A Hong Kong businessman finally went on trial in Shenzhen yesterday on a fraud charge following 21/2 years in detention. Chan Tsz-cheung, 57, pleaded not guilty in Shenzhen Intermediate People's Court to fraud, related to an indirect loan of US$800,000 from mainland conglomerate Guangnan (Holdings). He was arrested in October 2001 and charged this month. The case involves a loan of US$2.9 million from the state-funded Guangnan (Holdings) to Yet Post International, which borrowed the money after Chan's company, Haw Well Trading, approached it for a loan. A change in mainland policy left Chan with problems repaying US$800,000 to Yet Post. After Yet Post was liquidated in July 2001, Guangnan started to pursue the outstanding amount from Chan. Chan's lawyer said the case had already been settled in a Hong Kong court, but the prosecution said mainland courts had jurisdiction.