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Chinese official fired over graft | Chinese official fired over graft |
(about 1 hour later) | |
The most senior Chinese Communist Party official in Shanghai has been sacked for corruption, state media reported. | |
Party secretary Chen Liangyu was dismissed after a high-level probe into alleged misuse of the city's pension fund, Xinhua news agency said. | Party secretary Chen Liangyu was dismissed after a high-level probe into alleged misuse of the city's pension fund, Xinhua news agency said. |
He has also been suspended from the powerful Politburo, Xinhua adds. | He has also been suspended from the powerful Politburo, Xinhua adds. |
The financial scandal appears to be one of the biggest to hit Shanghai since economic reforms began in China three decades ago, a BBC correspondent says. | The financial scandal appears to be one of the biggest to hit Shanghai since economic reforms began in China three decades ago, a BBC correspondent says. |
The government investigation has centred on the alleged misuse of at least one third of the 10bn yuan ($1.2bn) pension fund to make illegal loans and investments in real estate and other infrastructure deals. | |
Chen Liangyu is accused of seeking benefits for companies and relatives and protecting people around him "who had seriously violated discipline and law", Xinhua reported. | |
His case has "created an odious political influence," the report added. | |
Party Congress | |
The probe has already led to the removal and detention for questioning of the city's social security and labour chief, a district governor and several prominent businessmen. | |
Chen Liangyu is the most senior official to be sacked since President Hu Jintao became party secretary in 2002. | |
The sacking comes ahead of the key Communist Party Congress later this year when Hu Jintao will be hoping to consolidate his leadership. | |
Until now, Shanghai has been considered a stronghold for officials loyal to Mr Hu's predecessor, Jiang Zemin. | |
Chen Liangyu is being temporarily replaced by Shanghai Mayor Han Zheng, Xinhua reports. |