In Depth: From Skies to Shackles, HNA Founder Chen Feng Sentenced to 12 Years in Prison

Chen Feng’s trajectory is emblematic of the dramatic ascent and fall of HNA Group Co. Ltd., a Chinese conglomerate that once epitomized the boundless ambitions of Chinese capitalism. After decades at the helm of HNA’s global expansion, Chen, once revered as the group’s visionary founder, now faces a 12-year prison sentence and a hefty fine, his fate sealed by the overreaching ambition that first made him famous.[para. 1][para. 2] In September 2025, China’s Hainan High Court upheld Chen’s sentence, meaning he will not be released until 2033, by which time he will be 80 years old. This verdict closes the chapter on a spectacular rise and fall from grace for a man who helped define China’s corporate adventurism. [para. 2]

Chen’s early personal history was marked by reinvention. Born in 1953, he moved from Taiyuan to Beijing and adopted a blend of spiritual charisma and business acumen, becoming famous for his distinctive outfits and his dual persona of monk and mogul. Despite his serene image rooted in tai chi and aphorisms, Chen was a shrewd, calculating strategist. He once remarked that the airline business was “a road of no return,” a statement that now reads as an epitaph.[para. 3][para. 4][para. 5][para. 6]

HNA’s rise was meteoric. At its zenith, HNA boasted control over airlines across continents, owned landmark hotels, and financed eye-popping global acquisitions, symbolizing the era when Chinese capital was propelled to go global. Yet, the company’s rapid ascent also carried the seeds of its downfall—ambition outpaced prudent management, resulting in staggering debts and financial peril.[para. 7]

Chen’s journey to empire-building began during the Cultural Revolution, where he served in the air force, later joining China’s civil aviation administration. His stint at Lufthansa’s management academy in Germany in 1984 profoundly influenced his approach to business. In 1989, Chen aided in establishing Hainan Airlines with a minimal fund under harsh conditions. Through ingenuity, including devising a model for state-owned subsidiaries to fund the airline, Chen and co-founder Wang Jian maneuvered Hainan Airlines into China's first shareholding airline, marking the start of HNA’s rise.[para. 9][para. 10][para. 11][para. 12][para. 13][para. 14][para. 15][para. 16]

Through the 1990s and 2000s, Chen’s vision and tactics led to rapid restructuring and privatization of subsidiaries. The group garnered international attention when George Soros's Quantum Fund invested $25 million, though the reality of the deal later revealed deep governance issues. HNA’s listing and “M-level” quasi-military management system formalized Chen’s power. Under Chen and Wang's leadership, HNA grew through relentless borrowing and aggressive acquisitions, eventually becoming China’s fourth-largest airline.[para. 17][para. 18][para. 19][para. 20][para. 21][para. 22][para. 23][para. 24]

Profitability remained thin despite its size, and heavy indebtedness rendered the company vulnerable to shocks. HNA’s aggressive global acquisition spree through the 2010s, exceeding $50 billion, was fueled by newly available cheap credit and state encouragement. However, internal rivalries, particularly between Chen and Wang, weakened cohesion, and, by 2016, Wang’s faction had essentially sidelined Chen from actual power.[para. 26][para. 27][para. 28][para. 29][para. 30][para. 31][para. 32]

As debts mounted and expansion spun out of control, warning signs intensified. HNA’s liabilities reached 740 billion yuan by 2017, and the company was ultimately found to be over 600 billion yuan insolvent. The tragic death of Wang Jian in 2018 led to Chen’s return but did little to halt HNA’s collapse. State intervention followed, stripping Chen and others of their shares and ultimately leading to his arrest and conviction for breach of trust, loan fraud, and embezzlement.[para. 33][para. 34][para. 35][para. 36][para. 37][para. 38][para. 39][para. 40][para. 41][para. 42][para. 43][para. 44][para. 45][para. 46][para. 47][para. 48][para. 49][para. 50][para. 51]

Thus, Chen Feng’s saga encapsulates the heady risks and heavy costs of unchecked ambition in modern China. From revered pioneer to parable of corporate excess, Chen’s legacy is a sobering lesson in the perils of flying too close to the sun.[para. 8][para. 52]