[Epoch Times, January 30, 2022]Li Fucheng, chairman of Fucheng Group, has attracted much attention for creating China’s “first stock of cattle raising” and “the first stock of funerals”, but now the “richest man in Yanjiao” will face prison disaster.
On the evening of January 28, Fucheng Co., Ltd. issued an announcement that Li Fucheng, one of the actual controllers of the company, received a criminal judgment from the Jizhou District Court of Hengshui City, Hebei Province.
The verdict shows that the Jizhou District Court sentenced Li Fucheng to 3 years in prison, suspended for 5 years, and a fine of 500,000 yuan (paid) for “the crime of accepting bribes by non-state functionaries, the crime of false invoicing and the crime of bribery by units”; The refunded illegal gains of 30 million yuan and bribes of 6 million yuan shall be turned over to the state treasury by the seizing agency.
“China Fund News” reported that Li Fucheng is not small in Yanjiao, which is only 40 kilometers away from the capital Beijing. In 1983, Li Fucheng set out to establish the Sanhe City Xinglongzhuang Cattle Farm. In 2004, Fucheng Co., Ltd. was listed on the Shanghai Stock Exchange and became the “first stock in cattle raising”. Before the listing of Fucheng shares, Li Fucheng got involved in the real estate development business of Yanjiao Town.
After the merger and reorganization in 2013, the main business added catering services. Then, in 2015, Fucheng Co., Ltd. purchased 100% equity of Sanhe Lingshan Pagoda Cemetery Co., Ltd. held by shareholders for a total price of 1.5 billion yuan. In this regard, Fucheng Co., Ltd. officially entered the lucrative funeral industry and became the first domestic A-share listed company in the funeral service industry, also known as “the first A-share funeral company”.
According to the data of Tianyancha, Li Fucheng currently has many assets under his name, serving as a legal person in 20 companies, as an executive in 36 companies, and in 43 companies.
Ranked 9th on the 2016 Hebei Hurun Rich List, becoming the “richest man in Yanjiao”. On October 10, 2019, the Hurun Rich List was released, and the Li Fucheng family ranked 828th with a wealth value of 5 billion yuan.
However, before the release of the Hurun Rich List, the Hebei Provincial Commission for Discipline Inspection intervened in September 2019 to investigate the tax-related case of Fucheng Group, which is chaired by Li Fucheng. In June 2021, Li Fucheng was placed on file for investigation by the authorities. In October 2021, the Hunan Shaoshan Tiande Fudi Cemetery Liability Company, a subsidiary of Fucheng Co., Ltd., was placed on file for investigation by the authorities.
Several executives of listed companies were arrested
Recently, a number of executives of listed Chinese companies have been investigated and arrested by the authorities, causing continued volatility in the stock market.
On January 24, Hwabao International, a Hong Kong-listed company, and Hwabao, an A-share listed company, both announced that the company’s actual controller, Zhu Linyao, had been placed on file for investigation. Affected by the incident, the total market value of Huabao International has evaporated by 31.2 billion Hong Kong dollars, and the market value of Huabao shares has evaporated by 5.4 billion yuan.
As the leader of a leading enterprise in the domestic flavor market, Zhu Linyao has been dubbed the “Queen of Flavor” by the capital market. According to the “2019 Hurun Global Self-Made Rich Women List”, Zhu Linyao’s net worth is about 20.5 billion yuan, ranking 18th in the world.
In addition, Haozhi Electromechanical announced on January 23 that Tang Xiuqing, the company’s controlling shareholder and actual controller, was criminally detained by the Jinhua Public Security Bureau. Xiao Yonglin, the company’s deputy general manager and chief financial officer, was released on bail by the Jinhua City Public Security Bureau pending trial. Previously, he was placed under residential surveillance at a police-designated residence.
Guangyuyuan Traditional Chinese Medicine Co., Ltd. announced on January 24 that Wang Binquan, an independent director of the company and a member of the strategy committee of the board of directors, was investigated by the Shanxi Provincial Commission for Discipline Inspection.
Hanyu Pharmaceutical announced on January 25 that Yuan Jiancheng, the former director and president of the company, has been arrested, and Zhu Wenfeng, the former director, secretary of the board of directors, and vice president, has been criminally detained.
Responsible editor: Li Jing #