Australian businessman's arrest in China suggests plot to hijack his company
27 Nov 2010
Chinese police in the southern city of Guangzhou have arrested Chinese-born Australian citizen Matthew Ng, honoured as 'entrepreneur of the year' by Australia China Alumni Association.
The arrest on grounds of economic offences followed acarimonious business disputes that Ng had with his Chinese joint venture partner, over selling his stake in the business he founded, to an overseas acquirer.
The arrest is widely regarded as a plan to arm-twist him into selling his stake in the company for a song by the local provincial government of Guangzhou.
His arrest follows a sham court hearing that led to Anglo Australian miner Rio Tinto's China sales head Stern Hu to 11 years in prison in February this year on charges of accepting bribes from Chinese steel companies (See: China finally indicts Rio Tinto employees for bribery)
Although the Guangzhou police arrested Ng last week, they are yet to charge him or give reasons for his detention. His bail application was also rejected this week.
Ng had co-founded Guangzhou-based Et-china.com International Holdings Ltd in 2000, which began operating an online travel company Et-China after securing a strategic partnership with China Southern Airlines, the country's largest airline.
.webp)
