Eight people have been detained by Beijing police on suspicion of illegally selling Beijing hukou, or residence permits.

According to the Beijing police authority, a man surnamed Wang had helped two graduates obtain Beijing hukou in July and August and charged them 980,000 yuan ($160,524), Beijing News reported on Tuesday.

Police say that the two hukou permits were from JJL Overseas Education Co, which had obtained them legally from the government earlier this year.

Three senior managers at the company are alleged to have been involved in selling the permits through Wang.

According to the report, the company also sold a hukou to one of its employees this year, charging him 150,000 yuan.

The legal process to obtain a Beijing hukou is a long and complicated one. Applicants have to meet rigorous educational and employment criteria, and success is not guaranteed.