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Thursday
Apr032014

More China Mobile execs investigated for graft 

Three senior executives from state telecom carrier China Mobile Ltd at its Hebei subsidiary are under investigation for corruption.
 
The Central Commission for Discipline Inspection said the three executives are former general manager of China Mobile’s Hebei branch, Zhang Liande (pictured), and two assistants to the general manager, Ding Zhanwu and Zhang Lei.

Zhang Liande also served as head of Urban Construction and Resources Committee of Hebei provincial People’s Congress.

No details have been released about the investigations.

Since 2009, at least 14 senior executives at China Mobile or its subsidiaries have been investigated or prosecuted for corruption.

The majority of corruption cases at China Mobile are linked to equipment and service procurement, according to First Financial Daily.

Critics have blamed the government-imposed monopoly for breeding corruption in the state firm. Last year, in a bid to boost competitiveness in the industry, authorities announced a pilot project for domestic private companies to buy mobile network resources from the three state telecom operators and sell to users after rebranding.

In 2011, China Mobile’s former human resources director, Shi Wanzhong, received the death penalty for taking bribes from Siemens AG in exchange for equipment purchase deals.

In November, the company’s former vice president Lu Xiangdong was sentenced to life in prison for taking more than 25 million yuan ($4 million) in bribes.

Sources: Caixin, First Financial Daily (第一财经日报), The Telegraph, China Daily

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Hui Zhi is the Senior Manager for Content with the China Compliance Digest, where a version of this post first appeared.