Chinese Court Seizes Bank Accounts of Boyaa Interactive

A Chinese court has seized the bank accounts of Boyaa Interactive in the wake of its Chairman and CEO being sentenced to prison last September.

Zhang Wei was handed a 12-month jail term last year and resigned from Boyaa after the Municipal of Intermediate People’s Court found one of the company’s indirect subsidiaries, Boyaa Shenzhen, guilty of offering “bribes by entities.”

Boyaa revealed that a significant portion of the company’s idle cash reserves had been frozen due to Zhang’s prosecution for “alleged illegal activities conducted through one of the company’s onshore online gaming platforms.”

Boyaa said it had not been previously notified of the situation because the company itself was not implicated in the case. As such, “the risk that the Company, its directors and its senior management will be subject to any prosecution by the relevant PRC judicial authority in relation to the alleged crime is remote,” it said.