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HSBC Becomes the First Foreign Bank in China to Establish a Chinese Communist Party Branch

Lianhe Zaobao (United Morning Post), a Singapore based newspaper, reported that the financial institution, HSBC Qianhai Securities Co. Ltd., established a branch of the Communist Party of China, becoming the only bank among the seven foreign banks with an investment banking business in mainland China that has established a grassroots organization of the Communist Party in its subsidiaries.

China’s company law requires companies to set up grassroots Communist Party committees, but it does not mandate foreign financial institutions to do so. Foreign media previously reported that HSBC Qianhai Securities set up a party committee of the Communist Party of China, believing that the move might force other foreign banks to follow suit.

According to The Epoch Times, the establishment of the Communist Party branch of HSBC Qianhai Securities comes after its move in April  to raise its stake in the joint venture from 51 percent to 90 percent .

At first, in order to facilitate the introduction of foreign capital, they only established party branches in foreign companies secretly. Later it became a completely open requirement. Based on data released by the Organization Department of the Chinese Communist Party Central Committee, by the end of 2016, 70 percent of foreign-funded enterprises in China had established party branches or committees.

Source: Lianhe Zaobao; Epochtimes, July 22, 2022.

China’s Media Continues to Spread that Covid Virus May Have Come from U.S. Biological Laboratory

China News, a major news media in China, recently published an article titled, “Lancet Scholar Says New Coronavirus May Have Originated in U.S. Biological Laboratory.” The article cited a report from Russia Today. The article stated, “Jeffrey Sachs, chairman of the new crown committee of the international medical journal The Lancet, said that the new coronavirus may not have come from nature. It may have originated from an accident in a U.S. biotech laboratory.”

The article was republished on many media channels in China including Xinhua.

Radio Free Asia pointed out that Chinese media blatantly tampered with the original words of U.S. experts.

According to Radio Free Asia, Sachs made it clear that, “I’m pretty sure it came from biotechnology in American labs — not from nature.” Sachs said so in a speech at a conference hosted by the Spanish think tank GATE Center in mid-June.

1., July 2, 2022
2. Radio Free Asia, July 13, 2022

Japanese Eyewitness’s Description of Live Organ Harvesting Situation

Ushio Sugawara (菅原潮) is a former member in the Yamaguchi Group, a large organized-crime syndicate in Japan. He left the group in 2015. The Epoch Times newspaper interviewed him on June 20 of this year at which time he talked about the organ harvesting he witnessed in China.

In 2007, the brother of a Sugawara’s friend needed a liver transplant. Within a month, the Beijing Armed Police General Hospital offered him a matching organ for 30 million Japanese Yen (U.S. $222,000). When the hospital was ready to do the operations, it found that the blood product of albumin they had was a fake product. His friend asked Sugawara to bring albumin from Japan to China.

Sugawara was stopped at the Beijing airport for not having permission to import albumin to China. Though a high-ranked armed police officer came to meet him, the airport police, which was not under the same command as the armed police, stopped him for several hours. Eventually some politicians got involved and released Sugawara and his albumin.

Sugawara visited his friend’s brother before the transplant. The doctor, who had previously studied in Japan, showed him the organ supplier who was in the next door and was still alive. He was a 21-year-old male and he was under anesthesia. The doctor told the friend’s brother that the organ supplier was a bad person and would die anyway. This way, they would “let him make a contribution before his death.” That doctor also said, “He is young and his organs are very healthy.”

Sugawara kept inquiring about the person and was told that he was a Falun Gong practitioner.

The hospital severed the Falun Gong practitioner’s tendons in both hands and feet the day before. The doctors told Sugawara that they did it to prevent him from escaping and also to have a better result when cutting the organ. When people are scared, their bodies curl up and that can affect the quality of their organs.

However, the surgery failed. Both the Falun Gong practitioner and Sugawara’s friend’s bother died.

Sugawara said that doctors in Japan knew about the live organ harvesting but kept sending patients to China, and Japanese media also knew about it but remained silent on it as well.

Source: Epoch Times, June 27, 2022

The CCP’s Confucius Institutes that Infiltrate U.S. College Operations Just Rebranded

During a June 21 press conference, the National Association of Scholars (NAS) announced that the Chinese government-backed Confucius Institute (CI) program that infiltrates U.S. colleges has been rebranded as a purported Chinese language learning center in order to circumvent U.S. policy. The previous CI’s parent organizaton, Hanban under the Chinese Ministry of Education, was also rebranded as the Center for Language Exchange and Cooperation (CLEC).

In the past four years, 104 of the 118 Confucius Institutes at American universities have closed. Yet many of the colleges’ CIs have shifted to become Chinese language learning centers in universities. In reality, however, nothing has changed except the name.

Rachelle Peterson, senior research fellow at NAS, told reporters during a press conference, “We looked at all 118 Confucius Institutes that have ever existed in the United States. At least 28 that closed as CIs were replaced with something similar, usually operated in partnership with CLEC.”

Peterson told reporters that, under the guidance of the CLEC, at least 58 schools maintained a relationship with their Chinese sister universities and at least five schools recruited a new host location for their CI program in order to maintain the relationship.

As an example, the report cites Northern State University in South Dakota, which signed an agreement with the CLEC after closing the CI in 2019. Peterson said The center sends Chinese language teachers and pays their salaries and travel expenses, while Northern State University provides classrooms, teacher housing and health insurance, exactly the same arrangement as for the CI program. “Nothing has changed except the name.”

