Facing $130M in Penalties, Fan Bingbing Apologizes for Tax Fraud

Fan Bingbing has not been seen in public since July following claims of tax evasion

But the actress published a statement Wednesday titled "letter of apology" on Weibo, where she has almost 63 million followers.

Rumors about the star's trouble began when she went silent on China's main microblogging service Weibo, where she has more than 62 million followers. The process, known as using "yin-yang contracts", is reportedly a common entertainment industry practice in China, with an actor's having a public contract stating a salary as well as a private contract listing much higher pay.

Xinhua said that under Chinese law Fan, as a first-time offender, would face no criminal charges if she complied with the judgment and paid all the money by an undisclosed deadline.

Fan Bingbing is seen at the premiere of the film I Am Not Madame Bovary at the 2016 Toronto International Film Festival.

Her disappearance is believed to be related to the May disclosure of a pair of film contracts on Weibo, China's popular social media network.

Her full statement is as follows: "Recently I have been enduring an unprecedented amount of pain, undergoing deep self-reflection and introspection".

According to state-run news agency Xinhua, Fan has been ordered to pay nearly $130 million, after she misreported how much money she had received for certain film projects, using so-called "yin-yang contracts" to hide from the authorities her true remuneration and avoid millions of dollars in taxes.

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"Without the Party and country's good policies, without the loving attention of the masses, there would be no Fan Bingbing", she wrote.

The report gave no indication as to Fan's whereabouts but indicated her agent was being held by police for allegedly obstructing the investigation. However, the South China Morning Post reports she was released from "residential surveillance at a designated location" - a secret government detention - about about two weeks ago and returned to Beijing as the tax authorities wrapped up their investigation.

Speaking ominously of "enormous fears and worries" she faces over the mistakes she made in the past, she laments that, "I failed my country which nurtured me; I failed the country which trusted me; I failed the fans who loved me".

The report cites China's taxation authorities. She graced the red carpet at Cannes in May and was expected to star alongside Penelope Cruz in the movie "355".

There was no immediate comment from Fan or a representative for the actor.

Radar readers know the X-Men: Days of Future Past star has not been spotted since June, when her tax scandal was exposed.

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