SHANGHAI—A court in China has publicly named the only son of Wang Jianlin, the chairman of private conglomerate Dalian Wanda and one of the country’s richest men, as a debtor owing at least 150 million yuan ($21.5 million), a news website reported.
China’s Supreme Court published a notice on its website saying that a court in Beijing had identified the son, Wang Sicong, as a debtor, the news website, called The Paper and backed by the Shanghai government, reported.
Wang Sicong is the chairman of Prometheus Capital, known in China as “Pusi Capital,” a private equity company, which was founded with 500 million yuan his father gave him. Last month, the fund’s equity was frozen by a Shanghai court, according to Chinese corporate database Tianyancha.
Neither the younger Wang nor Dalian Wanda have responded to Reuters’ request for comment on Thursday.
The report sparked speculation among China’s netizens over how Wang Sicong had racked up so much debt, as he had courted publicity in the past by posting photographs on social media of a $400,000 karaoke bill, and seven iPhones he bought for his dog.
His father’s fortunes have also suffered a downturn, according to Forbes, which ranked him fourteenth on its China rich list this year, down from fourth last year. Forbes estimated that real estate billionaire’s wealth had shrunk by 68.2 billion yuan during the 12-month period.
Dalian Wanda saw its revenues decline for a third year last year as it continued to offload domestic and overseas assets amid a government crackdown on corporate debt and overseas acquisitions.
In 2017, Chinese regulators told banks to stop providing funding to companies such as Wanda, HNA Group, and Anbang Insurance Group for overseas acquisitions, amid concerns over financial overstretching.
By Shanghai Newsroom and Brenda Go