Bruno Wu’s China Film Fund Partner Yucheng Group Under Investigation

Less than a month after Chinese media mogul Bruno Wu teamed up with a Chinese online financial services firm to launch a US$1.6 billion film investment fund, his partner Yucheng International Holdings Group Limited has come under investigation by police, according to pictures posted on Weibo.

Police inside Yucheng Group’s office

One of Yucheng’s subsidiary, a P2P (peer-to-peer) lending start-up Ezubo was investigated by police earlier this week for alleged illegal business operations.

Now it looks certain that Yucheng is also under investigation, though it’s not immediately clear what wrongdoing it is accused of.

In the joint China film fund announcement, Sun Seven Stars was supposed to be in charge of making investments, while Yucheng Group planned to raise the capital via its online asset-to-peer platform.

According to Yucheng’s website, the company started ten years ago in the city of Bengbu in Anhui province as a hardware factory. It later expanded to e-commerce, financial leasing, integrated services and science & technology with total assets of RMB80 billion.

It launched a P2P platform Ezubo in July 2014, and established a Southeast Asian Union Bank in Myanmar in May 2015.

The company has established three operation centers in Southeast Asia, New York and Hong Kong, but there is no information on the company’s background or its key executives.

Nina Xiang is the co-founder and managing editor overseeing editorial content and product development at CMN. Before founding CMN in 2011, Nina worked at BusinessWeek magazine in Beijing and Institutional Investor magazine in New York, writing about business and financial services. While in New York, she also served as part-time correspondent for Shanghai's financial television channel, China Business Network, as well as China Radio International, China's national English-language radio network.