Key facts
- A private company in China's Guangxi region orchestrated a fictitious pig-trading scheme.
- The scheme resulted in the issuance of nearly 8.8 billion yuan ($1.3 billion) in fake invoices.
- Local state-owned enterprises suffered major financial losses due to the scheme.
- The company's controller has reportedly fled the country.
- The State Taxation Administration revealed the case as part of a crackdown on fictitious invoicing.
A private company in China's Guangxi region has been exposed for orchestrating a large-scale fictitious pig-trading scheme. Nanning Xuanpeng Agricultural Development Co. issued nearly 8.8 billion yuan ($1.3 billion) in fake invoices between 2023 and 2025, causing significant financial losses for local state-owned enterprises (SOEs) that were involved in the scheme. The company reportedly used the SOEs' contracts and stolen slaughterhouse permits to obtain fake digital invoices. The State Taxation Administration revealed the case as part of a broader crackdown on fictitious invoicing practices, which are often used to inflate corporate revenue and secure bank loans. The controller of the company has reportedly fled the country, and multiple SOEs are facing substantial unrecoverable funds.