China’s regulators have ordered the Ant Group to rectify their businesses. It has also said that the group complies with regulatory requirements. Ant Group is the world’s largest financial technology company. Explain that the investigation on anti-monopoly practices has intensified in the Internet sector in China. The founder of the Ant Group is Jack Ma, the richest person in China. He is also the founder of Alibaba. Ant Group started as payment services for Alibaba’s e-commerce platform Taobao. Today this group also offers insurance and investment products.
China’s regulators said in a statement on Sunday that China’s Central Bank People’s Bank of China issued summons to the executives of Ant Group on Saturday. They have been ordered to prepare a rectification plan. Also, prepare the implementation timetable of your business including credit, insurance and wealth management services.
The statement said that the Ant Group lacks governance mechanisms, the group has ignored regulatory compliance requirements and engaged in regulatory arbitration. It was also said that the company has used its position in the market to exclude its rivals and has harmed the rights and interests of consumers.
Last month, Chinese regulators had stopped the Ant Group’s $ 37 billion IPO from listing on the Shanghai and Hong Kong stock exchanges. A few days ago, China announced an anti-monopoly investigation against the Alibaba Group. Alibaba holds a 33 percent stake in Ant Group. Regulators orders can stop the expansion of the Ant Group and push its lucrative finance businesses into disarray.