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Batie Bus developer suspected of illegal fund-raising

Xinhua | Updated: 2017-07-03 08:45

BEIJING -- Beijing police said Sunday that the lending company Huayingkailai, investor in the Transit Elevated Bus (TEB) project, is suspected of illegal fund-raising.

Police received information that Huayingkailai was engaged in illegal fund-raising activities. So far, about 32 suspects have been arrested and are in police custody.

Further investigation continues.

The TEB, also known as Batie Bus, has been promoted as a way help ease traffic congestion. Its design features an elevated passenger compartment that straddles the road below, allowing vehicles to pass underneath.

A high-profile road test was conducted in August 2016 in the city of Qinhuangdao, in north China's Hebei Province, to evaluate the braking system, drag, and power consumption of the bus.

However, a spate of reports have questioned the project's financing. Its developer Huayingkailai was reported to be an online lending company at high risk of default.

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