The punishment in the politically sensitive case against Chau Ching-ngai is seen as lenient
Disgraced property tycoon Chau Ching-ngai was yesterday jailed for three years for manipulating stock prices and falsifying registered capital. The jail term amounts to less than half of the maximum penalty, legal experts said.
Chau has been in custody for a year over charges stemming from the operation of his flagship company Shanghai Nongkai Development (Group) and its subsidiaries.
Prior to his arrest, Chau ran a vast business empire ranging from luxury residential buildings to a hotel which once made him the mainland's 11th richest person.
The Shanghai No1 Intermediate People's Court also ordered Nongkai to pay 40 million yuan in fines, including 33 million yuan for manipulating share prices and seven million yuan for falsifying capital, Xinhua said, quoting officials from the Supreme People's Court.
Last month Nongkai said its operations were normal, but analysts say the size of the fines brings its future into question.
