Preserve books and chats, then decide labour vs police — a factory-floor confession is a weak plan.
Occupational fraud in PRC operations often shows up as false fapiao, ghost vendors, inventory leakage, or side deals. The file is accounting plus WeChat plus bank. Criminal labels (embezzlement, contract fraud, false VAT invoices) have their own first-72-hours pieces in the criminal cluster — this page is the internal probe. Hold, interviews, and whether to self-report or go to PSB are counsel-grade. Supplier-fraud wiki is the external-sting related pages. Do not pay a fixer to ‘recover’ from your own employee.
4 questions before you choose the route.
This page identifies the right question and evidence. It does not determine the legal outcome on a reader’s facts.
What scheme?
Fapiao, vendor, cash, inventory.
SchemeHold the ERP and WeChat?
Before the interview.
HoldLabour dismissal vs PSB?
Threshold and proof.
PathThird-party vendor in on it?
DD/conflict overlay.
ThirdWorking rule: Map the regulated role before marketing or launch in China.
The signal ledger.
These facts move the question beyond a label and into a product, money-flow and control analysis.
Bring a compact evidence docket—not a pitch deck.
Give a compliance team or counsel the operating facts that reveal the perimeter.
Questions people ask before they build.
Short answers for orientation. The right result can change with the service model and current rules.
Should we go to the police?
When facts and amount support a crime and you want that path. It is not a faster HR process.
Where is false VAT invoice 72 hours?
A criminal-cluster article exists for that overlay.
Primary authorities
Reviewed sources support orientation, not a fact-specific assessment.