The China Insurance Regulatory Commission (CIRC) has decided to seize control of insurance and financial giant Anbang Insurance for a year.

Also, the company’s chairman Wu Xiaohui had been charged with fraud and embezzlement by the regulator.

The regulator on its website said that the decision is aimed at safeguarding consumer interests as it had discovered illegal operations at the insurer that may endanger the company’s solvency.

To oversee its restructuring, the Chinese has formed a 31-member committee that will be headed by He Xiaofeng, director of the agency’s reform and development department.

The commission’s oversight could be extended for a second year if Anbang Insurance failed to complete an equity restructuring and resume operations, the statement added.

Even during the restructuring, CIRC will maintain Anbang as a private enterprise. The insurer’s debts and obligations will not be impacted, the regulator assured.

The Chinese deal maker is best known for its purchase of New York’s landmark Waldorf Astoria hotel 2015.