Why has China barred Wells Fargo banker from leaving the country?

The Chinese foreign ministry did not specify what charges under which Wells Fargo MD Mao Chenyue has been restricted from leaving the country

China on Monday said that a senior executive at Wells Fargo, one of the United States (US)' largest banks, has been restricted from leaving the country because of her involvement in a criminal case. The confirmation comes after reports of the same surfaced last week, according to a report in the South China Morning Post (SCMP).

 

“Mao Chenyue is involved in a criminal case currently being handled by Chinese law enforcement authorities and is subject to the exit restrictions in accordance with the law,” Chinese foreign ministry spokesperson Guo Jiakun said, as quoted by the SCMP.

 

The spokesperson did not specify what Mao is alleged to have done, nor which law enforcement agency is handling the case. “She cannot leave the country for the time being,” Guo added, noting that Mao is required to “cooperate with the investigation pursuant to Chinese laws”, the report added.

 

 

Guo added that “no matter whether they are Chinese or foreigners, they should abide by Chinese laws in China”. He also said that her “lawful rights and interests” would be protected while the investigation is ongoing and framed the situation as “an individual judicial case”.

 

According to her LinkedIn profile, Mao has been a managing director at Wells Fargo since 2012.

 

Wells Fargo suspends business travel to China

 

Soon after reports of Mao's exit ban surfaced last week, the US-based bank suspended all business travel to the country.

 

"We are closely tracking this situation and working through the appropriate channels so our employee can return to the United States as soon as possible," Wells Fargo told Reuters then.

 

Not an isolated Incident

 

China’s use of exit bans can further worsen its relations with the United States. These travel restrictions can prevent individuals—both Chinese citizens and foreigners—from leaving the country if they are involved in legal disputes, ongoing investigations, or sometimes for reasons that are not made public.

 

The US State Department has warned its citizens on multiple occasions to reconsider travel to China. "Exercise increased caution when traveling to Mainland China due to arbitrary enforcement of local laws, including in relation to exit bans," it said in an advisory issued in November 2024.

 

According to the SCMP report, another US citizen—an employee of the US Commerce Department’s Patent and Trademark Office—had also been blocked from leaving China a few days ago. The individual has reportedly been stuck in the country for several months, allegedly over national security concerns, the report added.

 

Spokesperson Guo had no information to share on the matter.