The article reports on a credit scheme in China. At least three lavishly furnished villas owned by some of the wealthiest residents of Fuan, a city in Fujian province near the southern Chinese coast, have been gutted by angry mobs. The owners of these and other villas fled or in jail. They are among scores of Fuan citizens accused of defrauding investors in an informal network of credit associations of tens of millions of dollars. These unregistered groups had grown in recent years to become the city's most popular financial institutions, sucking in far more money than the state-owned commercial banks. The associations had metamorphosed from small, close-knit groups into huge, risky structures linked to Fuan's underground gambling businesses and operated effectively as pyramid schemes. Their collapse in May was a colossal financial blow to many households in Fuan, which, together with its surrounding towns and villages, has a population of some 600,000. Credit associations known as biaohui have a centuries-old history in parts of eastern China, and helped fuel the growth of many enterprises across the strait in Taiwan. Unlike China's state-owned banks, which have rigidly managed interest rates and tend to shun small private businesses or individuals in need of funds, biaohui can offer credit when it's wanted, and for investors the possibility of a higher rate of return than bank deposits.