NetEase Fires Execs Accused of Money Laundering

Posted by By our-little-miss-is-home November 10, 2024 13 Views 5 Min Read
NetEase Fires Execs Accused of Money Laundering



Key Takeaways

  • Nine NetEase Games employees have reportedly been fired for bribery and money laundering, including top executives.
  • The investigation involves alleged purchases from 28 suppliers worth $140-279 million USD.
  • NetEase is developing Project Mugen and Where Winds Meet, amid ongoing anti-corruption probe.



Nine employees from NetEase Games, a Chinese publisher and developer of various AAA games, have reportedly been fired after being arrested on bribery and money laundering charges. Among those arrested are two senior NetEase Games executive members, Xiang Lang and Jin Yuchen. NetEase Games is a well-known Chinese publisher and developer who previously worked with companies like Blizzard and Bungie for games like Diablo Immortal and Destiny: Rising on mobile. Some of the company’s more recent output includes Marvel Rivals and Once Human.

NetEase was first founded in 1997 by Ding Lei, first as a technology company that then grew into other ventures like video games. This started in 2020 with the company establishing a video game division, acquiring developers like Grasshopper Manufacture and hiring major gaming industry veterans like former Sega employees Toshihiro Nagoshi and Daisuke Sato. Other studios like Spliced were also opened in 2023, founded by former Marvelous vice president Toshinori Aoki and BlazBlue creator Toshimichi Mori. Amid its rapid growth, a few employees of NetEase were recently a part of an investigation, including two senior members of the company.


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In an internal memo to its staff (first chronicled by Chinese site Leifeng and reported on by Bloomberg Law), NetEase announced that it has since dismissed a total of nine employees for alleged bribery. The names of these implicated employees have seemingly been removed from NetEase’s internal systems. Among those implicated are NetEase Games’ general manager, Xiang Lang, along with Jin Yuchen, NetEase’s former esports lead on games like the upcoming Marvel Rivals.


9 Employees Arrested at NetEase Games, Including Xiang Lang and Jin Yuchen


The internal NetEase Games investigation is still ongoing, but Leifeng notes that it revolves around the employees’ purchasing traffic. It’s suspected that this is a contract value that involves 28 suppliers to the megacorp in a case that is worth roughly one to two billion yuan, which is approximately between $140-279 million USD. Shortly after the arrests were made, staff still employed at NetEase reported that their usual computer screensavers had been replaced with reminders of the company’s compliance protocols.

Based on what is known, this is the second internal anti-corruption investigation NetEase organized, the previous one being in September 2023. A spokesperson from NetEase stated that the police are investigating alleged corruption charges, though no details have been revealed at this time. In terms of games in development at the company, NetEase is working on Project Mugen, an urban fantasy Open-World RPG that takes inspiration from a number of other titles like Grand Theft Auto, and is currently in development for PC, PS5, and mobile phones, alongside Where Winds Meet, set to release in 2025.


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