The CCP has said that Confucius Institutes were established to promote Chinese language and culture. The official website of Hanban published a report on Nov 28, 2012, when Li Changchun, a member of the Standing Committee of the Political Bureau of the CCP Central Committee, visited the CI headquarters. Li said that the Confucius Institute is a brand that, “has an affinity in itself” and is a “pure culture.” In an earlier official Xinhua report, Li also indicated that the CI is “an important part of the CCP’s grand foreign propaganda pattern.”

CIs have a lot of requirements for their host Western universities. For example, they require the host university to sign a confidentiality agreement not to disclose the amount of funding, and to follow the Chinese version of the supplied textbook. The CI  basically conducts self-censorship. Increasingly, critics see it as an overseas political propaganda machine for the CCP, and a tool to monitor and interfere with overseas campus speech and activities. For example, in 2009 North Carolina State University canceled a plan to invite the Tibetan spiritual leader, the Dalai Lama, to speak at the university because the CI protested this action.

The 2020 U.S, Department of State designation of CI as a “foreign mission” was bolstered by the passage of the Confucius Act in March 2021. The act stipulated that schools which maintain CI programs were ineligible to receive most Department of Education funds.

U.S. Republican Congressman Jim Banks (R-IN) said in a recent report released on the CIs that although most of the CIs in American universities have been closed, the CCP’s United Front Work Department continues to promote influence on U.S. college campuses, and he called on Congress and the Administration to take the China threat seriously.

“The mission of the CCP’s United Front Work Department is to influence foreigners and foreign institutions, especially those in the United States, whose work is visible on college campuses across the United States. CIs and Chinese universities establish partnerships with U.S. universities to receive research funding from (Chinese) government agencies. Rep. Banks said that most of the partnerships are not random, and China’s United Front Work Department has specifically targeted university institutions with strong STEM programs, and in recent years, there have been many espionage operations.”

China has always insisted that CIs and similar cultural exchange programs should not be politicized. The CCP’s media Global Times said in an editorial that CIs and similar institutions are a “platform for a comprehensive and objective understanding of China, and China firmly opposes the politicization of academic and cultural exchange activities.”

1., June 23, 2022.                                                                                                                                                     
2. Daily Caller, June 22, 2022.



Pandemic: WHO Director-General Privately Said COVID Virus Was Leaked from China’s Lab

The British media The Daily Mail reported that Director-general Tedros Adhanom of the World Health Organization (WHO) had recently confided to a senior European politician that the most likely explanation for the origin of the COVID virus was a catastrophic accident at a laboratory in Wuhan, from which the infections first spread during late 2019. Officially, Dr. Tedros said that, “We do not yet have the answers as to where it came from or how it entered the human population.”

Some of the Western intelligence services questioned that the Wuhan Institute of Virology had been doing research with the virus and leaked it.

Source: Daily Mail, June 18, 2022

The CCP Will Strictly Control High Officials’ Spouses and Children Who Run a Business

According to Xinhua News Agency, the General Office of the Central Committee of the Chinese Communist Party (CCP) recently issued “Regulations on the business activities of high officials’ spouses, their children and their spouses.” The regulation offers clear and specific provisions on the applicable objects and circumstances, working measures and disciplinary requirements concerning officials’ spouses, their children and their spouses who run businesses or enterprises. The higher the level of an officials’ position, the stricter the requirements, and the integrated departments are stricter than other departments.

The “regulations” apply mainly to the officials of the CCP’s and the government’s organs, groups and organizations, enterprises and institutions at the level of department and bureau and above including the equivalent level of any position.

As for what is called “running a business or an enterprise,” it mainly refers to investing in the start of a business, holding senior positions in private or foreign-funded enterprises, investing in and engaging in private equity funds, and engaging in paid social intermediary and legal services.

According to the regulation, officials are required to report on the business activities of their relatives every year. False reporting will lead to severe punishment.

For those who are “to be promoted or further employed ” if they do not meet the regulations on the prohibition of employment for the proposed post, they should quit the business and enterprises, or will not be appointed.

Source:, June 19, 2022.

Government: Authorities Used the Health Code against People Defending Their Rights

Chinascope pointed out in its analysis, “China’s Zero-COVID Strategy: Part II,” that the communist regime in China can abuse the Health Code App, a tool it developed to track people’s COVID-related health condition, to control people’s movement. The authorities can use its backdoor access to the app to freeze political dissidents or anyone they don’t like, anywhere and anytime.

A recent incident shows exactly how this abuse can be used.

A few days ago, a few local private banks in Henan Province were reported for massively stealing their customers’ money. They offered high interest rates to attract over 400,000 customers who are now facing the potential loss of a total of 40 billion yuan (US $6 billion). The government that was supposed to oversee the banks claimed that it was not responsible for the loss.

Some people then went to Henan to try to get their money back. But they surprisingly found that their Health Code apps were all turned Red (in the COVID procedure, it means the phone holder is either a COVID patient or has close exposure to a COVID patient and needs to be quarantined). Henan officials visited those who arrived there and offered them two options: either stay in Henan for quarantine (their code will remain Red and they cannot go out to talk to anyone about their bank account problem) or return home.

Those bank customers who did not go to Henan also found their code had turned Red, which then completely prevented them from travelling, or even going out of their homes., the website managed by the State Council’s China Internet Information Center, said it was Henan Province that manipulated the health code of those bank customers even though they were not in Henan.

Related postings on Chinascope:

1. BBC, June 14, 2022
2. (owned by China Internet Information Center of the State Council), June 15, 2022