Chinese National Living Illegally Since 2020 Among Three Held in Noida Hawala and Shell Company Racket

A Chinese national who allegedly overstayed his visa by nearly six years is among three people arrested by the Uttar Pradesh Special Task Force (STF) for allegedly running a sophisticated hawala and money laundering network through a web of shell companies operating out of Noida.

The accused have been identified as Liao Longhui, a Chinese citizen residing in Sector 93, Noida, Sanjeev Kumar, a chartered accountant from Ghaziabad, and Kaushalendra from Auraiya. According to the STF, the trio was arrested after an investigation into suspicious financial transactions linked to multiple companies.

During searches, investigators recovered five laptops, nine mobile phones, a tablet, a forged Aadhaar card carrying Liao's photograph under a different name, two PAN cards, 10 company seals, two Chinese passports, 11 cheque books, invoices, and cheques worth ₹4.72 crore, besides cash.

The probe centred on YTL Manufacturing Pvt Ltd, a Noida-based company allegedly managed by Liao. STF officials claimed the company imported raw materials from China at inflated prices, manufactured mobile phone covers in India, and sold them in Delhi markets through under-invoicing, creating a channel to move funds abroad.

Investigators allege that the excess money was transferred overseas through hawala routes before eventually reaching China. To facilitate the operation, Liao allegedly persuaded company employees to provide identity documents, which were then used to establish several shell companies. Another company was allegedly floated in the name of his driver and used to route financial transactions.

The STF also suspects Sanjeev Kumar played a crucial role in incorporating these companies and opening bank accounts that were allegedly used for laundering money.

Officials further claimed that Liao's Indian visa expired in 2020, yet he continued to stay in the country illegally while allegedly operating the financial network. The investigation is continuing to identify additional beneficiaries, financial links and the full extent of the alleged hawala operation.