On December 4th, 2012, Xinhua published an article on how widespread private lending has become in China. Many small and medium sized enterprises borrow money using private financing. Recently, the Public Security Bureau in Zhangzhou City, Fujian Province issued a warning to alert the people about “illegal funding activities.” One recent incident of “illegal funding" involved up to 80 million yuan.
Source: Xinhua, December 4, 2012
http://news.xinhuanet.com/2012-12/04/c_113895746.htm