Fuyuan Beauty Salon’s Chairman Gets 16-Year Sentence for Fundraising Fraud

The owner of a hair salon chain in eastern China’s Jiangsu province was sentenced to 16 years in prison for illegal public fundraising and fraud involving more than 1 billion yuan ($143 million).

A court in Nantong found that Fuyuan Beauty Salon Chain Co. Ltd., which operated 300 stores and franchised 3,000 other locations in several cities, illegally raised more than 1 billion yuan from the public and employees by promoting high-return equity investment projects from 2013 to 2019.