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RR RUEHCN RUEHGH
DE RUEHGH #0326/01 1510129
ZNY CCCCC ZZH
R 310129Z MAY 07
FM AMCONSUL SHANGHAI
TO RUEHC/SECSTATE WASHDC 5877
INFO RUEHBJ/AMEMBASSY BEIJING 1133
RUEHCN/AMCONSUL CHENGDU 0687
RUEHGZ/AMCONSUL GUANGZHOU 0669
RUEHHK/AMCONSUL HONG KONG 0797
RUEHIN/AIT TAIPEI 0561
RUEHSH/AMCONSUL SHENYANG 0689
RUCPDOC/DEPT OF COMMERCE WASHINGTON DC
RUEATRS/DEPT OF TREASURY WASHINGTON DC
RHEHAAA/NATIONAL SECURITY COUNCIL WASHINGTON DC
RUEHGH/AMCONSUL SHANGHAI 6284

C O N F I D E N T I A L SECTION 01 OF 03 SHANGHAI 000326 
 
SIPDIS 
 
SIPDIS 
 
DEPT FOR EAP/CM, INR/B AND INR/EAP 
STATE PASS USTR FOR STRATFORD, WINTER, MCCARTIN, ALTBACH, READE 
TREAS FOR OASIA - DOHNER/HAARSAGER/CUSHMAN 
TREAS FOR AMB HOLMER, WRIGHT, TSMITH 
USDOC FOR ITA/MAC - DAS KASOFF, MELCHER, MCQUEEN 
NSC FOR WILDER AND TONG 
 
E.O. 12958: DECL:  5/31/2017 
TAGS: PGOV PHUM TBIO KCRM CH
SUBJECT: GAY SHANGHAI: AMBIGUOUS STATUS CREATES VULNERABILITY 
 
REF: A) SHANGHAI 318 B) SHANGHAI 324 
 
CLASSIFIED BY: Mary Tarnowka, Section Chief, Political/Economic 
Section   , U.S. Consulate Shanghai. 
REASON: 1.4 (b), (d) 
¶1.  (C) Summary:  According to contacts in Shanghai's gay 
community, sexual discrimination in Shanghai was rife, but 
because few Shanghainese were openly gay and lesbian in a way 
that countered social expectations to fulfill family duties, 
such as to marry and reproduce, discrimination was less direct 
and confrontational.  Many individuals interviewed for this 
cable appeared to know how to structure their lives in order to 
avoid hostile social environments.  Organizations or venues 
devoted to the gay community appeared to have a more complex 
relationship with the law and were vulnerable to corruption. 
This is the third of a series of four cables addressing the 
social, medical, legal and media issues facing the gay community 
in Shanghai.  End Summary. 
 
AMBIGUOUS LEGAL STATUS OF HOMOSEXUALITY 
---------------------------------------- 
 
¶2. (C) Poloff interviewed a wide-range of gays and lesbians in 
Shanghai, as well as academics and medical professionals during 
the month of April.  Chinese law does not address or classify 
homosexuals as a minority group nor protected class.  In 1997, 
China revised its criminal law and abolished the crime of 
"hooliganism" which was often used in connection with arrests of 
homosexuals or raids on gay venues.  At present, most gay 
contacts in Shanghai appear to be more concerned with daily 
living and managing family expectations than changing Chinese 
law.  Contacts in the gay community all considered the 
government to be neither for nor against the gay community. 
 
¶3.  (C) While one gay male said that the lack of legal 
boundaries for the gay community had turned Shanghai into a "gay 
paradise", others believed that this legal ambiguity had many 
disadvantages.  A Chinese-Malaysian lesbian working in the wine 
industry said that she was grateful to hold a non-Chinese 
passport.  She believed the government would take action, if 
necessary, against the gay community if it was linked to a 
health or drug problem.  "Gay people in China," she added, 
"lived in a gray zone" with little guidance on what was 
permitted.  Rager Sheng, the Shanghai Branch Director of Chi 
Heng Foundation, a Hong-Kong based NGO devoted to HIV/AIDs 
prevention, said there were no legal protections for 
homosexuals.  He pointed to a case of a male bartender in 
Zhejiang Province who could not file a complaint in court 
against his boss for raping him because lawyers and other law 
enforcement officials could not find supporting rulings for a 
male-on-male sexual assault case. 
 
--------------------------------------------- -- 
 
NGOs CONSTANTLY UNDER THREAT OF BEING SHUTDOWN 
--------------------------------------------- -- 
 
¶4.  (C)  Contacts noted that this the lack of precedence over 
what organizations or individuals could or could not do to 
assist the gay community meant that the trigger for a police 
response remained a constant unknown.  According to gay rights 
activist Zhou Dan, he and a doctor who worked on HIV/AIDS in the 
gay community, Dr. Tong Chuanliang started the first hotline for 
callers with questions about gay issues.  The hotline, in 
cooperation with the Shanghai Sexually Transmitted Diseases 
(STD) and HIV Association, an affiliate of the Shanghai Skin and 
STD Hospital, was a government-owned, non-governmental 
organization (GONGO) staffed by over 50 volunteers who responded 
to an initial Web posting.  The staff responded to questions 
from callers about being gay, coming out and family pressures 
until the hotline was suddenly closed in December 2005 due to 
"misoperation".  The hotline's partner GONGO forgot to file a 
report with the police about a party the hotlines' volunteers 
planned to host at a gay bar.  The party was to feature 
"entertainment" followed by a question/answer session in the 
form of a game to educate the audience about HIV/AIDS 
transmission.  Once the police heard about the nature of the 
party, they cancelled the event and soon, thereafter, closed the 
hotline.  Dr. Tong added that he "was confused" over how the 
GONGO could forget such a routine filing.  In 2004, the Chi Heng 
Foundation started another hotline with the same purpose, which 
 
SHANGHAI 00000326  002 OF 003 
 
 
has yet to be shut down. 
 
