On International Human Rights Day, Dec. 10, the US Department of the Treasury announced that it would impose sanctions on four entities and individuals of the Chinese Communist Party involved in the persecution of Uyghurs in Xinjiang. Among them is Shang Technology (SenseTime Group), which is engaged in monitoring Xinjiang Uighur.
Under the sanction, U.S. individuals and companies will not be allowed to invest in the Chinese company.
In addition, Xinjiang Uygur Autonomous Region government, Shang Technology’s acting chairman Alken Tuniya and former chairman Shohrat Zakir are also subject to sanctions, for allegedly detaining more than 1 million Uyghurs.
In its statement, the U.S. Department of the Treasury said that the Chinese Communist government used the facial recognition system developed by SenseTime to monitor Uyghurs in Xinjiang. When the company applied for a patent license, it emphasized that its technology can identify Uighurs with beards, sunglasses, and masks.
As early as 2019, SenseTime’s affiliate “Beijing SenseTime” was included in the U.S. Department of Commerce’s export control entity list.
The Wall Street Journal on Dec. 11 revealed that this may cause the delay of SenseTime’s plan to go public on Dec. 17 in Hong Kong.
According to the prospectus, Shangtang Technology intends to issue 1.5 billion new B common shares globally.
People familiar with the matter revealed that SenseTime is trying to smoothly maintain its initial public offering.