The Independent Commission Against Corruption today (19) filed a lawsuit against Asia Resources Holdings’ major shareholder Zhan Peizhong, his son Zhan Jianlun, and Wang Beili, who handles property for the businessmen involved, for allegedly secreting secrets when placing convertible notes to increase the share capital of listed companies. "Buy Shell" agreement, conspiracy to defraud the Stock Exchange, the listed company, its board of directors and shareholders, and proceeds of crimes of 42 million yuan.
The three defendants were granted bail by the ICAC and will appear in the Sha Tin Magistracy this afternoon, pending the transfer of the case to the District Court for defense.
ICAC.
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The three defendants are: Zhan Peizhong (75 years old), the then major shareholder of Asia Resources; Zhan Jianlun (52 years old), then Chairman of Asia Resources; and Wang Beili (65), related to a businessman in the charge.
Zhan Peizhong and Zhan Jianlun were both charged with two counts of conspiracy to defraud, violating common law.
Wang Beili was charged with a violation of section 25(1) of the Organized and Serious Crimes Ordinance by dealing with property that is known or believed to represent the proceeds of an indictable crime.
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At the time of the case, Asia Resources was listed on the main board of the Stock Exchange.
After Zhan Peizhong became the major shareholder of Asia Resources in October 2008, Zhan Jianlun was appointed as the company's executive director.
Zhan Jianlun also served as the chairman of the company's board of directors from December 19, 2008 to December 11, 2014.
The charges allege that Zhan Peizhong and his son received 210 million yuan to push convertible notes
One of the charges alleges that Zhan Peizhong, Zhan Jianlun and the above-mentioned businessman were suspected of concealing or failing to disclose between July 1, 2013 and November 15, 2015 that the businessman had reached an agreement with Zhan Peizhong and Zhan Jianlun. Zhan Peizhong paid a total of approximately 210 million yuan to control 70% to 75% of the total issued share capital of Asia Resources; the board of directors of Asia Resources approved the placement of new shares and the placement of convertible notes, with the purpose of increasing the company's entire issued share capital, thereby To facilitate the execution of the illegal agreement, the shares that can be exchanged after the relevant convertible notes exercise the convertible rights accounted for approximately 566.67% of the company’s issued share capital at that time.
They falsely stated in the announcements and circulars of Asia Resources that no director or shareholder of the company has a significant interest in the convertible note agreement, and no shareholders are required to approve the convertible note agreement. The special meeting abstained from voting, resulting in the passing of the resolution of the convertible note agreement.
Another charge is that the three persons conspired to defraud the Stock Exchange with others in connection with the above-mentioned convertible note agreement, causing the Stock Exchange to fail to take prompt action to request Asia Resources to clarify, or to cause the Stock Exchange to approve the exchange. The company issued announcements and circulars related to the convertible note agreement.
The remaining charges alleged that between October 24, 2013 and January 24, 2014, Wang Beili and the businessman knew or had reasonable grounds to believe that a certain property was issued by Asia Resources with a principal amount of 42 million yuan. Exchange notes, which represent, in whole or in part, directly or indirectly, the proceeds from an indictable crime while still disposing of the property.
The ICAC stated that it had initiated an investigation into the corruption complaints referred by the Securities and Futures Commission. After the investigation was completed, it sought legal advice from the Department of Justice and prosecuted the three defendants in accordance with the relevant legal advice.
The Stock Exchange and the Securities and Futures Commission provided comprehensive assistance during the investigation of the case by the ICAC.
Zhan Peizhong chased 110 million yuan from the chairman of Shantou Chamber of Commerce and won the lawsuit. Zhan: A deep lesson. Zhan Peizhong called a loyal borrower and his friend did not get back the claim. The president of Shantou Chamber of Commerce chased 110 million yuan. National Legislative Council Election｜Zhan Jianlun's financial service industry battles Zhang Huafeng again: My reaction on the spot must be better than it
