Analysis | Who’s next after Beijing prosecutes Anbang chairman Wu Xiaohui?
Analyst says the rise and fall of Wu Xiaohui, who made his fortunes with links to China’s old guard, reflects the changing political landscape under President Xi Jinping
The Chinese government’s move to prosecute Anbang Group’s Wu Xiaohui for economic crimes shows Beijing’s willingness to bring to task the country’s most powerful businesspeople and dismantle their empires in its crucial battle to eliminate financial risks.
The China Insurance Regulatory Commission (CIRC) announced on Friday that Wu, 51, founder and chairman of one of China’s most high-profile overseas acquirer Anbang, has been removed from his post and will be prosecuted for economic crimes, nine months after he was reportedly out of contact and taken away by investigators.
The CIRC also said it would join regulators from the central bank and other government bodies to manage Anbang Group for two years at most, and push ahead with a restructuring by introducing new investors.
Analysts said by doing so, Beijing was trying to distance Wu and his company to prevent retail investors of Anbang’s high-yield insurance policies from panicking and surrendering their policies in huge numbers.
