Alibaba, the company of Chinese billionaire Jack Ma, could face a $1 Billion fine. The news was recently obtained by sources in the Chinese administration. In recent months, the Xi Jinping government has taken over the reins of Ant Group, a small company controlled by Alibaba.
Then the government stopped the shares of this company. Jack Ma went unnoticed during the incident. The situation became complicated. According to international media sources, this time a huge amount of fine could be imposed on the Chinese company. However, the Chinese administration did not respond to a request for comment.
In 2015, China filed a similar complaint against Qualcomm. In that case, the fine was more than 960 million dollars. Alibaba’s fine is set to break that record as well. It is rumored that Chinese trade regulators may impose fines and multiple restrictions. It is also reported that some of Alibaba’s assets may be revoked.
The problem started last December. According to the Chinese administration, the Xi Jinping government is about to launch a breach of trust against Alibaba. Earlier, Jack Ma, the agency’s director, had suddenly criticized China’s trade control policy. According to many, this is why his organization has had to face the wrath of the administration.