Xi'an shopping mall urged to improve management after businessman's tragic death

A joint investigation team from Xi'an, the capital of Shaanxi province, has advised a local shopping mall to enhance oversight of its commercial operations and increase engagement with its business tenants. This recommendation followed a tragic incident where a businessman fell to his death at the venue.

On July 1, a businessman surnamed Yan fell from the seventh floor of Saga, an international shopping center in the city's Yanta district, which opened in October 2013. The next day, police ruled out any criminal involvement.

The joint investigation confirmed the absence of criminal elements in the case and provided further details. Yan, a legal representative of a trade company, had no contact with others after entering the mall. Surveillance footage showed he posted his last WeChat message at 11:57 am, discarded his smartphone in a trash can, and fell from the seventh floor at 12:05 pm. Emergency responders confirmed his death at 12:27 pm.

In response to online speculation about a possible commercial dispute between the mall management and Yan's business, the investigation thoroughly reviewed the situation. It revealed that in 2020, Yan's company participated in the mall's anniversary promotion with five retail outlets. Consumers could use special event vouchers from September 29, 2020, to July 31, 2021. In April 2021, mall management discovered that Yan's stores were improperly redeeming these vouchers, violating promotion rules.

According to a contract signed in August 2020 between Yan's company and the mall, the company faced a penalty of 10 times the value of any improperly obtained promotional vouchers, and the mall could terminate the contract early. The compensation amount was set at 11.55 million yuan ($1.71 million). Attempts to negotiate a reduced penalty failed.

The investigation team found that the alleged voucher fraud amount cited by the mall was actually the sales revenue from the orders in question, and the contract did not specify how this sum should be calculated. The penalty appeared disproportionately high.

By 2026, Yan's company was operating only four stores in the mall, two of which had leases expiring on June 30. The mall informed the company via e-mail on June 2 and 11 that the leases would not be renewed. The remaining two stores closed when their leases expired on July 31.

The investigation pointed out that the mall did not adequately communicate with Yan before deciding not to renew the leases. Although there was a contractual basis for the decision, the mall did not fully consider the circumstances of a long-term business partner. The team urged the mall to improve its management practices.

Additionally, the investigation revealed that Yan had a history of depression, with five documented medical visits and previous suicide attempts. Since the incident, the investigation team has reached out to Yan's family, offering practical support and legal advice.