Aug 23, 2022 07:32 PM

FINANCE

In Depth: How Chinese Private Equity Firms Got Scammed by Their Own Sales Teams

By Xu Zeyi, Ren Huilan and Zhang Yukun

Dozens of small and midsize private fund management firms say they have been defrauded by con artists.

Dozens of small and midsize private fund management firms say they have been defrauded by con artists.

When an entrepreneur surnamed You set out to build a sales team in Shanghai in December 2020, she thought she had hired a team full of potential to sell her firm’s fund products.

What she didn’t count on was for the 10 new hires to be regularly absent for work and fail to seal any deals. Worse still, they worked together to create a false sense of assurance of progress.

You've accessed an article available only to subscribers

Subscribe today for just $.99.

VIEW OPTIONS

Share this article

Open WeChat and scan the QR code

GALLERY

: Gallery: China’s Homegrown Jet Begins Regular Route

NEWSLETTERS

Get our CX Daily, weekly Must-Read and China Green Bulletin newsletters delivered free to your inbox, bringing you China's top headlines.

We ‘ve added you to our subscriber list.

Manage subscription

PODCAST

Caixin-Sinica Business Brief: Hong Kong to Allow Retail Investors to Trade Crypto

00:00

00:00/00:00

MOST POPULAR

1: Cover Story: China’s Effort to Move Mountain of ‘Hidden Debt’ Faces Uphill Climb

2: China’s Post-Reopening Second Covid Wave Could Peak in Late June, Expert Says

3: In Depth: Chinese Fast Fashion Platforms Could Be Next U.S. Target

4: Five Things to Know About Chinese Trust Firms’ Scramble to Offload Risky Assets

5: Kunming Scrambles to Pay Off $170 Million of Financing Vehicle Debt

SPONSORED

OR