Leon Cycles Owner Charged with €26 Million Fraud

Paris, France

The owner of global e-bike company Leon Cycles, which has two retail outlets in Australia and many retail partners in this country, has been arrested and charged with fraud for allegedly evading the European Union’s Trade Defence Instruments.

The company’s China-based owner, Lijun Ding, was detained last month by customs officers in France and is accused of fraud estimated at €26 million by evading e-bike anti-dumping duties.

Customs authorities reportedly found goods imported by Leon Cycle that were declared as coming from South Korea rather than China, to incur lower anti-dumping and anti-circumvention duties.

According to French media platform Le Parisien, the bikes were also allegedly delivered in kit form and declared as parts, which attract a lower VAT (Value Added Tax) rate.

Authorities claim Lijun has been evading the anti-dumping and anti-circumvention duties since 2018.

Leon Cycles has its head office in the German city of Hanover and is part of Leisger Holdings Ltd, which owns the e-bike brands NCM, Elewave and ET.Cycle.

Its Australian operations have a headquarters in Melbourne, along with stores in Perth and Adelaide.

Leon Cycles also operates in the French, German, Italian, Spanish and US markets.