Cash-strapped Chinese entertainment and tech group LeEco is facing a new round of court challenges. A Beijing court has approved China Construction Bank’s application to freeze $37.2 million (RMB250 million) of assets belonging to founder Jia Yueting.
According to two judgment papers, a Beijing civil court ruled July 25 that assets owned by Jia, Leshi Internet Information & Technology Co. (the listed arm of LeEco), Leshi Holdings, and Jia Yuemin (Jia’s elder brother and Leshi Holdings director) can be frozen for up to three years.
It was the second time in a month that a court has ordered Jia’s assets frozen. In early July it emerged that a Shanghai court had ruled in favor of China Merchants Bank’s application to freeze $182 million in assets belonging to Jia, his wife and three LeEco affiliates.
Last month, Jia quit as chairman of Leshi, following his resignation from the listed company’s CEO role in May. Two weeks ago, Sun Hongbin, chairman of Sunac China Holdings Ltd., which has acquired 13 culture and tourism projects from Dalian Wanda, was named chairman of Leshi.