China Hot money’s growing underground flow
Hot money travels across the border in various ways, from suitcases to doctored trading invoices. A groundswell of individuals in Hong Kong opt to move cash through local money changers, many of whom also act as remittance agencies, handling two-way trade and mimicking the hawala banking networks that operate in South Asia and the Middle East.Money changers say they can wire as much as HK$20 million in one deal and transfer roughly HK$3 million a day between the mainland and Hong Kong.