SHANGHAI – One of China’s largest private wealth managers is triggering fresh anxiety about the health of the country’s shadow banking industry after missing payments on multiple high-yield products.
Three firms said late last Friday that they failed to receive payments on products issued by companies linked to Zhongzhi Enterprise Group, which has about one trillion yuan (S$187 billion) in assets under management.
China launches criminal probe into ‘insolvent’ shadow bank https://www.cnn.com/2023/11/27/business/china-police-probe-zhongzhi-insolvent-intl-hnk/index.html
Beijing police have begun a probe into the wealth management unit of Zhongzhi Enterprise Group, the authorities said over the weekend. The announcement comes just days after the company told investors that it is “severely insolvent.” According to a statement posted on Saturday, police suspect Zhongzhi of “illegal crimes” and have enforced “mandatory criminal measures” against a number of suspects