By staff reporter Luo Changping

From Caijing online

Lian Chao, nicknamed “Gambling King of the High Seas,” was arrested by police from Chinese mainland for allegedly money laundering for Huang Guangyu, the founder of home appliances chain Gome. Huang was taken into custody in late December 2008, and his wife is under house arrest too.

One of the investors behind the Neptune fleet of casinos, Lian often invited Chinese officials and businessmen aboard to gamble. Huang was one of his clients, and Lian helped him launder money through gambling, according to a source who asked for anonymity.

The Neptune is a five-star luxury ship in Hong Kong, nine stories tall, and with a capacity of 500 people.

Gambling on the high seas boasts many attractions. For one, it is tax-free and out of government supervision. The Chinese government has banned officials from gambling and tightened policies on tours to Macao, making casinos on the high seas even more popular.

Government officials have frequented high sea casinos since the 1990s. One of the most infamous gamblers, Ma Xiangdong, former vice mayor of Shenyang City, visited Macao casinos 17 times and the Oriental Princess casino four times. He once lost tens of millions yuan within three days.

In the 10 months before his arrest in late 2008, Huang traveled between the Chinese mainland and Hong Kong and Macao about ten times, according to airline records. Moreover, Huang may have traveled under false identities with Lian’s help, according to sources close to the police.

Article in Chinese: http://www.caijing.com.cn/2009-01-08/110046216.html