Chinese e-commerce giant Alibaba Group Holding announced its termination to Zhao Yan, head of its fast-growing livestreaming division, based on nepotism and accepting gifts, according to an internal memo, by Reuters Gone.

Undivided document Of alibaba Published on June 29 on the company’s internal intranet for the human resources department and employees, says Zhao was fired because he used his position to help third-party livestreamers score in favorable positions Taobao Alibaba’s main platform for live, live streams Ecommerce.

The document also states that Zhao helped his girlfriend secure a high-paying job with a livestreaming company, and accepted gifts from business partners. The document did not link the gifts to a favorable position, say how the allegations were discovered or investigated, or when Zhao was fired.

A spokesperson for Alibaba declined to comment.

Zhao did not respond to messages sent on his personal account on the Chinese social media site Weibo, And Reuters did not have her telephone contact details. Reuters was not able to determine whether Zhao had legal representation.

Livestreaming is one of Alibaba’s fastest growing business sectors, with the company’s most recent earnings report showing a doubling in gross merchandise volume (GMV) between fiscal 2018 and 2019, which the company reported on transaction volume on Taobao Live Uses to track.

After being allocated to Jiang Fan by the company months after Monday’s dismissal, a vice president thought in line for the chief executive job, a case that sparked an online debate about Alibaba’s broader influence in big technology.

Jiang was demoted in April following an internal investigation into allegations of inappropriate behavior, according to a person familiar with the situation, following speculation on Weibo about his relationship with a prominent social media influencer. Jiang did not respond to requests for comment on his downgrade at the time, and Alibaba refused to provide him for interviews. He was not available for comment via a social media message on Thursday.

An internal memo to all employees seen by Reuters at the time said Jiang’s sentiment “created a serious public opinion crisis, which had a major impact on the company’s reputation”.

© Thomson Reuters 2020

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