Nine employees, including two senior executives, from NetEase, a Chinese video game publisher and developer behind the game Knives Out, were arrested over charges of money laundering and bribery.
Per Bloomberg and Leifeng, NetEase’s General Manager and e-sports head Xiang Lang, and publishing head Jin Yuchen were arrested by police and are currently under investigation. In addition to Lang and Yuchen, several employees were also under investigation as well, some of which were responsible for “purchasing traffic for many of NetEase’s top products”.
The employees allegedly laundered an estimated ¥800 million – ¥1 billion ($111.4 million-$139.3 million). According to Leifeng, some employees have since been released. Still-employed NetEase staff also reported that their regular computer screens had been replaced with reminders of the company’s compliance protocols.
According to Yicai Global, NetEase revealed that most of the corruption allegedly occurred in NetEase Game’s esports division and distribution and marketing center, and that 27 companies with traces of fraud and corruption have been blacklisted. Yicai Global also reported that a NetEase spokesperson took to social media to say that the details surrounding the case will remain undisclosed, due to the ongoing investigation by police, and that NetEase will release a notice in due time. Furthermore, the spokesperson also said that NetEase’s anti-corruption drive has denied rumors of money laundering, which the spokesperson noted was false.
This is the second time NetEase has launched a internal anti-corruption investigation, according to Game Rant, the previous one being in September 2023.
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