This post in the Australian Financial Review goes into some detail on how Chinese citizens have been illegally moving money out of China and into Australian property (mainly housing) assets.
Houses bought in Sydney
It’s also a fair bet that more than $1.2 million of Su’s money found its way to Australia.
The court documents hint at this. They show that the younger Su, who is thought to have studied in Australia, was paid nearly $2 million by another company associated with his father. Court documents show the younger Su was on the payroll of a trading company even though he never participated in a management meeting or had any involvement with the business.
The transcript is silent on whether this money ever came to Australia, but there’s no indication the younger Su or Qian felt insecure in recent years as Xi’s corruption campaign continued to arrest ever higher ranking officials.
Despite his father being officially placed under investigation in July 2011, the couple have made no attempt to disguise their activities.
And nor do they appear to have been short of cash.
In April last year they paid $1.35 million for a house in Killara, which has remained empty since and is now slated for demolition and a $500,000 rebuild.
Property records show the couple settled on this house before selling a townhouse in Breakfast Point for $2.5 million. They are also linked to a $550,000 apartment in Rhodes, which is the registered address for a company they established, and another apartment in Wolli Creek, which they appear to have bought off the plan in October 2010 for $400,000.
And so the question of course is, “Is this happening in NZ too?” And I reckon it is.
Which of course raises other questions such as “What is going to be done about this, if anything?” and “Is the money train going to stop – leading to lower property values in NZ?”
I’d really be interested in readers comments on this.