Leon Wang, executive vice president in charge of China and the broader Asian region, is being detained while the Chinese government is probing AstraZeneca employees, the drugmaker says.

Key Takeaways AstraZeneca shares declined Tuesday after reports that senior executives in China were potentially implicated in an insurance fraud case.AstraZeneca China President Leon Wang is cooperating with Chinese authorities,

Two current and two former senior AstraZeneca Plc executives in the group’s China unit are under investigation in a probe into alleged breaches of laws around drug importation and data privacy, the company said.

BMO Capital Markets analyst Etzer Darout in a note to investors said the insurance fraud probe represents a “headline risk” to AstraZeneca, but contends that the share selloff is “overdone” and likely a knee-jerk reaction by investors.

Chinese authorities detained the head of AstraZeneca’s China business last week, a move that threatens to dim foreign business confidence in the country further. The detention follows an investigation into the alleged illegal importation and sale of a cancer drug,

AstraZeneca Plc shares plunged in London, erasing about £14 billion ($18 billion) of market value, amid escalating concerns over a Chinese probe into the UK drugmaker.

Pharmaceutical giant AstraZeneca said Thursday that the head of its China operations had been detained, after reports the firm was under investigation for potentially illegal data collection and drug imports.