As one grew up in Beijing and lived for 26 years, I can definitely say that comparing Hutong to Indian slum is really really ignorant. You can ask anyone in Beijing, they will tell you that many people live in Hutong is one group of the richest people in Beijing. Nearly all people live in Hutong are Beijing natives, and their houses inside the hutong are called "siheyuan" which are among the most expensive real estate in beijing. Most "siheyuan", houses inside the hutong, are build decades ago and owned by local natives for long time, and its value increases much fast than other real estates as nearly all located in the center of beijing. I just check on an agency site, the cheapest house are more than 5 million us dollar, and many are more than 10 million us dollar. only the most successful people in Beijing will buy those houses. (if you know Chinese, you can check on this site or by google translate: http://esf.fang.com/house/i34-kw%cb%c4%ba%cf%d4%ba/)
if you have ever been to, you can have a visit and talk to people in hutong, you will know how wealthy and happy like they are.
and there are also many other statements in you text are totally wrong and with groundless prejudice. No employer will threat to report to police because of work’s identity, you may again ridiculously think beijing as America. Beijing is china’s capital, more than third people there are not locals, they also don’t need any documents to go to and stay in their capital. And nowadays, most rich people in beijing are not locals, they come from all over the china.