China Probes Tencent-Backed Property Broker KE

China’s market regulator has begun an investigation into suspected anti-competitive practices by KE Holdings, the country’s biggest housing broker whose top backer is Tencent Holdings, two people who know of the matter said.

The investigation is the latest into China’s big so-called “platform” companies that match sellers and buyers, several of which have been accused by regulators of exploiting consumers.

KE Holdings, which operates housing platforms Lianjia and Beike in China, was warned last month by the State Administration for Market Regulation (SAMR), along with dozens of internet companies, against any abuse of market dominance and was told to conduct self-inspections. 

SAMR has been formally investigating in recent weeks whether KE Holdings forces real estate developers to list housing information only on its platforms, including Lianjia and Beike, a tactic known as “choose one from two,” the people said, declining to be named because the information is not public.

The investigation has not been publicly announced. It is not known when it will be wrapped up or what it could entail for KE Holdings.