Nine parallel traders arrested with HK$160,000 worth of goods near mainland Chinese border in Hong Kong
- Police noticed parallel traders had switched method by gathering and sorting goods in Tin Shui Wai before leaving for Shenzhen Bay Port
- Parallel trading causes traffic congestion, public hygiene issues and nuisance, police say
Nine people have been arrested with tax-free goods worth HK$160,000 following a police operation to crack down on parallel trading in Tin Shui Wai, close to the Hong Kong-mainland China border.
The operation on Thursday came after similar police action at the Shenzhen Bay border checkpoint, when at least two mainland Chinese people were arrested with HK$130,000 of goods from Hong Kong.
The Shenzhen Bay Port in Shekou, Shenzhen has a Hong Kong port area administrated by the Hong Kong government.
“Following several operations, police noticed parallel traders changed their method by gathering and sorting goods in the district of Tin Shui Wai before leaving for Shenzhen Bay Port to cross the border,” said a police statement issued on Friday morning.
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Parallel traders buy stock tax-free in Hong Kong and resell it in mainland China at a profit.
The emergence and prevalence of the business along Hong Kong’s border with Shenzhen has created tension in the city for years with traders blamed for occupying public space, pushing up prices and putting independent shops out of business in favour of chains.
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During Thursday’s operation, eight men and a woman were arrested in Tin Shui Wai Park, surrounded by a number of shopping malls and about 20 minutes’ walk from the MTR station.
All nine held a two-way permit issued by the mainland authorities for mainland Chinese people to enter and exit the special administrative regions of Hong Kong and Macau.
They were found with goods worth a total of HK$160,000, including dietary supplements, daily necessities and cosmetics.
Police detained the group for investigation on whether they had violated the conditions of their stay and will lodge a formal charge.
Violation of the conditions of stay can result in a maximum penalty of two years’ imprisonment and a HK$50,000 fine.
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“The operation was an effective strike against the problem of parallel trading in Tin Shui Wai,” police said. “We will continue to carry out similar operations in the future.”
Parallel trading causes traffic congestion, public hygiene issues and nuisance, police added.
