Twenty-six Chinese executives jailed in China for USD 7.7 billion fraud

Vastavam web:Twenty-six executives of a Chinese online peer-to-peer (P2P) lender were on Tuesday handed jail terms up to life imprisonment for cheating over nine lakh people for USD 7.7 billion in one of China’s biggest fraud cases. Anhui Yucheng and Yucheng Global, operators of online P2P lender Ezubao, and 10 company executives, including Yucheng chairman Ding Ning, were found guilty of fundraising fraud, said the Intermediate People’s Court.Chairman Ding Ning and his younger brother Ding Dian, both sentenced to life imprisonment, were fined USD 15.3 million and USD 10.71 million, respectively.
The remaining 24 received jail terms ranging from three to 15 years, the court said. They were also deprived of political rights and issued finesSome of the defendants were also convicted of other crimes, including smuggling precious metals, illegal possession of guns and border-crossing.A majority of the money was spent lavishly on luxury gifts and salaries and used to purchase sales firms and return principal and high interests to some investors, state run Xinhua news agency reoported.
Police have seized cash and other assets from the P2P lender and are recovering more to retrieve losses for investors.Earlier, police found that Ezubao cheated about nine lakh investors out of more than 50 billion yuan (USD 7.7 billion).