China’s crackdown on Jack Ma’s empire is not far off: the country’s regulators have ordered Ma-founder Alibaba-affiliated Ant Ant Group to downsize its business. In particular, they have ordered the company to return to its origins as a payment provider. Ant Group started as Alipay, which became China’s largest digital payment platform, although it eventually expanded to provide investment and savings accounting, as well as lending, insurance and asset management services. Pan Gongsheng, deputy governor of China’s central bank, called the services “illegal” and said the company must “strictly reform” those activities. Like The Guardian As noted, those services are the most profitable and fastest growing segments of the group.
Gongsheng listed the steps to be taken as ordered by Chinese regulators in a submission posted to the Ant Group on the bank’s official website. Those requirements include banning unfair competition, improving corporate governance and ensuring that everything it does is “in accordance with the law.” Included. For the company, he said The Guardian In a statement that it would create a “reform working group” to implement the requirements. A spokesman explained:
