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Chinese billionaire and JD.com founder Liu Qiangdong has agreed to settle a lawsuit brought by a former student who claims he raped her in her U.S. apartment in 2018 after having dinner and drinking with wealthy Chinese executives Lawyers for both parties have announced.
Liu Qiangdong, who stepped down as chief executive of Beijing-based e-commerce company JD.com this year, has denied raping the woman, Liu Jingyao, and prosecutors have not brought criminal charges, amid increased government scrutiny of China’s tech industry.
A joint statement issued by lawyers from both sides called the encounter “a misunderstanding.”
“The 2018 incident between Ms. Jingyao Liu and Mr. Qiangdong Liu in Minnesota led to a misunderstanding that drew widespread public attention and caused profound distress to the parties and their families,” the joint statement said.
“Today, both parties agreed to put their differences aside and resolve the legal dispute to avoid further pain and suffering caused by the lawsuit.”
The settlement was announced two days before the civil trial was scheduled to begin in Minneapolis on Monday.
Liu Qiangdong is a celebrity in China, part of a generation of entrepreneurs who have created China’s internet, e-commerce, mobile and other tech industries since the late 1990s.
Forbes on Saturday estimated his wealth at $10.9 billion.
Jingyao Liu claims the attack took place in 2018, when Richard Liu was doing a week-long internship in Minneapolis at the University of Minnesota’s Doctor of Business Administration China program, which targets top executives in China.
Chinese citizen Liu Jingyao is studying at the university on a student visa and is a volunteer for the project.
She was 21 at the time and Liu Qiangdong was in his 40s, the lawsuit said. They are not related.
Liu Qiangdong, also known as Liu Qiangdong, was arrested in August 2018 on suspicion of felony rape, but prosecutors said the case had “serious evidentiary problems” and refused to bring criminal charges.
Liu Jingyao sued Liu Qiangdong and JD.com in 2019, alleging sexual assault and battery, as well as false imprisonment.
The case has drawn widespread attention at a time when the #MeToo movement is gaining traction in China.
Liu Qiangdong’s supporters and opponents launched an aggressive PR campaign on Chinese social media; censors shut down some accounts supporting Liu Jingyao’s “violations.”
Liu Jingyao said in her complaint that she had to drop out of school in the fall of 2018 to seek psychological counseling and treatment. Her lawyer said she had graduated, but she suffered from post-traumatic stress disorder.
She had sought compensation and punitive damages from Liu Qiangdong.
Her lawsuit says she is seeking more than $50,000, and if plaintiffs intend to seek a larger amount, they must list a standard figure in Minnesota. She is expected to ask the jury to verdict more.
The settlement amount was not disclosed.
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