Chinese property tycoon accused of bribing officials in US

Zhang Li is needed within the US on suspicion of bribing public officers between 2015 and 2020.

Zhang Li, who co-founded Hong Kong-listed R&F, has been accused by US authorities of bribing public officers [File: Jason Lee/Reuters]

The billionaire co-chairman and CEO of Chinese language developer Guangzhou R&F Properties Co Ltd is needed in the US, accused of paying kickbacks to acquire permits for a building undertaking in San Francisco, a court docket in London has heard.

Zhang Li, who co-founded Hong Kong-listed R&F, is needed on a provisional warrant issued within the Northern District of California that accuses him of taking part in a scheme to bribe public officers between 2015 and 2020.

Ben Lloyd, representing US prosecutors, stated the scheme concerned the cost of bribes to officers in San Francisco for the advantage of R&F’s US affiliate, Z&L Properties Inc.

R&F, in an announcement on its official WeChat account late on Monday, stated it's taking “authorized motion” towards a “false accusation”. Zhang was accused of bribery due to the availability of a “banquet dinner and lodge lodging” to the previous San Francisco public affairs chief who was visiting China, it stated.

Zhang didn't seem on Monday at London’s Westminster Magistrates’ Court docket, the place his legal professionals requested a choose to grant him bail forward of a authorized battle towards extradition to the US.

The 69-year-old, who's price $2.3bn, in line with Forbes journal, supplied to pay a safety of 15 million kilos ($18.4m).

Mark Summers, representing Zhang, stated 10 million kilos of the safety could be offered by R&F. He added: “It can not go larger than that due to the itemizing guidelines [of] the Hong Kong inventory alternate.”

Zhang would offer the opposite 5 million kilos, Summers stated.

Decide John Zani granted bail and imposed a 24-hour curfew on Zhang. The choose additionally stated Zhang should be handcuffed to a member of his court-appointed personal safety crew when he left his home for the needs of attending court docket.

In a separate securities submitting to the Hong Kong inventory alternate on Tuesday, R&F stated it didn't present any safety cash in direction of bail for Zhang in London, including it has little interest in Z&L, which is owned by Zhang.

It stated that the case won't have any materials opposed impact on the corporate’s enterprise and operations.

R&F shares, nevertheless, tumbled greater than 13 % on Tuesday, underperforming a 0.3 % fall within the Hold Seng Mainland Properties Index.