New system monitors Internet fundraising

To combat illegal fundraising, including fraudulent peer-to-peer microlending, Beijing has set up a monitoring platform that uses big-data technology.

Shen Hong, vice-consul of the Beijing Bureau of Financial Work, said the capital has seen fast growth in such fundraising since last year, and it is getting harder to identify problem companies since the Internet provides a smoke screen for their activities.

"Those who participate in illegal fundraising tend to register companies in Beijing, especially in Chaoyang and Xicheng districts, and conduct fundraising around the country," Shen said.