The company accused of covert attempts to gain control of a strategically important West Australian rare earths miner has ties to two major Chinese conglomerates tasked with maintaining a stranglehold on rare earths supply.

Singapore-registered Yuxiao Fund – which is attempting to assert its influence over ASX-listed Northern Minerals – has signed a co-operation agreement with China Northern and Shanghai-listed Shenghe Resources in front of a host of Communist Party officials.