Chinese developer offering house and visa packages for Asian buyers closes website
THE development company exposed by The Daily Telegraph yesterday for offering ‘house and visa packages’ in the Hunter Valley to wealthy Chinese investors has suddenly closed its website after the NSW Planning Minister launched an investigation.
NSW
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THE development company exposed by The Daily Telegraph yesterday for offering ‘house and visa packages’ in the Hunter Valley to wealthy Chinese investors has suddenly closed its website.
Following an exclusive investigation into a multimillion-dollar development site at Millfield in which a company was marketing a “permanent resident visa in as little as six months” for Asian investors if they bought into the housing scheme, the company’s website became unavailable.
In the light of The Daily Telegraph’s exposé, State Planning Minister Anthony Roberts ordered a full investigation into the development.
The Daily Telegraph reported yesterday how Jiang “James” Xiao was behind Profit Palace Pty Ltd offering “quick” connections to politicians and business people as well as easy access to social welfare benefits.
He had even featured lawyers and a State politician on the site as part of his marketing push. But immigration lawyer, Nigel Dobbie, his colleague Xiella Devine and Parramatta MP Geoff Lee, who were all pictured on the site, had nothing to do with the project.
FIONA WINGETT EXPLAINS THE STORY:
The Telegraph’s investigation exposed how Mr Xiao was offering well-off Chinese families a way to “easily acquire” a “high-quality lifestyle”, linking owning 750 sqm of land on the estate with helping buyers gain access to a 132A Business talent visa — a special category of visa reserved for “high-calibre” business people.
“After being granted this visa, the applicant and their family members can enjoy the social welfare benefits that Australian citizens are entitled to,” the company, headed Mr Xiao, boasted.
But Mr Lee denies having any knowledge of Mr Xiao’s company. The Chinese language-only website, included a photo of Mr Xiao with Mr Lee in his electorate office.
“I do not know anything about this company or the site. That picture was used without my permission — and I will be writing to them to ask them to remove my photo,” Mr Lee said. “I can’t remember when the photo was taken. The background is in my old office and we moved about 18 months ago.”
Highly respected immigration lawyer Nigel Dobbie, who has worked for the United Nations High Commissioner for Refugees, is also pictured on the website and described as a “co-operating lawyer”. But he, too, had no knowledge of the deal. Mr Dobbie’s photograph and biography had simply been taken from his company’s genuine website and placed on the Profit Palace site to bolster its credentials.
“This is outrageous,” he told The Telegraph. “I am nothing to do with that company or that project. They used to be in the same building as me but that is it.”
Mr Dobbie also said there was “no requirement” to purchase property to be eligible for a 132A visa.
But Profit Palace claimed the development had received official sanction.
“At the moment, this project has received NSW state government and local city government support. The project’s approval process is close to complete, and the 132 visa has received pre-approval,” it claimed.
It went on to say: “Even if you don’t understand English, you can quickly get connected to Australian political and business circles.
“You and your friends can leisurely ride horses, or have a sandboarding competition. You can enjoy picking grapes in your own backyard, appreciate the beautiful sunrise, or study winemaking … of course you can also take a hot-air balloon ride and enjoy the Hunter Valley’s unique Brokeback (sic) Mountain, have a helicopter adventure, or enjoy the folk music festival.”
The website also led viewers to believe it has already sold nine properties.
Yet The Daily Telegraph can reveal that no properties have yet been sold.
A map used on the site with “SOLD” images over parcels of land is actually for another Hunter Valley development.
Repeated messages left for Mr Xiao have not been returned.
He was described on the site as chief executive director of Rundu Australia, but a search shows no company registered under that name.
But he is a registered director of Profit Palace Pty Ltd, in which he holds 20 shares.
A person called Yan Hou, based in Guangzhou, China, holds the other 80 shares.
Mr Xiao’s office is listed as Suite 1701, 31 Market Street, Sydney, but the number is ¬disconnected.
When The Telegraph tracked him down, Mr Xiao referred us to assistant Chelsea Chen, who said the office had relocated to Rhodes. She refused to give the address.
Ms Chen could not supply the cost of any of the land, or house and land packages, saying it was “early days”.
The website also flagged a “famous” hotel brand would be part of the development, “estimated to include … 50 guest rooms, a gym, entertainment room, sauna, private club, high class dining and other entertainment facilities”.
But there is no planning application for such facilities.
Planning Minister Anthony Roberts said the Telegraph’s revelations were “concerning”.
“Does it pass the pub test that someone can offer overseas nationals residencies in NSW if they purchase a block of land? Of course it doesn’t.
“I have instructed my department to undertake a full and comprehensive audit as well as an investigation into this matter
“Certainly, this is a matter for Fair Trading. Do we need to strengthen our laws in NSW? Certainly we do.
“Does the Federal Government need to strengthen its laws and have a close look at FIRB (Foreign Investment Review Board) and the laws around that? Absolutely.
“I think it’s the expectation of people in this nation that people can’t buy their way in to permanent residency or citizenship.
“What we can do is strengthen our laws to ensure that any loophole that is there, is tightened. The department of planning will look at how this occurred and ensure that it doesn’t occur again.
“We have our legal teams looking at it now. Of course, it’s of concern to anyone, it doesn’t matter if it’s a Chinese individual or it’s a person that lives around the street from you that.
But he warned people to be careful about what they are buying. “If it’s sounds too good to be true, it probably is.”
He denied he had ever met with Mr Xiao.
Cessnock councillor Paul Dunn said the council could not control who bought properties. “If it’s for sale, it’s for sale … Who they market it to is not a determining factor in giving approval,” Mr Dunn said.
The development has caused huge controversy in Millfield, which has a population of 1006.
The sleepy town is about 15km southwest of Cessnock. The main road still houses the 82-year-old clapboard village hall, now a private home, which once hosted debutante balls and wedding receptions and the old post office.
Mount View Road, where the new estate is planned, is even quieter.
Sue Taylor, who lives opposite the site, said: “It’s appalling. It’s just not the right kind of development for here. The peace and quiet that people move here for will be gone.”
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