CHINA TOPIX

11/22/2024 04:00:55 am

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Shanghai's Congen Massage In Trouble, Founder And Investors Missing

Massage

(Photo : Reuters) A man giving a woman traditional Chinese massage.

Congen Massage Healthcare Club chain faces doubtful from customers after branches in Shanghai said prepaid membership cards were no longer accepted.

A massage worker at a branch in Dagu Road said they haven’t received compensation in the last three months. The employee told Shanghai Daily that they were also informed that membership cards were no longer accepted starting October 1. Furthermore, the employee said they were notified by the company that major investors along with its founder were missing, reported Shanghai Daily.

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Congen Massage was founded with a capital of 50 million yuan by the Shanghai Congen Management Co Ltd. The massage chain has four membership cards with the most expensive valued 20,000 yuan and the cheapest at 2,000 yuan, according to administration records.

The report went on saying employees of Congen Massage Healthcare Club expects the company to provide solution to its workers' before the week-long holiday in the country ends. The report also said the Dagu Road branch offers 50% off on its regular priced services and only accepts cash payments.

Another branch in Sichuan Road N. confirmed that they are no longer accepting prepaid membership cards. However, cash payments are accepted, they said.

A massage worker identified with surname Wu said more than 2,000 workers were left unpaid in the last two to three months. Some of the managers and other employees did not receive salaries for five to six months. He also added they were unable to locate their boss and only a few branches are operating.

Wu said they were cutting losses by taking cash and is better than doing nothing. He said he went back to work at Congen in April and was only paid twice.

Phone calls were also made to Congen Massage headquarters in Wuzhong Road. However, calls regarding the matter were not answered. Shanghai Administration for Industry and Commerce was not ready to comment on the issue.

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