Some 18 people, including Quanjian Company's real controller, were arrested in line with the law, Tianjin Daily reported on Monday.
Earlier on last Tuesday, Tianjin police started an investigation into the Quanjian Nature Medicine Technology Development Co., Ltd., following an online accusation that the company had made exaggerated advertisements and was involved in a pyramid scheme.
The investigation has found that the 51 years old suspect surnamed Su, is the actual head of the company. Two other suspects were on guaranteed pending trial according to the law.
Further investigation is underway.
In December, popular science WeChat account Dingxiangyisheng (Lilac Doctor) posted a story about Zhou Yang, a 4-year-old girl who had been diagnosed with cancer in 2012 and who later passed away after taking Quanjian's "anti-cancer medicine.” Since the story first emerged, the Tianjin-based medicine company has fallen under intense public scrutiny demanding harsher penalties for companies that manufacture fake drugs.