It’s not a good time to be a top executive in China, especially if your company may have in some way benefited from the collapse of the Yuan or contributed in any way to the annihilation of China’s stock market.
This past week we reported about the disappearance of the CEO of the Hong Kong arm of one of China’s largest brokerages, but he isn’t alone.
State media will often report that a missing executive who shows up days or even months later has been caught up in a government investigation, into insider dealing or bribery. Few details of their detainment are ever revealed.
Recently, four high-profile business executives have gone missing. Among those who have disappeared are Guotai Junan International CEO Yim Fung, China Minsheng Bank President Mao Xiaofeng, China Aircraft CEO Poon Ho, and Hanergy Chairman Li Hejun.
Most of the top executives who have gone missing have been tied in some way to insider trading and other illegal prices.
When Hejun went missing on the day of his company’s earnings report, shares at his company plummeted by 47% for a market valuation loss of $18.6 billion.