Chinese mining tycoon faces Mafia charges

Δημοσιεύθηκε: 20 Φεβρουαρίου 2014 - 11:23

A Chinese mining tycoon who went missing a year ago will go on trial in central China along with 35 other people on charges of "organising, leading and participating in Mafia-like groups", after his brother was accused of gunning down three people in their home town.

Liu Han, chairman of Sichuan-based Hanlong Group, was a high-flying millionaire who was in the process of a A$1.4bn bid for Australian-listed Sundance Resources when state media reported last March that he and his wife had been detained.

Liu was the biggest private entrepreneur in his native Sichuan province, with investments spanning financing, energy, real estate and mining. He had a fortune of $650m, according to estimates by Hurun Report, which tracks wealthy Chinese.

The state-run Xinhua News Agency, which reported the charges on Thursday, alleged that Mr Liu covered up murders committed by his brother, Liu Wei, who ran gambling rings in their home town of Guanghan, Sichuan. It said that a total of nine people died due to the activities of the gang. Liu Wei has also been charged.

Xinhua also said that Mr Liu raised money through high interest rate lending and stock market manipulation, and helped Chinese citizens gamble in Macau - a frequent channel for spiriting money overseas. Neither Mr Liu, or his brother, could be reached for comment on the allegations.

Sundance was hoping to find funding for its A$5bn iron ore project on the border of Cameroon and the Republic of Congo. China's state planning agency had refused to sign off on Hanlong's purchase unless a Chinese state-owned enterprise could join the project.

The ranks of wealthy Sichuanese businessmen and officials have been hit by a corruption investigation that has dug deep into the power base of Zhou Yongkang, former energy and security tsar. Mr Zhou has not made any comment on the allegations of corruption against some of his former associates.

However, there has been no reported link in the Chinese media between that investigation and Mr Liu's case, with its tales of murder and mayhem.

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