CHINA / SOCIETY
Female entrepreneur arrested for illegal behavior while demanding overdue project payments from government
Published: Feb 27, 2024 01:17 PM
Tourists enjoy the scenery of a scenic area with blooming leek flowers in Dawan Township of Liupanshui City, southwest China's Guizhou Province, Sept. 22, 2023. (Xinhua/Tao Liang)

Tourists enjoy the scenery of a scenic area with blooming leek flowers in Dawan Township of Liupanshui City, southwest China's Guizhou Province, Sept. 22, 2023. (Xinhua/Tao Liang)


The local government in Liupanshui in Southwest China's Guizhou Province said on Tuesday that a female entrepreneur was arrested for illegal behavior including fabricating information online, using GPS to obtain personal information of others, whilst demanding overdue project payments from the government.

A report published on Monday regarding "a female entrepreneur in Guizhou Province arrested for 'provoking trouble' while demanding payment for a construction project" sparked heated discussions on Chinese social media platforms. After the article was published, the local government immediately organized relevant departments to verify the situation. On Tuesday, a report from the government was released stating that the content of the report was not true and was a malicious hype. The individual involved was arrested for suspected crimes of infringing on personal information and provoking trouble.

According to the statement issued by the local government, from 2016 to 2019, Guizhou Hongruiteng Construction Co Limited, Guizhou Yijiaxu Construction Engineering Co Limited., and Zhongheng Construction Group were responsible for 10 projects in the Yeyuhai Scenic Area, all led by the female entrepreneur surnamed Ma. Eight of the projects have been settled by the court or audited, with a total amount of 117.7552 million yuan ($16.25 million), of which 115.389 million yuan has been paid. Two projects have not been audited, with an estimated amount of 45.5719 million yuan based on the construction data provided by the project owner, of which 31.317 million yuan has been paid. The total amount of the 10 projects is approximately 163.3271 million yuan, of which 146.706 million yuan has been paid, with a payment rate of 89.82 percent.

Therefore, the reports claiming that the district government owes the company about 220 million yuan and that the district needs 12 million yuan to resolve debts of over 200 million yuan are not true.

In demanding disputed project payments, Ma hired individuals to track others using GPS locators in October 2022, illegally obtaining personal information.

Since September 2023, Ma and others fabricated false information, arranged for individuals to spread malicious rumors online and post false posters in public places.

Due to their actions allegedly violating laws on infringing personal information and provoking trouble, Ma was criminally detained on November 27, 2023, and arrested on December 27, 2023. The case has been transferred to the procuratorate for review and prosecution and is currently being processed according to the law.

The statement added that the local government will resolutely uphold judicial justice, protect the legitimate rights and interests of private enterprises in accordance with the law and regulations, and hold accountable those who seek improper benefits through illegal means, regardless of the nature of the enterprise, to maintain a legal and business-friendly environment. "We sincerely welcome the media outlets to report objectively and fairly in accordance with the law," it said.

Global Times