Anbang's Wu Said Detained in Broad Probe Including M&A Funding

(Bloomberg) — Chinese investigators who detained Wu Xiaohui, chairman of Anbang Insurance Group, are carrying out a wide probe that includes looking into the sources of funding for the firm’s acquisitions overseas, possible market manipulation by insurers, and “economic crimes,” people familiar with the matter said.

(Related: FGL Falls After Anbang Withdraws N.Y. Request to Buy Life Insurer)

Wu is being questioned in a joint investigation including the police and a special unit of the Central Commission for Discipline Inspection, the people said, asking not to be identified because the probe is confidential. The scrutiny doesn’t mean Wu is accused of any crime or will face charges, they said.

The authorities are said to be examining Anbang transactions including acquisitions overseas and their funding. The probe also fits into a broader investigation of possible market manipulation by insurers, the people familiar said. They didn’t specifically define the term “economic crimes.”