- In recent news, Ant Group, a partner of Alibaba, was fined 7.12 billion yuan (or around $985 million) on Friday by the Central Bank of China.
Ant Group was forced to reorganise its company by Chinese regulations after postponing its highly anticipated IPO in 2020.
It appears that regulators are now looking more closely at Ant Group.
The corporation was given the go-ahead to grow its consumer lending division in January.
The Central Bank of China shocked Alibaba on Friday by fining its friend, Ant Group, 7.12 billion yuan ($985 million).
The fine was imposed by the People's Bank of China in response to a number of laws and rules being broken, including those pertaining to anti-money laundering, consumer protection, and corporate governance.
Simply put, the Chinese Central Bank on Friday imposed a sizable fine on Ant Group, a partner of Alibaba. The bank highlighted a number of contraventions of several laws and rules, including those pertaining to corporate governance, consumer protection, and anti-money laundering procedures.
This action is both a warning anOne of the highest fines ever levied on a Chinese internet business, it looks to represent the end of Ant Group's years-long inquiry and restructuring process after its wildly successful $37 billion initial public offering was unexpectedly suspended at the end of 2020.d a response to such transgressions.
Since that time, when Beijing began a two-year crackdown on China's domestic IT industry, Ant has had to make substantial adjustments to the way it does business. This includes changing from a leading fintech business to a financial holding company under the PBOC's (People's Bank of China) control.
Ant Group owns around 33% of Alibaba, and Chinese business magnate Jack Ma established both organisations.
In 2020, authorities cancelled Ant's IPO because to regulatory worries.
Recent signs imply that Ant is now moving in a way that is in line with the regulators. The corporation was given the go-ahead to grow its consumer lending division in January.
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