Chinese authorities said they recently opened criminal investigations into Zhongzhi Enterprise Group Co’s money management business, days after the embattled shadow banking giant revealed a shortfall of US$36.4 billion in its balance sheet.
Police in Beijing said in a statement on WeChat that they took “criminal mandatory measures” against multiple suspects, identifying one by their last name, Xie. They urged investors to report cases or provide leads to the authorities, including filing complaints online. Xie Zhikun , the group’s founder, died in 2021, but several of his relatives are executives at the company.
The statement did not elaborate on what the measures entail or what crimes they might have committed.
