The "Chengxing Case" of "Carving Two Carrots to Scam 30 Billion" has caused another stir!
On December 4th, JD.com released a statement on Weibo regarding Noah Wealth's malicious lawsuit against JD.com, misleading investors and the public, stating that "the recent 'Chengxing case' has attracted widespread media and public attention. JD.com, as an uninformed victim, has been involved in a four-year malicious lawsuit, causing significant damage to the company's reputation and rights.".
It is understood that Shanghai Gefei Asset Management Co., Ltd., a subsidiary of Noah Wealth, had previously sued Chengxing Group and JD.com, and the trial was held on November 24 this year.
However, in this lawsuit, JD.com always felt "wronged" because JD.com was unaware of the fraud committed by Noah Wealth, but now it has become the defendant.
Refusing to be the "scapegoat" JD: All are counterfeit
The dispute between Noah Wealth and JD.com actually stems from a contract fraud case created by Luo Jing and his "Chengxing Group". The first instance verdict of the Luo Jing case shows that Luo Jing started playing the "Ponzi scheme" as early as 2015 and 2016, and has raised funds from multiple institutions such as Gefei, a subsidiary of Noah Wealth.
According to media reports, from February 2015 to June 2019, companies related to "Chengxing" engaged in fictitious supply chain trade with Suning and JD.com, and used this as underlying asset financing to defraud multiple financial institutions of over 30 billion yuan in funds, ultimately resulting in losses of over 8 billion yuan. Among them, Noah Wealth and its subsidiaries were involved in approximately 3.5 billion yuan, Subsequently, this "Chengxing Series" fraud case involving a huge sum of 30 billion yuan was sentenced to life imprisonment by the Shanghai Second Intermediate People's Court in 2022 for committing contract fraud and bribery of non-state workers.
The ruling at that time also determined that companies such as JD.com and Suning, as well as their employees, were unaware of Chengxing's fraudulent behavior, and that the relevant cooperation contracts, seals, and materials were all forged. In addition, Fang Jianhua, a financing staff member of Noah, received over 2 million yuan in bribes from the "Chengxing Group", providing convenience for Chengxing Company to engage in fraud in business docking, follow-up investigations, and other aspects.
However, JD.com, as the victim of the "Chengxing Group" fraud case, was unexpectedly implicated as one of the co defendants. Gefei Asset requests JD and other defendants to repay all the losses identified in the "Chengxing Series" case of 3.5 billion yuan.
Therefore, in this context, JD.com naturally feels "wronged" and claims that JD's official seal, JD employees, JD system, and transaction data are all counterfeit.
In a statement on December 4th, JD.com stated that during the contract fraud process of the "Chengxing Group", the "Chengxing Group" company easily deceived Noah Wealth, known as the "global comprehensive financial platform," and its Gefei assets by using fake JD official seals, fake JD employees, fake JD systems, and false transaction data, and obtained huge financing from Gefei, which caused a huge explosion. Faced with more than two years of ongoing fraud, Gefei Asset's due diligence work has shown obvious deficiencies, and there are huge loopholes in investment and financing management. Executive Fang Jianhua accepted a huge bribe from Chengxing (which has been sentenced in the first trial), causing significant losses to investors and failing to fulfill corresponding responsibilities and obligations to investors.
In addition, in response to this "unfounded disaster", JD.com angrily criticized Noah Wealth, claiming that it was looking for a "scapegoat". JD.com stated that according to public information, Noah Wealth has experienced more than ten similar incidents in recent years, facing problems in the redemption of billions of funds, and has repeatedly concealed information from investors. It has also been warned and punished by regulatory authorities, indicating its long-term existence of serious risk control deficiencies. At present, the criminal case related to the Chengxing case has been sentenced in the first instance, and the actual controller of Chengxing, Luo Jing, and other fraud suspects have been sentenced to prison. JD.com stated that Noah Wealth and Gefei Asset still disregard the trust of investors, refuse to examine their internal management issues, and maliciously launch a bizarre and high-value lawsuit against third-party JD.com, attempting to confuse the public, continue to mislead investors and the general public, shift responsibility, and seek a "scapegoat" for themselves. We believe that the court will make a fair judgment on this case. I hope that Noah Wealth and Gefei Asset will face their own problems, show sincerity and take corrective measures, especially to enhance the most basic integrity and literacy as a wealth management company, and truly protect the rights and interests of investors.
Noah previously claimed that the content related to the "Chengxing case" was seriously untrue
It is understood that after the recent resurgence of the "Chengxing case", on November 28th, Noah Wealth issued a statement stating that recently, the company has been concerned about the serious misrepresentation of the content related to the "Chengxing case" (hereinafter referred to as the case) on the internet, which has seriously infringed on our company's reputation and misled investors and the public.
Noah Wealth further stated that the criminal fraud committed by the relevant parties of Chengxing involves Gefei Asset and multiple other financial institutions. Gefei Asset represents the relevant private equity funds managed by Gefei Asset. As one of the victims of this fraud case, in 2019, they decisively took judicial action to protect the legitimate rights and interests of all fund investors and actively promoted risk resolution. "The case is currently in the trial stage, and our company suggests that all relevant parties respect the judiciary and do not mislead the public. Our company has carried out legal complaints and requested relevant parties to stop infringing on the content that was falsely published, and other rights protection work."
JD.com previously issued a "Fraud Prevention Statement"
Perhaps it's a case of learning from the past. Securities Times reporters noticed that in October this year, JD.com also issued a solemn statement about some companies and individuals using the names of "JD" and "JD partners" to carry out commercial activities.
JD.com stated that recently, it has discovered that some companies and individuals have used the names of "JD" and "JD authorized partners" to engage in commercial activities such as investment, financing, and investment attraction. Any commercial activities conducted, commercial documents published, or legal agreements signed in the name of JD or JD authorized partners by relevant entities or individuals, or by forging JD authorization documents, without authorization from our company, are not related to JD.
Furthermore, it should be noted that the phenomenon of using fake official seals for fraud is not uncommon. It is worth mentioning that in 2018, Cao, Liu, and Zheng, after premeditation, impersonated employees of Lao Gan Ma Company and signed a contract with Tencent in the name of a fictional Lao Gan Ma Company to promote advertisements for Lao Gan Ma Company's products in the QQ racing game developed by the company. They deceived Tencent into rewarding the game's gift package and decoding the CDKEY for the gift package, and transferred the CDKEY to another person, This fraudulent behavior also led to Tencent and Lao Gan Ma going to court for a while, but it was ultimately discovered to be just a misunderstanding.