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In late August, a criminal complaint in Santiago stated that over Chinese migrants had been illegally brought to Chile from the Chinese mainland since Once arriving in Chilean cities such as Santiago, Valparaiso, and Temuco, the migrants would often be forced into sex exploitation at entertainment venues or to work as growers in indoor marijuana plantations. A parallel criminal investigation, which began in , found that a string of these indoor marijuana plantations and entertainment venues were owned by families originating from the southern Chinese province of Fujian, known as the Bang clan. While Chinese organized crime has made inroads into Latin America before, supplying fentanyl or chemical precursors to Mexican groups or helping to launder drug proceeds, this presence in Chile appears to be far more permanent. InSight Crime lays out here why this country has been the ideal landing point for the Chinese mafia. The Bang group is one of the more prominent criminal outfits to emerge from the southeastern province of Fujian. Due to its geographic position and trade links, waves of Fujianese immigrants have migrated around the world, with a heavy presence in Hong Kong , southeast Asia , the United States, and Canada. Historically, this diaspora has allowed Fujianese organized crime to set up operations in different countries, either running these internally, or collaborating with other Chinese Triads, the Japanese Yakuza, or mafia groups in the United States. Such operations habitually took the shape of running licensed casinos or entertainment venues and beauty parlors as fronts for drug trafficking and prostitution. These operations formed an early template for how the Bang group would come to operate in Chile. The group was able to benefit from a Fujianese legacy of running entertainment venues like karaoke bars as fronts for criminal economies, while also developing their own expertise in growing and selling marijuana. Chile was not the first foreign country the Bang group moved into. Its first major operation overseas began in Spain. In April , Spanish security forces dismantled a large-scale illicit marijuana production ring. Sixty-five people, including many Chinese citizens, were arrested in Spain, as well as the United Kingdom, France, Portugal, the Netherlands, and Italy. Two families, identified as Lin and Zheng Wei, were known to Spanish authorities since for smuggling migrants from Fujian. From , they dedicated themselves to marijuana production, according to Spanish police documents. A number of overseers, mostly young men in their twenties and thirties, who ran each marijuana production site. The Bang group replicated this same model in Chile, down to the marijuana plantations, forcing migrants to work for them, and relying on the Chinese diaspora. One exception appears to have been when it came to synthetic drugs. While the Bang clan sold its marijuana to Chilean traffickers, it also bought ketamine and ecstasy to sell inside its karaoke venues, according to Chilean newspaper, La Tercera. If the Bang group were looking for a Latin American destination to replicate their marijuana model, Chile would have been an obvious candidate. Fifteen percent of Chileans regularly smoke marijuana, according to the UN World Drugs Report , with the country ranking third in the world for use of the drug behind Israel and the United States. While the country has decriminalized personal use of marijuana, its large-scale growing and commercialization remains illegal. There was therefore a ready demand for large-scale marijuana cultivation, which plenty of criminal actors have stepped into. From to , Chilean authorities seized increasing quantities of marijuana entering by land and sea from Peru, Colombia, and Bolivia. But as land borders closed during the COVID pandemic, moving in marijuana from abroad became more difficult. Domestic production predictably rose. This provided a real opportunity for the Bang, a group with expertise in indoor marijuana plantations and able to operate largely under the radar. An indoor marijuana plantation owned by the Bang group in Santiago. Source: Chilean Investigations Police. Chile maintains close relations with China, especially since when it became the first Latin American country to sign a free-trade agreement with the Asian nation. These ties have helped Chinese organized crime mask illicit activities, such as smuggling in migrants or buying stolen copper. Chinese organized crime has benefited from Chilean ties before. Chinese trade associations in Chile are flourishing , both nationally and locally. The original criminal complaint against the Bang group was even filed by one such association, showing how the Chinese business community in Chile is uniquely positioned to report on China-linked criminal economies. These trade associations are well-integrated and their members are responsible for extensive job creation. Corrupt business owners within this diaspora are therefore ideally positioned to provide assistance and camouflage for migrant trafficking and subsequent labor exploitation. A savvy criminal operator, he formed ties with political power players. The two men even took a picture together where they held the Chinese flag. He was arrested in April on charges which included drug production, drug trafficking, and belonging to a criminal organization. In August , Yu struck a deal with authorities, pleading guilty to the charges and avoiding jail time but agreeing to up to five years of probation. The political and economic crises in Venezuela and Haiti saw tens of thousands of people from these countries head for Chile in often perilous circumstances. Criminal groups rapidly preyed on these vulnerable populations, through extortion, drug trafficking, and sexual exploitation. Venezuelan gang, Tren de Aragua , is particularly notable for this, criminalizing numerous Venezuelan migrants on the way to Chile and continuing to do so inside the country. Tren de Aragua has been blamed for an escalation in homicides , extortion , and migrant smuggling. Copycats, falsely claiming to be with Tren de Aragua, have also emerged, likely only worsening the image of Venezuelan migrants in the country. The Bang group has followed the same pattern, bringing in migrants from Fujian, speaking a language unknown to Chilean authorities, and forcing them to work and live under their complete control. While Chile is currently cracking down hard on crime caused by foreign gangs, including revising its immigration policy, it remains to be seen how this will affect Chinese organized crime. Known smugglers have been joined by Tren de Aragua and now the Bang group. This once-liberal immigration policy has been reversed, with thousands of migrants deported back to neighboring countries and causing a political flashpoint. Even when Chilean investigators began focusing on the Bang clan, they struggled with language problems when trying to decipher tapped phone conversations. Subscribe to our newsletter to receive a weekly digest of the latest organized crime news and stay up-to-date on major events, trends, and criminal dynamics from across the region. Donate today to empower research and analysis about organized crime in Latin America and the Caribbean, from the ground up. Skip to content A marijuana plantation owned by the Bang group in Spain. International Legacy of Fujianese Organized Crime The Bang group is one of the more prominent criminal outfits to emerge from the southeastern province of Fujian. The group was able to benefit from a Fujianese legacy of running entertainment venues like karaoke bars as fronts for criminal economies, while also developing their own expertise in growing and selling marijuana Tried-and-Tested Business Model Chile was not the first foreign country the Bang group moved into. Stay Informed With InSight Crime Subscribe to our newsletter to receive a weekly digest of the latest organized crime news and stay up-to-date on major events, trends, and criminal dynamics from across the region.

Why Chinese Mafias Are Moving Into Chile

Buying Cannabis Temuco

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