According to National Business DailyLi’s financial difficulties returned to public focus after a lawsuit filed late last year by the hospital’s landlord. The landlord, surnamed Zhang, accused Yanran Angel Children’s Hospital, operated by Li, of failing to pay rent for five years, in breach of its lease agreement. A court subsequently ruled in Zhang’s favor and ordered the hospital to pay the outstanding 26 million yuan (US$3.7 million).

Li is personally responsible for the hospital’s expenditures, including rental payments.

Following the ruling, Li posted a video on social media on Jan. 14 saying he accepted the court’s decision. He explained that the hospital had been unable to meet its obligations after rent doubled compared with earlier years. Although the increase placed a heavy burden on operations, Li said he chose to continue leasing the premises because relocating the hospital would have incurred even higher costs.

Li said he had previously messaged the landlord to explain that he had accrued about 40 million yuan in personal debt in recent years due to failed business ventures and had been subject to court-enforced repayments. While continuing to pay staff salaries and comply with court orders, he requested more time to settle the rent, warning that without an alternative he might be forced to close the hospital after 16 years of operation.

Yanran Angel Children’s Hospital was founded by Li and his former wife, Hong Kong pop diva Faye Wong, to help children born with cleft lip and palate after their daughter Li Yan was diagnosed with the condition. Wong later withdrew from the hospital’s management and operations.

According to Jimu Newsthe hospital has completed about 11,000 surgeries, including 7,000 free operations for underprivileged children.

In his video, Li said he had spent the past five years torn between “persisting in keeping the hospital open or shutting it down,” admitting that emotion had often outweighed reason. He said he had now been forced to accept suspending the charity’s operations, but hoped to complete all surgeries already scheduled and, if possible, continue helping at least one child each year.

After the video circulated online, many Internet users called for donations to help clear the hospital’s rental arrears. Supporters said they were moved by Li’s long-standing charitable work.

“He may not be good at business, but his heart deserves respect,” one commenter wrote.

Another shared: “A friend’s child received free surgery through Yanran Angel Children’s Hospital. He’s now 19 and very handsome.”

A third added: “He has helped so many children, now he deserves help in return.”

Li, 55, is best known for his roles in popular Chinese television dramas such as “The Legend of the Condor Heroes” and “The Smiling, Proud Wanderer.” He stepped away from acting in 2011 to focus on business ventures.

According to SwampLi has struggled with mounting debt in recent years. By 2025, his total liabilities linked to affiliated companies reportedly exceeded 450 million yuan, with some reports claiming he was unable at times to pay employee salaries. Despite reportedly earning more than 200 million yuan over six months through livestream sales, his income has not been sufficient to cover his debts.