Chinese tycoon Jack Ma‘s recent bad luck, he served as president of Lakeside University has also been implicated, Lakeside University Yunnan campus has been terminated on December 10 tender planning.
Jack Ma, the founder of Alibaba, is really in trouble! The Chinese Communist Party media confirmed on the 24th that the General Administration of Market Regulation (GAMR) has opened an investigation into Alibaba Group’s alleged monopolistic practices. Sources close to the case said Beijing has set up a task force to thoroughly investigate the issue of Jack Ma, and has told him that he is not allowed to leave the country.
In the morning of Dec. 24, Xinhua News said that the General Administration of Market Supervision (GAM) had opened an investigation into Alibaba Group Holdings Ltd. for alleged monopolistic practices, including “choosing one over the other”, according to a report.
Alibaba affiliate Ant Group responded that it received the notice of interview from the regulator today, “We will seriously study and strictly comply with the requirements of the regulator and do a good job of implementing the relevant work without compromise.”
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On November 2, four major shareholders of Ant Financial Services, including Jack Ma, were interviewed by four major regulators of the Chinese Communist Party; the following day, Ant’s plan to go public was halted; subsequently, the Chinese Communist Party issued new regulations to regulate Internet microfinance and prevent economic monopoly of platforms; on the eve of the “double 11 Online Shopping Festival”, Taobao.com was also focused on fighting counterfeiting by the official media.
On December 10, Jack Ma and nine entrepreneurs and scholars founded the wealthy business group “Lakeside University” Kunming campus planning project is under construction suddenly called a halt, December 14, Alibaba Investment Co. “On December 14, Alibaba Investment Co.
On Dec. 18, all deposit products on the Internet on the Ant platform were taken down by regulators without warning; on Dec. 17, sources disclosed that a central investigation team was stationed at Alibaba this week.
Watch China exclusively broke the news that the dramatic suspension of the Ant Group stemmed from Jack Ma’s “bad words” at the Bund Financial Summit in Shanghai in October. Ma did annoy Xi Jinping.
Sources disclosed that Ma learned of the rejection of the IPO plan long before the summit, and presumably let loose at the meeting in order to find a way to get out of it. After the Ant Group’s listing plan was called off, Ma was deeply upset, and in addition to actively admitting fault to the authorities and constantly releasing goodwill, the group’s top management was constantly trying to find ways to break out and public relations upward.
The source also said that Ma also foresaw the crisis is not trivial, Ma has been temporarily side control in late October. The crisis is not simply solved by money, Xi Jinping pressed the nuclear button at the last second, knocking the forces behind Ma Yun’s meaning is very obvious.
On December 18, Ant Group was hit hard again, and the net deposit products were completely taken offline.
Zhang Zhuan, a finance scholar at Kunming University who is familiar with Ma, told Radio Free Asia on Dec. 17 that with the current development of China’s political situation, Ma’s situation will get worse and worse, and the next step may be more troublesome, as he did several things that made the top brass very unhappy.
The first thing is the listing of Ant Financial Services, which is a powerful weapon, is certainly to be pursued. Because finance is the lifeblood of the government. In fact, Ma already felt more trouble doing finance back then, plus he criticized the regulatory issues and was totally challenging the top power, which is something very distasteful to the top.
Zhang also said that Ma wants to live peacefully must pay the price, and not the usual price: unless he has better dedication, he was purged, he is just a white glove, a proxy for the Chinese Communist Party assets, to recover his power and wealth, that is a matter of minutes.
As of early December, the man most closely associated with the meteoric rise of Chinese companies was advised by the government to stay home as Ma’s empire came under regulatory scrutiny, Bloomberg said, citing people familiar with the situation.
People familiar with the situation said the public accusations against Ma were a warning that the Communist government has lost patience with the tech mogul’s immense power, and that they are increasingly seen as a threat to the political and financial stability that Xi values most.
In other news, Ma’s involvement in high-level power struggles and the power of Jiangist shareholders behind Ant Group has put a thorn in Xi Jinping’s side, who sees large private companies with growing capital and influence as a threat to the Communist regime.
Senior commentator Jiang Qingping writes that Xi’s people have been targeting Ma for a long time, and in 2015, when China’s stock market crashed, Beijing authorities pointed the finger at Ma for allegedly assisting the princeling party in shorting futures and then buying the falling stocks in cash, thereby hedging profits on both sides and even becoming a money laundering tool for the “second generation of the Reds.
Ma has a surprising collusion of interests with Jiang Zemin’s grandson Jiang Zhicheng. Alibaba has a deep Jiang political background, with investments by Jiang Zhicheng’s Boyu Investment, Liu Lefei’s CITIC Capital, and several other princelings.
The mainland financial media has also said that many shareholders of Ant Financial Services point to Jiang Zhicheng’s Boyu Capital, and that the heavy involvement of Jiang’s capital in Ant Financial Services has made Xi Jinping very unhappy and vowed to make a big effort to rectify the situation.
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