NetEase Fires Execs Accused of Money Laundering

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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.

As a seasoned gamer with decades of gaming under my belt, I must admit that news like this always leaves me a bit disheartened. The recent events at NetEase Games are a stark reminder that even the companies we love and support can sometimes fall short of our expectations.

It appears that nine staff members, including two top executives (Xiang Lang and Jin Yuchen), from the Chinese game publishing and development company NetEase Games, have allegedly been dismissed following their arrests on charges of bribery and money laundering. Notably, this firm has collaborated with notable companies like Blizzard and Bungie in the past for games such as “Diablo Immortal” and “Destiny: Rising” on mobile platforms. Some of NetEase Games’ more recent projects include “Marvel Rivals” and “Once Human”.

1997 saw the inception of NetEase by Ding Lei, initially as a tech-focused enterprise that expanded into diverse sectors such as video games over time. The video game division was established by the company in 2020, marking the beginning with acquisitions like Grasshopper Manufacture and bringing on board gaming veterans such as Toshihiro Nagoshi and Daisuke Sato, formerly of Sega. Additional studios, including Spliced, were launched in 2023 under the leadership of former Marvelous vice president Toshinori Aoki and BlazBlue creator Toshimichi Mori. Recently, a few employees from NetEase have been involved in an investigation, with two top-level executives being among them.

In a memo to its staff, as initially reported by Chinese site Leifeng and later confirmed by Bloomberg Law, NetEase revealed that it terminated nine employees due to allegations of bribery. These individuals no longer appear on NetEase’s internal systems. Among those accused are Xiang Lang, the general manager of NetEase Games, as well as Jin Yuchen, who previously held a leadership role in esports for games such as the upcoming Marvel Rivals.

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

The ongoing internal investigation by NetEase Games is focusing on allegations of employees buying traffic, potentially implicating 28 suppliers to the corporation in a case estimated to be worth around 1-2 billion yuan (approximately $140-279 million USD). Following recent arrests, employees who remain at NetEase have reported that their screensavers were changed to display company compliance guidelines.

NetEase has launched its second internal probe against corruption, with the first one happening in September 2023. The company representative mentioned that police are examining corruption accusations, but no specifics have been disclosed yet. As for their game development, NetEase is working on ‘Project Mugen’, an open-world RPG set in urban fantasy, inspired by games like ‘Grand Theft Auto’. This project is underway for PC, PS5, and mobile devices, along with ‘Where Winds Meet’, scheduled to release in 2025.

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2024-11-11 00:13