TAIPEI (Taiwan News) — A senior executive at the U.S. risk advisory firm Kroll has been prohibited from leaving China, according to a report by The Wall Street Journal.
This is the latest case of Chinese authorities imposing exit bans on foreign company employees. The report said that Michael Chan, the managing director of Kroll's Hong Kong office, specializing in corporate restructuring, is assisting in investigating an old case, reported CNA.
He traveled to China in July, later informing his employer that he could not leave. Sources said that he holds a Hong Kong passport, which allows him freedom of movement in China, and neither Chan nor Kroll are the subjects of the investigation.
Chan has declined to comment on the situation.
The Chinese Ministry of Public Security (MPS) and the country's National Immigration Administration (NIA) have not yet responded to The Wall Street Journal's questions. China's week-long national holiday began on Friday (Sept. 29).
Kroll is one of several foreign companies providing corporate investigation and advisory services to Chinese clients. Such companies have faced increased scrutiny, increasing the risks and uncertainties of foreign businesses operating in China, human rights groups say.
In March, authorities raided the Beijing office of the U.S. consulting firm Mintz Group, detaining all five of its China-based employees. Authorities also unexpectedly questioned staff at the Shanghai office of the U.S. consulting firm Bain & Co.
Capvision's offices in multiple Chinese cities were also raided by police, investigating activities suspected of violating national security regulations. Charles Wang Zhonghe (王仲何), chair of Nomura International's China investment banking business in Hong Kong, was also recently prohibited from leaving China.
Those targeted often remain unaware of their exit bans until they attempt to leave China. The bans can last for months or even years.
Implementing such travel restrictions can facilitate criminal investigations, intimidate dissenting individuals, or create leverage in disputes with foreign companies or foreign governments, per CNA.
