Harry Cassin Publisher and Editor

Andy Spalding Senior Editor

Jessica Tillipman Senior Editor

Richard L. Cassin Editor at Large

Elizabeth K. Spahn Editor Emeritus 

Cody Worthington Contributing Editor

Julie DiMauro Contributing Editor

Thomas Fox Contributing Editor

Marc Alain Bohn Contributing Editor

Bill Waite Contributing Editor

Shruti J. Shah Contributing Editor

Russell A. Stamets Contributing Editor

Richard Bistrong Contributing Editor 

Eric Carlson Contributing Editor

Bill Steinman Contributing Editor

Aarti Maharaj Contributing Editor

FCPA Blog Daily News

« Do only the 'little people' need to comply? | Main | UK police investigating Shell, ENI Nigeria deal »

China Corruption Blotter (July 26, 2013)

Li Daqiu, vice chairman of the Guangxi provincial Political Consultative Conference, is under investigation for violations of party discipline. Authorities have not disclosed details of Li’s wrongdoings but local media reports quote sources close to Li as saying that Li’s relatives have reaped huge benefits from local mining and infrastructure industries.

Du Pingxun, former chief of the Wanpingcheng area office in Beijing’s Fengtai district has been sentenced to death with a two-year reprieve for embezzling $3.41 million and accepting $547,481 in bribes from six public and private organizations  including Beijing Jinshi Zhuangyuan Investment Management Co., Ltd and Beijing Flower City Real Estate Development Co., Ltd.

Chen Shuocheng, a sales manager at the Guangzhou (Guangdong province) branch of China Chemical Produce Stock Co., Ltd, was tried for misappropriating $4.2 million in public funds which he used for personal investments. Chen and his subordinate did this by selling $2.3 million worth of company products and defrauding the company of loans worth over $1.9 million. They confessed to procurators after their investment failed. 

Sanya’s (Hainan province) discipline organ has launched a probe into local police officer Yang Jie following a Weibo post alleging Yang had lost over $163,033 in Macau’s casinos. The allegation, reportedly posted by his girlfriend on her Weibo account, also mentioned that Yang had bought luxury timepieces and jewellery. Investigations have yet to uncover records of Yang travelling to Macau. 

The Deputy Head of Puyang County in Henan province, Lin Jinhe, has been dismissed from office for illegally running a chemical plant. This was uncovered when China National Radio reported that Linshi Chemical New Energy Material Co., Ltd, headed by local deputy government chief, Lin, had been illegally operating for two years without an environmental impact assessment. Lin violated party discipline banning government officials from owning private businesses. 

Lei Yi, the chairman of Yunnan Tin Co., Ltd, the world's largest tin producer, has been placed under investigation for alleged serious disciplinary violations. Neither the company nor authorities released further details about the probe, but earlier reports state that the company was trapped in debt crisis and financial losses. In 2010, the company was required by Ministry of Finance to rectify its financial irregularities including $1.5 million tax evasion in 2008.

Geng Jiangping, deputy chief of Zhejiang’s Yuhuan County publicity department, was tried for issuing project completion approvals to poor quality residential buildings constructed by Zhejiang Yuhui Real Estate Co., Ltd in exchange for $48,967 in bribes. Geng was arrested in 2012 after two buildings in Yuhui Lanwan International Community collapsed in 2011. Geng also accepted $8,151 from another developer in return for allowing him to build commercial flats beyond the allowable quota.


Hui Zhi is a Senior China Analyst with ethiXbase and the China Compliance Digest.

Reader Comments

There are no comments for this journal entry. To create a new comment, use the form below.

PostPost a New Comment

Enter your information below to add a new comment.

My response is on my own website »
Author Email (optional):
Author URL (optional):
All HTML will be escaped. Hyperlinks will be created for URLs automatically.