China's Central Government Moves to Curb Shakedown Detentions of Executives from 80 Companies in 2024

Dec 29, 2024, 09:52 AM

The Chinese government is taking steps to address the increasing number of detentions of business executives by local authorities, a practice that has raised concerns among entrepreneurs and could hinder economic growth. Reports indicate that in 2024, senior figures from over 80 companies listed on the Shanghai and Shenzhen stock exchanges were detained in what has been termed 'shakedown' detentions. This phenomenon, described by Chinese media as 'long-range fishing,' involves authorities operating far from the executives' business locations. The Financial Times highlighted that these actions are contributing to a climate of anxiety among business leaders, prompting the central government to intervene in an effort to stabilize the situation and promote economic activity.