Chinese-Canadian tycoon Xiao Jianhua sentenced to 13 years in jail

Xiao and his firm Tomorrow Holdings had been convicted of crimes involving tens of billions of {dollars}, together with illegally absorbing public deposits, betraying using entrusted property, unlawful use of funds and bribery, the Shanghai First Intermediate Courtroom stated in an announcement.

The court docket additionally fined Xiao 6.5 million yuan ($950,000) and Tomorrow Holdings 55 billion yuan ($8.1 billion).

“The criminal acts of Tomorrow Holdings and Xiao Jianhua seriously damaged the financial management order, seriously endangered the country’s financial security, seriously infringed on the integrity of the state staff, and should be severely punished according to law,” the court docket stated.

However it added that Xiao and Tomorrow Holdings have “turned themselves in, confessed their crimes and helped with the recovery of assets,” and thus can obtain a extra lenient punishment.

Xiao was one in every of China’s richest males and managed the Tomorrow Group, a large holding firm with stakes in banks, insurers and property builders. In accordance with Hurun, which analyzes Chinese wealth, Xiao had a web value of $6 billion and ranked thirty second on its 2016 wealthy record, a league desk equal to the Forbes record.

The court docket stated Xiao and Tomorrow Holdings gave shares, actual property, money and different property to authorities officers value round $100 million over 20 years to 2021.

Xiao, identified for his shut connections to a few of China’s strongest political households, was seized in 2017 by Chinese safety brokers from his room on the 4 Seasons resort in Hong Kong and brought to mainland China.

An individual accustomed to the kidnapping advised CNN there was a small scuffle on the resort between two dozen Chinese safety officers and Xiao’s personal safety element, which usually numbered about eight bodyguards per shift. The supply requested to stay nameless due to the politically delicate nature of the case. Xiao has not been seen in public because the incident.

Xiao was one in every of a lot of Chinese tycoons who had moved to Hong Kong and brought up residence in personal residences on the 5-star 4 Seasons resort throughout Xi’s crackdown on company extra.

Xiao’s disappearance despatched shockwaves by Hong Kong’s elite enterprise group, the place it was extensively interpreted as a sign town was not past the attain of the mainland’s safety equipment.

Final month, the Canadian Embassy in Beijing advised CNN the trial of Xiao, a Canadian citizen, would happen with out consular entry. “Canada made several requests to attend the trial proceedings of Canadian citizen, Mr. Xiao Jianhua. Our attendance was denied by Chinese authorities,” the embassy stated.

A spokesman for China’s International Ministry stated Friday that Xiao has Chinese citizenship, and as China doesn’t acknowledge twin citizenship, Xiao would not have the best to a different nation’s consular safety.

CNN’s Kathleen Magramo, Steven Jiang and Katie Hunt contributed to this story.