Hangzhou govt intervenes in Wahaha heiress inheritance feud

Wahaha's inheritance battle escalated with the Hangzhou government setting up a task force for intervention, after the beverage giant heiress Kelly Zong Fuli was reported to have six half-siblings.

According to mainland media, a staff of the Shangcheng District Finance Bureau in Hangzhou said they received a lot of relevant calls and complaints (about the battle) and a task force has been established, adding that the bureau is eager to solve the issue as soon as possible.”

A subsidiary of the Shangcheng District Finance Bureau holds a 46 percent stake in Hangzhou Wahaha Group, followed by Kelly Zong's 29.4 percent stake and the staff union’s remaining 24.6 percent.

Kelly Zong succeeded the stake from her late father, Zong Qinghou, in August 2024, who founded Wahaha in 1987 and once became the richest man in mainland China. The senior Zong passed away in February 2024. She currently serves as chairwoman of Hangzhou Wahaha Group

However, Kelly Zong, long marketed as the only child of Wahaha’s founder, was recently reportedly embroiled in a US$2 billion (HK$15.6 billion) wealth tussle in Hong Kong, involving three half-siblings.

Three individuals – Jacky Zong, Jessie Zong and Jerry Zong – also filed a lawsuit in a Hangzhou court at the same time, claiming interests in trusts valued at US$700 million each, which their father, Zong Qinghou, promised to set up during his lifetime.

Their plaintiffs claimed that Zong Qinghou had asked to set up the trusts through the Hongkong and Shanghai Banking Corporation, and that the account had a balance of about US$1.8 billion at the beginning of 2024. In May 2024, US$1.1 million was found to have been transferred out of the account, which was suspected to have been conducted by Kelly Zong.

The three individuals sought to have Kelly Zong execute the late Zong's will, involving the trusts and the division of her stake in Wahaha.

But it was rejected by Kelly Zong, citing doubts about the effectiveness of their evidence.

When Chinese netizens were shocked by the collapse of Zong Qinghou's moral image, the late Wahaha founder was reported to have seven children in total, more than Kelly Zong and the three exposed recently, according to mainland media, citing sources from the Zong family. 

It puts the inherited stake of Kelly Zong in Wahaha under the spotlight, which is associated with the future of the beverage giant.

STAFF REPORTER