This document summarizes corporate fraud issues that multinational companies face when doing business in China. It discusses how guanxi social culture can enable fraud and corruption. It provides examples of fraud cases involving UTStarcom, GSK, and Danone. It also outlines Mazars' experience investigating fraud cases in China, including a general manager who misused company funds and a sales manager who claimed personal expenses as business costs. The document emphasizes that companies need strong internal controls and governance to prevent and detect fraud in order to sustain long-term business in China.