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China fines 15 educational firms for false advertising and fraud

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Reuters

<div class="embed-wrap"><figure data-feedback="fb:likes,fb:comments"><img src="http://sa.kapamilya.com/absnews/abscbnnews/media/2021/reuters/06/02/china.jpg"/><figcaption>A woman and a child ride away from a school in Shekou area of Shenzhen, Guangdong province, China April 20, 2021.<em> David Kirton, Reuters/File Photo</em></figcaption></figure></div><p>BEIJING - China&#x27;s market regulator fined 15 private tutoring firms a combined 36.5 million yuan ($5.73 million) for false advertising and pricing frauds, the official People&#x27;s Daily newspaper reported on Tuesday, amid a crackdown on the sector.</p><p>The 15 companies include Tencent-backed Yuanfudao, Alibaba-backed Zuoyebang, and New Oriental Education &amp; Technology Group, the People&#x27;s Daily said, citing a news briefing by the regulator.</p><p>The news comes a day after China announced it would allow couples to have a <a href="https://news.abs-cbn.com/overseas/05/31/21/china-allows-couples-to-have-3-children-state-media">third child</a>, amid rising concern about a declining fertility rate that many in China blame on the high cost of raising families. Most children in China undergo private tuition in addition to public schooling. </p><p>Some courses offered by the companies were sold at just 1 yuan, discounts that masked the eventual full price, the newspaper reported.</p><p>The penalized firms included several with US or Hong Kong listings, including TAL Education Group, OneSmart Education Group, Beststudy Education Group and Scholar Education.</p><p>On the same day, Guangdong and Shanghai provincial-level market regulators fined private education companies over pricing and advertising frauds.</p><p>Six companies were fined a combined of 14 million yuan in Guangdong, according to a statement from the local market regulator.</p><p>It said the companies made up teachers&#x27; diplomas, teaching qualifications and experience, and made false promises to students.</p><p>The Shanghai market regulator announced on its WeChat account that it had fined four companies, including English teaching companies Dada and Wall Street English, a total of 10 million yuan.</p><ul class="op-related-articles">	<li><a href="https://news.abs-cbn.com/overseas/05/31/21/china-allows-couples-to-have-3-children-state-media">China allows couples to have 3 children: state media</a></li>	<li><a href="https://news.abs-cbn.com/business/04/13/21/china-extends-crackdown-on-jack-mas-empire-with-enforced-revamp-of-ant-group">China extends crackdown on Jack Ma&#x27;s empire with enforced revamp of Ant Group</a></li></ul><div><strong>RELATED VIDEO: </strong></div><figure class="op-interactive"><iframe allow="autoplay; fullscreen" frameBorder="0" height="100%" id="ivsplayer01" scrolling="no" src="https://player.ivideosmart.com/ivsplayer/v4/dist/html/iframe-src.html?iframeid=ivsplayer01&amp;key=e8c22c015ca9eafa76f1e3edfa03c603&amp;spid=3001339&amp;vid=1665281" width="100%"></iframe></figure><div class="iwantbar">Watch more in <a href="//www.iwantv.com.ph/">iWantv</a> or <a href="//tfc.tv/">TFC.tv</a></div>

<p>The 15 companies include Tencent-backed Yuanfudao, Alibaba-backed Zuoyebang, and New Oriental Education & Technology Group, the People's Daily said, citing a news briefing by the regulator.</p>

The 15 companies include Tencent-backed Yuanfudao, Alibaba-backed Zuoyebang, and New Oriental Education & Technology Group, the People's Daily said, citing a news briefing by the regulator.