Beijing Police Probe CreditEase After Wealth Products Default

Beijing police have launched a criminal investigation into CreditEase Group and taken criminal measures against several suspects after the financial firm admitted that its quasi-fixed-income products had effectively defaulted and that it may be insolvent.

The Chaoyang district branch of the Beijing police said Monday that it had opened a case against CreditEase-affiliated companies for suspected criminal offenses. Authorities took criminal measures against several suspects, including CreditEase’s actual controller, surnamed Tang, and asked investors to register claims through designated channels. CreditEase is controlled by its founder, Tang Ning.