Jia Yueting's Reply to CSRC Pledges to Pay Debts, Appoints Wife, Brother Proxies

Jia Yueting's Reply to CSRC Pledges to Pay Debts, Appoints Wife, Brother Proxies

Xu Wei

Date: Tue, 01/02/2018 - 23:07 / source:Yicai
Jia Yueting's Reply to CSRC Pledges to Pay Debts, Appoints Wife, Brother Proxies
Jia Yueting's Reply to CSRC Pledges to Pay Debts, Appoints Wife, Brother Proxies

(Yicai Global) Jan. 2 -- In response to an order by China’s Securities Regulatory Commission (CSRC) to embattled LeEco founder Jia Yueting to return home to discharge his debts, Jia has drafted an urgent, detailed return letter and has worked out settlement plans with LeEco’s listed arm, while delegating communication with and reporting to CSRC to his wife and brother, he said on his WeChat group account on Dec. 29.

Jia has entrusted his wife Gan Wei and his elder brother Jia Yuemin with the task of acting as the sole agents to exercise the rights of Leshi’s shareholders and discharge his obligations, as well as disposing of assets and other related work, Jia Yueting said.

The CSRC issued the order to Jia, former chairman of Leshi Internet Information and Technology Corp. [SHE:300104],to return to China before Dec. 31 to fulfill his obligations as the company's actual controller, cooperate to solve the problems Leshi faces, properly handle risks and earnestly protect investors’ legitimate rights and interests.

Leshi and its affiliated companies have hit financial turbulence, but Jia, its actual controller and former chairman, has broken his promise to provide interest-free loans to the cash-strapped company. As a result, the CSRC issued its Decision on Implementing Administrative Supervisory and Regulatory Measures to Rectify Jia Yueting’s Acts.

As of now, Jia has yet to honor his commitments and has not submitted a rectification report to the CSRC, the regulator said.

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Keywords: Leshi, CSRC, Jia Yueting