Alibaba’s shares fall after unconfirmed rumors hyperlink Jack Ma to a probe

Alibaba’s Hong Kong-listed shares closed about 1.7% decrease Tuesday — after earlier falling greater than 9% —following unconfirmed rumors that linked the corporate’s founder Jack Ma to a nationwide safety investigation.

Chinese language state media reported earlier within the morning that the Hangzhou safety bureau on April 25 took “felony coercive measures” on a person with the final title Ma over suspicion of utilizing the web to hazard nationwide safety.

State-backed tabloid World Instances individually reported, citing the Hangzhou safety bureau, that the particular person below investigation is the director of a tech firm’s {hardware} analysis and growth division.

CNBC was unable to verify the Chinese language report. Alibaba and the Jack Ma Basis didn’t instantly reply to a request for remark.

Subsequent state media updates indicated the particular person had a primary title with two Chinese language characters, somewhat than one. Jack Ma’s first title in Chinese language solely has one character.

Such “coercive measures” can embody detention, arrest or bail. The safety bureau can also be investigating the case, state media mentioned.

Jack Ma stepped down from Alibaba’s board in 2020 and not has government duties, the corporate mentioned in a July 2021 assertion.