China ride-hailing giant Didi fined $1.2bn after probe

For violating its cyber security laws, China has fined ride-hailing company Didi 8.026 billion yuan ($1.2bn; £990m).

The Cyberspace Administration of China (CAC) declared on Thursday that it had uncovered “conclusive evidence” against the business.

Just days after Didi introduced its shares in the US last year, the regulator stated that it had opened a probe into the company.

Since then, trading in Didi’s shares has ceased on the New York Stock Exchange.

The president, Liu Qing, and chairman and chief executive, Cheng Wei, of Didi Global, both received fines of one million yuan, according to the CAC.

Didi responded by stating that it would “perform comprehensive and in-depth self-examination” and that it acknowledged the decision.

The business posted on the Chinese social networking site Weibo, saying, “We will take this as a warning and devote equal attention to both security and development.”

Didi experienced significant pressure following its launch on the US stock exchange in June of last year.

Beijing announced a crackdown on technology companies listing overseas days after the initial public offering.

Didi has plans to leave the US stock exchange and relist its shares on the Hong Kong stock exchange in December.

The firm has grown to be one of the most well-known targets of the Chinese government’s strict policy against the sector.

Authorities have launched a broad crackdown on businesses, fining e-commerce major Alibaba a record amount and ordering tech giant Tencent to halt the release of new apps.

Days after the company pressed forward with its New York listing, purportedly against authorities’ desires, it ordered Didi to be removed from app stores and opened an inquiry, citing data collection concerns.