The former president of the state-owned China Everbright group, which specializes in asset management, is being investigated for “serious violations”, the authorities said on Wednesday, when the Chinese financial sector seems to be targeted by a anti-corruption campaign.
Li Xiaopeng is suspected of “serious violations of discipline and the law”, the powerful disciplinary bodies of the Chinese Communist Party and the state announced in a joint statement.
The wording often refers to corruption and those placed under investigation usually end up being convicted.
No details on the nature of the alleged offenses or crimes were provided.
China Everbright’s shareholder is the Chinese Ministry of Finance.
The announcement suggests a new wave of recovery in the hands of the financial sector by the Chinese authorities, after the volatilization of the boss of the Chinese private investment bank China Renaissance, Bao Fan.
Unreachable since February, he is “cooperating” with the authorities in an investigation, according to his group, which specializes in investments in tech.
This disappearance is reminiscent of that of the Canadian tycoon of Chinese origin, Xiao Jianhua, who vanished in 2017 from a hotel in Hong Kong.
Reputed to be close to the top Chinese communist leaders, he was at the time of his arrest one of the richest men in the country, with a fortune estimated at 6 billion dollars.
The ex-businessman was finally sentenced last year to 13 years in prison for fraud.
Chinese President Xi Jinping has been leading an extensive anti-corruption campaign for a decade, particularly in the public sector. It is also a political tool, intended to bring down rivals, say its critics.
When he came to power, Mr. Xi promised to bring down the “tigers” (senior leaders) and “flies” (lower officials) eager for bribes and various embezzlements.