BEIJING, Aug. 31 (UPI) -- An appeals court in China upheld the 14-year prison sentence of retail executive Huang Guangyu, who is struggling to maintain influence on his company.
The Beijing High People's court released Huang's wife from prison, but maintained Huang's insider trading conviction and sentence -- including a forfeiture of $117.5 million -- was correct, China Daily reported Tuesday.
Despite his sentence, Huang is lobbying to have Gome Electrical Appliances Holding Ltd. Chairman Chen Xiao replaced.
Reportedly worth $6.3 billion before his legal troubles began, Huang increased his ownership of the company last week from 33.98 percent to 34.78 percent with his family purchasing 120 million shares, the newspaper said.
He also owns 381 of the retail chain's 1,141 stores and has said if Chen is not replaced, he would sever ties between the outlets and the company.
A company spokesperson said: "It would hurt the interests of Gome's shareholders … But, in the long run, it is not a bad thing because those stores lack proper management and are always inefficient."
The drama is expected to come to a head at a special shareholder meeting scheduled for Sept. 28.
Huang's wife, Du Juan, was given a three-year sentence in May. The appeals court reduced that to a suspended sentence with probation.
