A report of an underground casino in downtown Beijing, described in a Beijing News report on Monday, will be investigated, the city's law enforcement authorities said.

The report, which withheld the name of the reporter, was based on a purported visit in May to the gambling venue, located on the 23rd floor of a high-end apartment building on Puhui West Street near the capital's West 3rd Ring Road.

The report said the writer was accompanied by a frequent gambler, identified as Chen Ping. Chen said he had lost 1 million yuan ($152,000) in the past two months.

The report laid out numerous details. For example, a car that was parked about 50 meters from the gate of the apartment building picked up the pair and took them to the underground garage, dropping them near an elevator.

At the apartment door, they were scanned by a camera before being admitted. Inside, 20 to 30 people were gambling, the report said.

A gambling table was located in the living room behind a screen.

The report quoted Chen as saying that gamblers who run out of money will be offered loans with a daily interest rate of 5 percent.

According to Chen, any cash collected over 10,000 yuan is sent down to staff members in the garage. "Even if the police raid the casino, they won't find much cash," Chen was quoted as saying.

The report cited a person claiming to be a former shareholder of an underground casino as saying that three to five such casinos are operating in Beijing.

The man, who refused to be identified, said the casino in the apartment was run by several shareholders, who started the business with 770,000 yuan.

"Customers are paid a referral fee of 500-1,000 yuan if they bring a customer with them to the casino," the man said.