Probe involving Gome chairman ends
(Shanghai Daily)Updated: 2007-01-17 10:06
An investigation involving Gome Electrical Appliances Holdings Ltd's Chairman Huang
Guangyu, the richest man on the Chinese mainland, has ended, the company said in
a statement to Hong Kong Exchange today.
Huang and brother Huang Junqin were probed for allegedly illegally borrowing at least 1.3 billion yuan (US$165 million) from Bank of China's Beijing branch 10 years ago and not subsequently repaying it, Caijing magazine reported October 30.
Huang "has advised the company that the relevant public security authority has terminated the investigation," today's statement said. Eagle Property Group, the company that was probed and which is indirectly owned by Huang, "is no longer required to assist in the investigation."
Huang, 37, built Gome into a chain of more than 500 stores and topped Forbes magazine's China Rich List in 2006. Gome, facing increasing competition with overseas retailers such as Best Buy Co, agreed in July to buy rival China Paradise Electronics Retail Ltd for US$675 million to boost market share.
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