Police said the factory has manufactured about $30,000 worth of cigarettes in more than 20 different brands. In addition, 500 cartons of cigarettes and 117 tons of cut tobacco were found at the premises, the BBC reported Tuesday.
A sign had been put up at the factory gate that read "Number 1 Block of the Xinkang Prison of Sichuan Province" to mislead any curious parties.
Four suspects have been arrested in the investigation. However, they were taken away by police rather than just being told to stay put.