Prior to recent reforms, it was easy for controlling shareholders in Chinese firms to siphon off funds. The popular press referred to a money grab (Quanqian) in which funds raised in the stock market were not used by the firms at all and instead were transferred directly to the controlling shareholder, usually a holding company. Investors in Chinese firms are counting on the effectiveness of the reforms in removing the money grab. We look at evidence of a money grab before reforms, and we describe the reforms and discuss the challenges investors should be aware of if they are contemplating investments in Chinese companies.