¶5.  (C) According to Shanghai Academy of Social Sciences 
Research Center for HIV/AIDS Director Xia Guomei, "the bosses 
and police" were the biggest challenges for HIV/AIDS educators 
and NGOs.  She said that HIV/AIDS educators were often arrested 
alongside prostitutes and customers because they were viewed by 
the police as consumers of an illegal trade or viewed by owners 
of gay bars and bath houses as non-consumers and thus unwelcome. 
 The police would then notify the volunteer's family and work 
unit about the nature of the arrest, causing a loss of face 
regardless of the volunteer's sexuality.  She noted that she 
would lead a training session for owners of gay venues and 
police in Nanjing on May 7 to educate them on the work of 
HIV/AIDs volunteers. 
 
¶6.  (C) Chi Heng Foundation Founder Chung To said that there 
were tighter constraints on the NGO community in the last year 
or two.  He believed this was related to the "color revolutions" 
in Ukraine and China was closely following Russia's lead and had 
become more restrictive towards NGOs a month after Russia passed 
laws on no new NGOs.  He said his NGO, however, had slightly 
more freedom to operate since its work was focused on directly 
improving people's lives (by allowing children to attend 
schools, etc.)  Whereas environmental NGOs which advocated 
social change or group movements had a harder time.  He 
mentioned that the Shanghai staff of Chi Heng received weekly 
phone calls from Public Security Bureau (PSB) officials asking 
for a report on their activities, plans and who they had met 
with lately.  PSB officials were required to report on Chi Heng 
activities to their superiors.  The PSB officers told Chi Heng 
employees that the one time that the employees did not inform 
them about an event, the officers were scolded by their 
superiors. 
 
GAY VENUES AND POLICE/LAW 
------------------------- 
 
¶7.  (C) According to Simon Adams, a British expatriate and one 
of the owners of a gay multiplex, the lines of what activities 
were and were not allowed were unclear, so he had to tread 
carefully.  The multiplex, Pink Home, opened in November 2006 as 
China's first gay multiplex.  A disco occupied the first floor, 
a lounge/restaurant was on the second floor, and hotel rooms 
were on floors three to four.  Adams said Pink Home aimed to 
create a venue that would change the perception of gay bars as 
"seedy, flea-infested pits."  He said that, "In China, it's all 
about what you say and how you say it."  For example, Pink Home 
did not use the word "gay," but instead opted for "an exclusive 
dance club" or "an exclusive gentlemen's bar" in its English and 
Chinese ads.  In contrast, a bar down the street from Pink Home, 
after it witnessed Pink Home's full house and all-male 
clientele, hung a huge rainbow flag in its window with a sign 
that boldly stated, "We are a gay bar."  The police shut it down 
immediately.  Adams added, it was one thing to be a gay venue, 
but it was another thing to actually come out and say it.  He 
noted that police were more fixated on whether a venue sold 
drugs, and the presence of drugs created a definite police 
flash-point for any establishment.  He believed that as long as 
Pink Home was not allowing visible use of drugs the police would 
continue to ignore other aspects of the business. 
 
"MANAGING" THE POLICE 
--------------------- 
 
¶8.  (C) According to Adams, Pink Home could be closed at anytime 
and he has worked hard to "manage" the police.  Adams said that 
police dropped by constantly to discuss fire codes, light codes 
and to inquire about an anti-drug campaign.  The police never 
discussed the nature of Pink Home or asked about public health 
concerns, such as HIV/AIDS or other STDs.  To initially receive 
permission to open Pink Home and keep police raids at a minimum, 
Adams and his Shanghainese business partner Ricky Liu hosted 
monthly dinners for three Shanghai City policemen at various 
Chinese restaurants.  The dinners were held in private banquet 
rooms where the courses were interspersed with shots of rice 
liquor and ended with Mr. Liu presenting them with a "hongbao" 
 
SHANGHAI 00000326  003 OF 003 
 
 
or red envelope full of cash.  The police never asked for the 
money, suggested an amount, or said much when they received the 
money.  However, if they did not receive the money, Pink Home 
experienced a substantial increase in visits from the police, 
impediments to construction or raids during business hours. 
 
¶9.  (C) Simon heard that the Shanghai police chief made 2000 
RMB/month, but actually grossed around 200,000 RMB/month due to 
monthly installments from clubs across the city.  He also noted 
that when Pink Home's business did well, then the red envelope 
amounts had to increase in proportion.  Simon believed that all 
of Shanghai's clubs paid monthly salaries to the police, but 
paused when asked if Pink Home had to pay more since it was a 
gay venue. "They know what we do," he said, "and they may use 
that to their advantage." 
 
COMMENT 
------- 
 
¶10.  (C) Chinese society has largely not acknowledged the gay 
community (reftel A).  For the most part, members of the gay 
community have made peace with their ambiguous legal status. 
There are few people like the lawyer Zhou Dan who openly push 
for gay rights and there are few mechanisms available to the 
people to push for change in any area of Chinese political life. 
 This is unlikely to change in the near future.  While the 
police and society at large blithely overlook this segment of 
Shanghai life, they do seem to recognize the implications of the 
pink renminbi.  Therefore, businesses catering to the gay 
community have adopted standard practices for securing their 
livelihoods in Shanghai, which is to make sure everyone reaps 
the benefits. 
JARRETT