A programmer in northern China has been issued a severe financial penalty for using a virtual private network (VPN) to work remotely for a Turkish company, highlighting the risks of circumventing China’s strict internet controls.
Programmer’s Huge Fine for Using VPN to Access International Networks
The programmer, identified only by his surname Ma, was ordered by the public security bureau in Chengde to pay over 1 million yuan ($145,000) in penalties. This appears to be the largest individual fine ever imposed in China for using a VPN.
The authorities accused Ma of using “unauthorized channels” to connect to international networks between September 2019 and November 2022. He had used the VPN to work remotely for a Turkish company while living in China.
Police confiscated the 1.058 million yuan ($150,651) Ma earned as a software developer during that period, classifying it as “illegal income.” He was also fined a small additional fee of 200 yuan ($29).
Last year, police first approached Ma on Weibo, believing him to be the owner of a Twitter account they were investigating. Ma insisted the account was not his own. “I told them I was working for an overseas company at the time, and my personal Twitter only occasionally liked and retweeted my employer’s posts,” he wrote in a now-deleted post archived by China Digital Times.
Upon learning Ma worked abroad, police seized his phone, laptop, and multiple hard drives, holding them for a month. Later, they demanded details about his work, banking information, employment contract, and more. In August, Ma received a penalty decision. He plans to appeal with legal representation.
VPN Use in Legal Grey Area in China
VPNs operate in a legal grey area in China. While companies can officially use government-approved VPNs for commercial activities, individuals generally rely on unsanctioned VPNs to bypass the “Great Firewall” and access blocked foreign websites.
Also Read: VPNs vs. Proxies: How these privacy tools work and differ
Authorities often overlook the relatively small number of individuals who use the technology to access websites such as Google, Facebook, Twitter and, often, view pornography.
But in recent years the government has been making it harder for people to access the VPNs, and in rare cases has punished their use. The penalty imposed on Ma is an unusually severe punishment for an individual VPN user.
Concerns Over Steep Fine’s Chilling Effect
Experts worry the hefty fine could have a chilling effect on work for foreign companies and use of internet tools that bypass Chinese censorship.
“Even if this decision is overturned in court, a message has been sent and damage has been done,” said Charlie Smith, co-founder of GreatFire.org. “Is doing business outside of China now subject to penalties?”
Others note that if such harsh punishments become commonplace, they could severely restrict China’s tech and IT sectors.
Questions Over Authorities’ Motivations
Some speculate the large fine may be partly profit-motivated, as local governments in China struggle with debt and look for new revenue sources.
Chengde, where programmer Ma lived, had a major increase in forfeiture revenues in 2022. The VPN penalty could be seen by some as a pretext for confiscating income rather than just punishing a crime.
Case Highlights Risks of Working Remotely From China
The VPN programmer’s story is a cautionary tale for Chinese citizens working remotely for foreign companies. It shows the financial and legal risks of relying on banned tools to access international networks and content.
Ma’s severe punishment for using a VPN to earn income outside China raises complex questions around internet censorship, foreign businesses operating in China, and the dividing line between personal and commercial use of VPNs.
The case will likely have many Chinese programmers thinking twice before taking remote work abroad.
