A Chilean court has imposed a fine on a Chinese inmate found in possession of cocaine inside a Santiago prison, highlighting ongoing concerns over organized crime involving Chinese nationals in the country. Haifeng Tang, currently held at La Laguna maximum-security facility on charges including homicide, kidnapping, and drug trafficking, was discovered with sealed bags containing approximately one gram of cocaine during a search on August 12. The Seventh Guarantee Court of Santiago fined Tang 71,649 pesos (about HK$602), or alternatively sentenced him to up to six months in prison if he does not pay.

This marks the second ruling of its kind in five months, with prosecutors linking Tang to another Chinese inmate, Longjiang Wang, who was found with cocaine in the same prison earlier in March. Wang faces charges related to criminal association and kidnapping for ransom and is connected to a network prosecutors refer to as Hongmen. Both cases are part of wider investigations into multiple criminal groups within Chile’s Chinese community, which until recently was thought to consist of only one organized crime network. Authorities are now pursuing three separate inquiries, involving activities ranging from illicit casinos in Santiago to fraud rings in the northern regions.

Tang also faces charges of weapons possession and criminal association. The homicide charge involves another Chinese citizen identified by prosecutors. His public profile rose last year following an incident in Meiggs, a Santiago district known for its significant Chinese commercial presence, when he reportedly discharged a submachine gun near residential buildings. That incident led to his arrest along with other Chinese nationals, who are believed to be part of the leadership core dismantled by law enforcement last year.

The discovery of cocaine on Tang was a setback for Chile’s recent prison reform initiatives under President Jose Antonio Kast. The August 2023 launch of Operation Cancerbero, aimed at cracking down on criminal organizations, involved relocating 191 inmates—including nine suspected crime leaders—to the newly established La Laguna prison. However, Tang was cleared for transfer despite carrying narcotics, underscoring challenges in implementing stringent security measures.

Earlier in August, a court in Iquique ordered the return of several Chinese defendants involved in a fraud case from La Laguna back to a northern prison facility more than 1,700 kilometers away. The majority of those connected to the fraud investigation are also involved in the criminal networks under scrutiny for their illicit activities.

The Chinese community in Chile, estimated at between 10,000 and 17,000 nationals, is concentrated economically in districts like Meiggs, which hosts over 3,000 trading licenses, nearly 450 of which are held by Chinese merchants. Police operations, including one code-named Muralla Oriental, have uncovered financial movements totaling approximately US$600,000, linked to illegal casinos and facilitated through hawala, an informal money transfer system that bypasses formal banking channels. Additionally, a police officer on active duty has been accused of accepting bribes to provide advance notice of inspections to the criminal group, further complicating enforcement efforts.

These developments reveal the expanding scope of organized crime within Chile’s modest Chinese population and pose ongoing challenges to the government’s security policies.