Employees sentenced as public prosecution on Guo Wengui's companies starts

A court in Dalian has handed out prison terms to three former employees of the Beijing Pangu Investment Company for fraudulently obtaining loans and foreign exchange.

In an open court on Friday, the company's senior executive, Lyu Tao, was sentenced to two years and three months in prison, while another two employees, Xie Honglin and Yang Ying, were both sentenced to two years in prison, suspended for three years, by the People's Court of Xigang District of Dalian.

Former employee of the Beijing Pangu Investment company, Xie Honglin, being interviewed by the Dalian Evening News. [Screenshot: Chinaplus]

The company was also fined 245 million yuan.

The three defendants and the representative of the company accepted the ruling and said they would not appeal.

Xie Honglin and Yang Ying spoke to the Dalian Evening News on Sunday, saying that they were happy with the verdict and hoped they would soon be able to return to normal life.

Former employee of the Beijing Pangu Investment company, Yang Ying, being interviewed by the Dalian Evening News. [Screenshot: Chinaplus]

Friday's trial was the first in a series of cases involving the Beijing Pangu Investment company, which is owned by Guo Wengui, who is currently subject to an Interpol 'Red Notice.' 

Other cases involve accusations of bribery, forced transactions, duty-related encroachment, embezzlement, destroying accounting documents and unlawful detention.

Prosecutors in Dalian city in north-eastern China on Friday filed a public lawsuit against several executives and employees of the Beijing Pangu Investment Co., Ltd, on suspicion of duty encroachment and misappropriation of funds.

On the same day, Kaifeng City People's Procuratorate in central China's Henan Province also initiated a public prosecution against Guo's Henan Yuda Real Estate Company and its employees, on charges of defrauding loans and bill acceptance.

Guo Wengui. [File photo: thermoweighing.com]

Law experts, quoted by the Global Times, say the crimes of Guo Wengui will soon be exposed, and brought to trial, and punished, even though he remains on the run.

It's been reported Guo had accumulated billions of yuan through his investment business, real estate and stocks by the end of 2016 and that he had fled abroad in August 2014.

A Chinese Foreign Ministry spokesperson said in April that Interpol had issued a "red notice" for Guo Wengui.