China Says Anbang’s Founder Defrauded Investors of $10 Billion
- 6 years ago
China Says Anbang’s Founder Defrauded Investors of $10 Billion
Prosecutors accuse Mr. Wu, who founded Anbang Insurance Group, of illegally raising funds from investors by using false financial statements
and promotional materials, according to an official account posted by the Shanghai No.
Prosecutors in China say that Mr. Wu concealed his control of a company that he then used to hold shares of Anbang Insurance and Anbang Group.
Using one of the company’s subsidiaries, Anbang Property & Casualty Insurance Co., as a
funding platform, he ordered the company to develop investment-type insurance products.
BEIJING — One of China’s most prominent tycoons, Wu Xiaohui, on Wednesday denied criminal charges
that he defrauded investors of $10.3 billion, in a case that shows how the government is going after individuals who capitalized on the risk-taking behavior that led to the country’s debt crisis.
Prosecutors accuse Mr. Wu, who founded Anbang Insurance Group, of illegally raising funds from investors by using false financial statements
and promotional materials, according to an official account posted by the Shanghai No.
Prosecutors in China say that Mr. Wu concealed his control of a company that he then used to hold shares of Anbang Insurance and Anbang Group.
Using one of the company’s subsidiaries, Anbang Property & Casualty Insurance Co., as a
funding platform, he ordered the company to develop investment-type insurance products.
BEIJING — One of China’s most prominent tycoons, Wu Xiaohui, on Wednesday denied criminal charges
that he defrauded investors of $10.3 billion, in a case that shows how the government is going after individuals who capitalized on the risk-taking behavior that led to the country’s debt crisis.