Dalian Wanda Refutes Claims Of Chairman's Detainment, Says The Story Is 'Fabricated'

Dalian Wanda Group, one of China's largest commercial property owners, has refuted reports that its chairman, Wang Jianlin, was detained by Chinese authorities along with his family at an airport in Tianjin last week.

The family was later released but has been barred from leaving China, The Real Deal reports — a claim Wanda officials refute and said is fabricated. Instead the firm said Jianlin was on an inspection tour in Lanzhou. The company's hotel stock fell 11% Monday as a result.  

"Wanda Group strongly reiterates that all of these rumors are utterly baseless and have ulterior motives behind them," the group said in a statement.

Wanda is one of five Chinese companies that have come under scrutiny by China’s Banking Regulatory Commission regarding concerns of heavy debt levels and rapid expansion efforts. The firm is facing increased scrutiny in the midst of tightened restrictions on foreign investment. The Chinese government has been keeping a watchful eye on foreign transactions, recently banning investment entirely in sectors like gambling, in addition to placing restrictions on outbound capital leaving the country in pursuit of foreign acquisitions. 

The news comes after Wanda announced it was pulling out of a deal to buy a plot of land in London for $606M. No details were given as to why the company ended the transaction, TRD reports. Anbang Insurance Group, one of China’s largest global investors, has also faced turmoil in recent months. Last week, the companies’ head of real estate, Theo Cheng, resigned, and Anbang Group Chairman Wu Xiaohui stepped down after being detained by Chinese authorities for questioning in June.