May 11, 2021

Volume XI, Number 131


May 10, 2021

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Monthly China Anti-Bribery Update Report – November 2016

1. New laws or regulations

State level: No developments.

Local level (Beijing & Shanghai): No developments.

Communist Party Rules: No developments.

2. Upcoming laws or regulations

No developments.

3. Government Action

(1) It was reported on November 4, 2016 that Zhuang Yao (“Zhuang”), the former Chairman of Guangdong Materials Group Co., Ltd. (“GMGC”), a state-owned enterprise, attended his first trial from November 1 to 3 before the Intermediate People’s Court of Maoming City. Zhuang is accused of bribe-taking, embezzlement, and intentional destruction of accounting records. The ill-gotten gains in question amount to more than RMB 570 million (USD 82.7 million).

Zhuang was accused of abusing his position as the General Manager, Deputy Party Secretary, Chairperson, and Party Secretary of GMGC to seek large and improper interests for others from 2002 to 2012. In return, Zhuang accepted bribes amounting to RMB 16.5 million (USD 2.39 million). Zhuang was found guilty, alone or in collusion with others, of illegally embezzling public properties totaling RMB 554 million (USD 80.39 million) from 1999 to 2009. In addition, in violation of law, Zhuang destroyed a real estate company’s accounting books together with others to hide the corruption.

The court will render its judgement on another given date.

(2) On November 11, 2016, Zhao Liping (“Zhao”), the former Deputy Chairman of the Chinese People’s Political Consultative Conference of Inner Mongolia Autonomous Region, was sentenced to death by the Intermediate People’s Court of Taiyuan City, Shanxi Province for deliberate murder, bribery-taking, the illegal possession of a gun and ammunition, and the illegal storage of explosives. Plus, Zhao’s personal properties were also confiscated, amounting to RMB 2 million (USD 290,218).

The court found that Zhao was guilty of shooting to death a victim surnamed Li in Chifeng City, Inner Mongolia. During the on-site investigation by the Public Security Bureau, two guns along with 49 bullets were found and 91 detonators were also seized at Zhao’s office. In addition, from 2008 to 2010, Zhao took advantage of his position as the Head of the Public Security Bureau of Inner Mongolia to seek benefits for others in company operations and promotions. In return, Zhao received properties valued at RMB 23.68 million (USD 3.43 million).

(3) It was reported on November 11, 2016 that Zhu Mingguo (“Zhu”), the former Chairman of the Chinese People’s Political Consultative Conference (“CPPCC”) of Guangdong Province, was sentenced by the Intermediate People’s Court of Liu Zhou City, Guangxi Zhuang Autonomous Region to death with 2 years’ suspension of execution, plus deprivation of political rights for life, and confiscation of all personal properties for taking bribes and holding large amounts of properties from unidentified sources.

The court found that from 2004 to 2014, Zhu, directly, or indirectly via his wife, accepted various kinds of properties amounting to RMB 142 million (USD 20.60 million) for taking advantage of his positions as a Member and as the Deputy Secretary of the Standing Committee of Guangdong Province, Secretary of Committee for Discipline Inspection, Secretary of Political Bureau Standing Committee, and Chair of the CPPCC of Guangdong Province in project contracting, land development and position promotion in consideration for bribes. In addition, Zhu failed to identify any legitimate source for large amounts of properties amounting to RMB 91.04 million (USD 13.2 million).

(4) It was reported on November 21, 2016 that Wang Dengji (“Wang”), the former Head of the Bureau of Land and Resources of Shaanxi Province, had been sentenced by the Intermediate People’s Court of Langfang, Hebei Province to life imprisonment for taking bribes, plus deprivation of his political rights for life and confiscation of his personal property.

Wang was alleged to have taken advantage of his positions as the Mayor of Yulin City and as the Head of Shaanxi Land Bureau to seek benefits for others in the integration of mineral resources, the granting of mineral rights, and construction engineering. In return, Wang accepted bribes amounting to RMB 66.24 million (USD 9.62 million). This case involves the largest amount of ill-gotten gains ever in Shanxi Province.

(5) On November 22, 2016, Chen Tiexin (“Chen”), the former Deputy Chairman of Liaoning People’s Political Consultative Conference, was sentenced by the Intermediate People’s Court of Harbin, Hei Longjiang Province for taking bribes to 13 years plus 9 months imprisonment, plus confiscation of RMB 2 million (around USD 290,218) from his personal properties.

While acting as the Municipal Party Secretary of Chaoyang City from 2008 to 2013, Chen was found guilty of taking advantage of his position to assist others in business development, project construction, financing and loan, job promotion, etc. In return, Chen accepted properties from others valued at RMB 22 million (USD 3.19 million). Chen was given a lighter sentence due to his confession and his cooperation with the investigation authorities.

4. Other


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About this Author


Rebekah Poston, after serving as an Assistant US Attorney with the US Attorney's Office in Miami, Florida and as a Special Attorney with the Department of Justice's Organized Crime and Racketeering Section in Cleveland, Ohio, now focuses her practice on defending complex domestic and international white collar criminal cases. She has successfully represented multinational, public and private corporations, brokerage firms and banks, airlines and shipping lines, maritime brokers, medical device and pharmaceutical companies and industrial manufacturing and agricultural...

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