Police in Chengdu have cracked what they describe as the mainland's biggest invoice counterfeiting case.
Six suspects were arrested and would be charged soon, the People's Daily reported yesterday.
The report said police seized fake invoices which, if used to claim tax rebates or other concessions from the government, could have been worth as much as 10.6 billion yuan.
The mainland follows the value-added tax system for most transactions. With fake invoices, businesses can claim export rebates from the government and also cheat on taxes.
According to the newspaper, police in Chengdu became aware of a gang active near the city's train station as early as June. Intelligence collected showed that the gang was selling fake invoices for profits.
Police later detained a suspect identified as 45-year-old Zhang Chengxue and through him were able to locate another suspect, Yang Shugen , who was investigated but released two years ago for a similar offence.