Xunlei(US:XNET) Xin Lang Cai Jing·2026-01-15 17:24Core Viewpoint - The lawsuit initiated by Xunlei and its subsidiary Wangxin Technology against former CEO Chen Lei and his core team seeks to recover approximately 200 million yuan due to alleged misappropriation of company interests through a shadow company named "Xingronghe" [1][3][10] Group 1: Lawsuit Details - The lawsuit has been filed for "damaging company interests" and has been accepted by a Shenzhen court [1] - The defendants include Chen Lei, former senior vice president Dong Xue, former HR director Liu Chao, Liu Chao's mother Zhao Yuqin, and the shadow company Xingronghe along with its associated shareholders [2] - The core dispute revolves around the establishment and operations of Xingronghe, which was allegedly controlled by Chen Lei, leading to significant financial losses for Xunlei [3][4] Group 2: Financial Transactions - Xunlei claims that approximately 200 million yuan was improperly paid to Xingronghe, which was established without board approval and lacked necessary operational qualifications [3][5] - Between January 2019 and early 2020, Wangxin Technology paid around 170 million yuan to Xingronghe for resource node procurement, despite Xingronghe's lack of operational capacity during that period [3][5] - In the last 72 hours before Chen Lei's dismissal, he authorized payments exceeding 20 million yuan to Xingronghe, bypassing normal payment protocols [6][7] Group 3: Internal Conflicts and Employee Movements - Prior to his dismissal, Chen Lei allegedly orchestrated a mass departure of key employees from Wangxin to Xingronghe, resulting in over 9 million yuan in severance payments [8][9] - The financial discrepancies between sales to Xingronghe and direct sales by Wangxin amounted to approximately 28 million yuan, contributing to the total claim of 200 million yuan [9] Group 4: Broader Implications - This case highlights significant issues regarding corporate governance, internal control risks, and the complexities of power transitions within Chinese internet companies [10]