was being used to do so. E-cigarettes are prohibited in Singapore. This includes Thailand, Laos and Cambodia. The allegations further explain how the Singapore office was also involved in illegally importing e-cigarette products from Malaysia to Singapore, and in the past had bribed “challenged markets and heavily regulated markets”. suggests that it was provided. Australia and New Zealand.

lastly, long-running scandal The explosion occurred on August 15th. In this case, Chinese nationals used Singapore as a base to use secret banking laws to hide large-scale money laundering. There have been few new developments since the arrest of the first 10 suspects and the seizure of billions of dollars in gold and luxury goods. A further 55 properties and 15 vehicles were seized, along with more than 200 luxury items, bringing the total assets involved to more than S$3 billion (US$2.22 billion), Singapore police said on January 19. did.

Two new arrest warrants and an Interpol Red Notice were also issued for suspects who fled shortly before arrests began in August 2023. On February 8, 1 out of 10 people was slapped. 2 new charges of forgery. Su Jianfeng is suspected of using a set of forged annual reports from a China-based company owned by another suspect, Chen Qiuyan, to submit to two Singaporean banks as proof of his legitimate wealth. has been accused of. Mr Hsu also claimed to be the CEO of a company founded in Singapore called An Xing Technology when he was arrested in August 2023. I couldn’t tell you the name of the company’s office location.. Singapore is sadly learning that turning a blind eye to these activities has risks as well as benefits.



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