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China austerity drive hits Wanda Group as golf courses closed

A Chinese county government has declared illegal two high-end golf courses owned by acquisitive Chinese conglomerate Dalian Wanda Group amid a campaign against luxury and waste ahead of a Communist party gathering that begins in Beijing this week.

The move is a blow to Wanda’s tourism and entertainment ambitions as the group seeks to diversify from shopping malls. The government of Fusong county in China’s northeastern province of Jilin revoked permission for the two courses, according to a notice dated October 1 seen by the Financial Times.

Wanda is one of a group of privately owned conglomerates including HNA Group, Anbang Insurance Group, and Fosun International that have come under scrutiny in recent months, with a particular focus on their overseas acquisitions. Wanda chairman Wang Jianlin tumbled from his position as China’s richest man, according to the country’s best-known rich list released last week, falling to fifth place in this year’s Hurun ranking.

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