Le.com controversies
Controversies tied to this brand in public sources. A listing is not a finding of fault.
Back to profile13 entries
2023
First-Instance Civil Judgment on Misrepresentation Awards Nearly RMB 2.04 Billion in Compensation
In September 2023, the Beijing Financial Court ruled in the first instance that Le.com must compensate investors nearly RMB 2.04 billion, with Jia Yueting bearing full joint and several liability, while certain executives and intermediary institutions bore joint and several liability to varying extents. This item concerns the investors' civil compensation proceedings and is recorded separately from the 2021 administrative penalty; it is not treated as having been fully paid. In September 2023, the Beijing Financial Court ruled at first instance that LeTV.com must pay investors nearly RMB 2.04 billion in compensation, with Jia Yueting bearing full joint and several liability and certain executives and intermediaries bearing joint and several liability to varying extents. This is an investor civil compensation proceeding, recorded separately from the 2021 administrative penalty, and is not regarded as having been fully paid.
2022
Investors sue LeTV and other defendants over alleged false statements
Lawsuit filed
Investors sued LeTV and 20 other defendants, including Zhongde Securities, seeking RMB 4.571 billion in compensation for alleged losses caused by LeTV's securities false statements. Plaintiffs alleged that Zhongde Securities and other intermediaries failed to perform their duties diligently. The case had not yet gone to trial and no judgment had been issued, according to Shanxi Securities.
Source excerpt
山西证券表示，上述案件目前尚未开庭，尚未判决；其对公司本期利润或期后利润的影响存在不确定性。
在最新的诉讼中，原告作为乐视网投资者，认为：乐视网虚假陈述行为致其权益受损，要求乐视网承担虚假陈述侵权民事赔偿责任；贾跃亭等14名自然人作为虚假陈述过错责任人，承担连带赔偿责任；中德证券等3家证券公司及3家会计师事务所因未勤勉尽责、未能发现乐视网财务造假，承担连带赔偿责任。
1月13日，中德证券收到北京金融法院送达的民事起诉状，案由为证券虚假陈述责任纠纷。上海君盈资产管理合伙企业(有限合伙)等两千名原告向北京金融法院对乐视网(乐视网信息技术(北京)股份有限公司)等二十一名被告提起民事诉讼，要求乐视网赔偿因其虚假陈述行为造成的投资损失共计45.71亿元，要求其他二十名被告承担连带赔偿责任。
2021
Le.com Administrative Penalty for Financial Fraud and Fraudulent Issuance
In 2021, the China Securities Regulatory Commission imposed penalties on LeTV.com for financial fraud, fraudulent issuance, and other violations. LeTV.com was fined RMB 240.6 million, and Jia Yueting was fined RMB 241.2 million. The penalties concerned issues including consecutive years of financial fraud from 2007 to 2016.
2021
Court rules iQIYI infringed LeTV's online transmission rights
Ruling
The Beijing Internet Court found that iQIYI provided online playback of works without the rights holder's permission, infringing LeTV's information network dissemination rights, and ordered iQIYI to pay LeTV 50,000 yuan in economic losses within seven days after the judgment took effect.
Source excerpt
对此，法院认为，爱奇艺公司未经权利人许可提供涉案作品的在线播放服务，使网络用户可以在其自行选定的时间和地点获得涉案作品，该行为侵犯了乐视公司享有的信息网络传播权，应当承担赔偿经济损失的法律责任。
法院认为：爱奇艺公司未经权利人许可提供涉案作品的在线播放服务，使网络用户可以在其自行选定的时间和地点获得涉案作品，该行为侵犯了乐视公司享有的信息网络传播权，应当承担赔偿经济损失的法律责任。
最终裁判结果：判决生效之日起七日内，被告北京爱奇艺科技有限公司赔偿原告乐视网信息技术（北京）股份有限公司经济损失共计50000元。
2021
Investors sue LeTV over securities misrepresentation
Lawsuit filed
The Beijing Financial Court recently accepted a securities misrepresentation liability case brought by 11 investors against LeTV and 21 other defendants. The source reports that the case was accepted; it does not report a determination on the allegations in this case.
Source excerpt
昨日，北京青年报记者从北京金融法院获悉，该院于近日受理了11名投资者诉乐视网、贾跃亭等22名被告的证券虚假陈述责任纠纷一案。
该院于近日受理了11名投资者诉乐视网、贾跃亭等22名被告的证券虚假陈述责任纠纷案。
2021
Chinese regulator fines LeTV for financial misconduct
Fine or penalty
The Beijing regulatory bureau determined that LeTV had committed financial fraud from 2007 to 2016, failed to disclose related-party transactions and guarantees, and engaged in fraudulent issuance in a 2016 private offering. LeTV was fined 240.6 million yuan.
Source excerpt
经查明，乐视网于 2007 年至 2016 年财务造假，其报送、披露的申请首次公开发行股票并上市（以下简称 IPO）相关文件及 2010 年至 2016 年年报存在虚假记载。
最终，乐视网合计被罚款2.406亿元
4月12日晚间，乐视网3（400084）披露行政处罚决定书，对于2016年乐视网非公开发行欺诈发行行为，乐视网及贾跃亭分别被处以2.4亿元的罚款。
2019
Arbitration claims for approximately 1.4 billion yuan
The company reported an arbitration notice seeking repayment from Le.com and sister companies to two investment managers, including claims of approximately 1.335 billion yuan and 65 million yuan.
2019
LeTV urges Jia Yueting to fulfill his obligations
Company response
LeTV publicly urged Jia Yueting to fulfill his obligations amid his personal bankruptcy filing and reported claims involving the company.
Source excerpt
贾跃亭申请破产 乐视网隔空喊话：请承担应尽义务
2018
Negative net assets and suspension risk
Le.com disclosed that negative net assets put its Shenzhen listing at risk of suspension, highlighting the severity of the company’s financial deterioration.
2017
Truly International investment dispute
Truly International Holdings brought a civil claim concerning its investment in Leshi Zhixin and sought recovery of paid-in funds, alleging that the investment agreement had been breached.
2017
Debt claims and restructuring pressure
The group and its mobile subsidiary faced debt-related legal claims and restructuring pressure as it attempted to address obligations associated with its expansion.
2016
Share pledges and related-party financial exposure
Reports concerning the large proportion of Le.com shares pledged by Jia Yueting and Jia Yuefang, together with loans and balances involving the Jia family and affiliated LeEco businesses, raised concerns about leverage, liquidity and governance.
2016
Financial overextension and supplier-payment crisis
LeEco’s rapid diversification and international expansion produced severe liquidity pressure. Jia Yueting acknowledged that the group had expanded too quickly, while reports described supplier-payment problems, workforce reductions, and pressure to sell non-core assets.