Key events behind China's investigation into Alibaba Group

(Reuters) - China has launched an investigation into Alibaba Group for suspected monopolistic behaviour and will summon its Ant Group to meet in coming days, regulators said, in the latest blow for Jack Ma's e-commerce and fintech empire. Here's a timeline of key events leading up to the investigation. SEPT 14 - CHINA ROLLS OUT NEW RULES FOR FINANCIAL HOLDING FIRMS China issues new rules to regulate financial holding companies, with the central bank saying there had been a loophole in regulations for such companies.

Reuters December 25, 2020 01:05:41 IST
Key events behind China's investigation into Alibaba Group

Key events behind Chinas investigation into Alibaba Group

(Reuters) - China has launched an investigation into Alibaba Group for suspected monopolistic behaviour and will summon its Ant Group to meet in coming days, regulators said, in the latest blow for Jack Ma's e-commerce and fintech empire.

Here's a timeline of key events leading up to the investigation.

SEPT 14 - CHINA ROLLS OUT NEW RULES FOR FINANCIAL HOLDING FIRMS

China issues new rules to regulate financial holding companies, with the central bank saying there had been a loophole in regulations for such companies.

Ant was among companies named by Pan Gongsheng, the People's Bank of China vice governor.

OCT 21 - ANT WINS GREEN SIGNAL FROM REGULATOR

Ant wins the final nod from China's top securities watchdog to register its Shanghai IPO, clearing the last regulatory hurdle for its issue.

OCT 24 - "OLD MAN'S CLUB

At a public event attended by Chinese regulators, Ma, China's richest man, said the financial and regulatory system stifled innovation and must be reformed to fuel growth. He also compared the Basel Committee of global banking regulators to "an old man's club".

OCT 26 - ANT WINS BACKING OF GLOBAL STRATEGIC INVESTORS

Ant prices its IPO and secures the backing of strategic investors including a unit of Singapore state investor Temasek Holdings, as well as Singaporean and Abu Dhabi sovereign wealth funds, large Chinese insurers and mutual funds.

OCT 30 - MOM-AND-POP INVESTORS BID $3 TRILLION FOR ANT'S SHARES

Retail investors bid for a record $3 trillion worth of shares in Ant's dual listing, the equivalent of Britain's gross domestic product, as they bet on demand for Ant's financial technology services in China.

OCT 31 - BEIJING FLAGS CONCERNS OVER FINTECH

China's Financial Stability and Development Committee, a cabinet-level body headed by Vice Premier Liu He, flags risks associated with the rapid development of fintech, at a meeting that was widely interpreted as a government response to the rise of players such as Ant.

NOV 2 - REGULATORS ANNOUNCE TALKS WITH ANT

Four of China's top financial regulators say they conducted regulatory talks with Ant's top two executives and Ma.

Chinese regulators recommend tighter regulations for online micro-lending companies to help contain potential financial risks and rein in rising debt levels.

NOV 3 - SHANGHAI IPO SUSPENDED; ANT FREEZES HK IPO

The Shanghai stock exchange suspends Ant's IPO on its tech-focused STAR Market, citing the regulatory talks as a "material event" and a tougher regulatory environment as factors that may disqualify Ant from listing.

The move prompted Ant to also freeze the Hong Kong leg of its dual listing.

NOV 10 - CHINA PUBLISHES DRAFT ANTI-MONOPOLY RULES FOR INTERNET PLATFORMS

China published draft rules aimed at preventing monopolistic behaviour by internet platforms, a move that will increase scrutiny on e-commerce marketplaces and payment services belonging to the likes of Alibaba Group.

NOV 23 - ALIBABA CEO SAYS CHINA'S SCRUTINY OF INTERNET PLATFORMS IS NEEDED

China's increasing oversight of internet platforms is both "timely and necessary", Alibaba Group CEO Daniel Zhang told the World Internet Conference.

DEC 14 - CHINA FINES DEALS INVOLVING ALIBABA, TENCENT

China warned its Internet giants it would not tolerate monopolistic practices and to brace for increased scrutiny, as it slapped fines and announced probes into deals involving Alibaba Group and Tencent Holdings.

(Reporting by Anshuman Daga; Editing by Raju Gopalakrishnan)

This story has not been edited by Firstpost staff and is generated by auto-feed.

Updated Date:

TAGS:

also read

France, Germany to agree to NATO role against Islamic State - sources
| Reuters
World

France, Germany to agree to NATO role against Islamic State - sources | Reuters

By Robin Emmott and John Irish | BRUSSELS/PARIS BRUSSELS/PARIS France and Germany will agree to a U.S. plan for NATO to take a bigger role in the fight against Islamic militants at a meeting with President Donald Trump on Thursday, but insist the move is purely symbolic, four senior European diplomats said.The decision to allow the North Atlantic Treaty Organization to join the coalition against Islamic State in Syria and Iraq follows weeks of pressure on the two allies, who are wary of NATO confronting Russia in Syria and of alienating Arab countries who see NATO as pushing a pro-Western agenda."NATO as an institution will join the coalition," said one senior diplomat involved in the discussions. "The question is whether this just a symbolic gesture to the United States

China's Xi says navy should become world class
| Reuters
World

China's Xi says navy should become world class | Reuters

BEIJING Chinese President Xi Jinping on Wednesday called for greater efforts to make the country's navy a world class one, strong in operations on, below and above the surface, as it steps up its ability to project power far from its shores.China's navy has taken an increasingly prominent role in recent months, with a rising star admiral taking command, its first aircraft carrier sailing around self-ruled Taiwan and a new aircraft carrier launched last month.With President Donald Trump promising a US shipbuilding spree and unnerving Beijing with his unpredictable approach on hot button issues including Taiwan and the South and East China Seas, China is pushing to narrow the gap with the U.S. Navy.Inspecting navy headquarters, Xi said the navy should "aim for the top ranks in the world", the Defence Ministry said in a statement about his visit."Building a strong and modern navy is an important mark of a top ranking global military," the ministry paraphrased Xi as saying.