Scam

21 Probed in Illegal Fundraising of Over $5.2 Billion after Collapse of Shanghai Financial Services Giant

Some 21 people with links to a Shanghai-based investment company, Zhongjin Capital Management Co., have been detained on suspicion of illegal fundraising, the Shanghai Police said on April 6, 2016.

An investigation was launched when several public members complained of being cheated after investing in some schemes offered by the investment company. The police did not release details of the complaints, but said in a statement that the company “defrauded investors with non-existent programs and is involved in illegal fundraising”.

The company’s office building was closed down on Tuesday, while upset investors claiming to be the victims gathered outside of the company in hope of regaining their missingmoney.