Chairman of troubled China metal exchange missing - statement

Imagi International Holdings

18/12/2015 08:19

SHANGHAI, Dec 18 (Reuters) - The chairman of the beleaguered 
Fanya Metal Exchange, which came under the spotlight earlier 
this year following protests by angry investors who allegedly 
lost $6 billion, is missing, said a Hong Kong-listed company 
that he separately heads up. 
    The incident highlights rising risks posed to China's 
economy from its $2.6 trillion wealth management industry and 
the challenges it presents to regulators. 
    In a Hong Kong Stock Exchange filing posted on Thursday, 
Imagi International Holdings  0585.HK  said it had not been able 
to reach Shan Jiuliang, the company's chairman and executive 
director, who also founded the Fanya exchange.   
    Imagi is not aware of Shan's whereabouts, said the 
statement. He was last seen at a board meeting on Oct. 15.  
    In July, hundreds of citizens protested outside the Fanya 
Metal Exchange in Kunming in southwestern Yunnan province, 
alleging the exchange had lost investments of more than 40 
billion yuan ($6 billion).  urn:newsml:reuters.com:*:nL3N13R2HS 
    A person who had worked at the exchange until recently told 
Reuters that authorities in November started asking Shan 
questions on trading numbers.  
    The source declined to be identified because she is not 
authorised to speak to the media.  
    The Fanya exchange and officials in the Kunming and Yunnan 
governments declined to comment. 
    The exchange, regulated by the local government in Yunnan 
province, trades 14 minor and rare metals, offering a range of 
investment products based on the metal stored in its warehouses. 
     
    ($1 = 6.4798 Chinese yuan) 
 
 (Reporting by Engen Tham and Ruby Lian; Editing by Kazunori 
Takada and Tom Hogue) 
 ((engen.tham@thomsonreuters.com; +86-21-6104-1769; Reuters 
Messaging: engen.tham.thomsonreuters.com@reuters.net)) 
 
Keywords: FANYAMETALSEXCHANGE CHAIRMAN/