House arrest for Shanghai property tycoon

PUBLISHED : Thursday, 05 June, 2003, 12:00am
UPDATED : Thursday, 05 June, 2003, 12:00am

Shanghai authorities placed local property tycoon Chau Ching-ngai under house arrest more than a week ago on suspicion of financial crimes, ranging from illegal fund-raising to tax fraud, a mainland newspaper said yesterday.

The China Securities News said state auditors raided Nongkai Development Group, Mr Chau's flagship company, on Monday to investigate financial irregularities by a number of Mr Chau's companies. Police declined to comment.

Following news reports, the Shanghai Stock Exchange said it had suspended from trading all companies with links to Mr Chau.

Tycoon may pay high price - A5