NetEase scandal: nine employees of Chinese corporation arrested on suspicion of money laundering up to $140 million
An unexpected scandal is unfolding in the Chinese gaming corporation NetEase, which is currently developing the online action game Marvel Rivals and the mobile shooter Destiny: Rising. Nine of its employees have been arrested on suspicion of fraud and money laundering.
Here's What We Know
According to Chinese publication Leifeng, police have arrested nine employees, including the head of the cybersports division and the director of the company's publishing division. It is mentioned that Xiang Lang and Jin Yuechen (Jin Yuchen) (the aforementioned NetEase executives) have not worked in the company for some time, but it is not known under what circumstances they were fired.
All members of the criminal group have been charged with money laundering on an especially large scale. Media reports say they used their powers and committed $140 million in fraud, although the actual extent of the corruption may be greater.
Of the nine men, only one has so far pleaded not guilty.
Journalists have learnt that 27 other companies besides NetEase may have been involved in similar scams.