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Multi-billion-dollar charges linked to China rail chief: media
by Staff Writers
Beijing (AFP) Sept 09, 2013


PetroChina denies more officials probed for graft
Shanghai, China (AFP) Sept 09, 2013 - PetroChina, the listed arm of China's largest oil producer China National Petroleum Corp (CNPC), rejected a media report Monday that said two of its executives were under investigation for graft.

The China Business News reported that PetroChina vice president Sun Longde and director Wang Guoliang were "taken away" by authorities last Thursday.

But PetroChina said in a statement: "The news does not conform with the facts.

"The company's director Wang Guoliang and vice president Sun Longde are performing their duties as normal."

The newspaper also said CNPC planning department manager Wu Mei and two officials from another CNPC subsidiary had been taken away by authorities.

PetroChina previously announced that three executives were under investigation for alleged "discipline violations", a term that typically refers to corruption.

State media have reported that Wang Yongchun, one of CNPC's vice presidents, was also the subject of a government probe.

And Jiang Jiemin, a former CNPC chairman, is under investigation and has been removed from his most recent post as director of China's supervisory body for state-owned firms, the official Xinhua news agency said last week.

China's president Xi Jinping has vowed to crack down on corruption at all levels of the government, calling graft a threat to the future of the ruling Communist party.

Trading in PetroChina shares was suspended on Monday morning in Hong Kong and Shanghai, where the firm is listed, but resumed in the afternoon after the company issued its statement.

PetroChina closed up 2.03 percent at 8.05 yuan ($1.32) in Shanghai and rose 1.26 percent to HK$8.81 ($1.14) in Hong Kong.

A businesswoman linked to China's disgraced railway minister faces charges of illegal business activities worth 180 billion yuan ($29 billion), state-run media said Monday, indicating far vaster industry corruption than previously revealed.

Ding Shumiao will face trial in Beijing for bribery and illegal business activities after she "intervened in bidding for dozens of railway projects", the China Daily reported, citing prosecutors.

The scale of the charges is larger than anything prosecutors have previously linked to corruption associated with the railway sector in China, where the high-speed network, now the world's longest, has been a flagship development project of the ruling Communist Party.

Former railway minister Liu Zhijun was given a suspended death sentence in July for accepting a total of 64.6 million yuan in bribes to help 11 people secure contracts and promotions.

The China Daily said Ding was accused of giving Liu more than 49 million yuan and arranging sexual favours for him, while Liu helped 23 businesses recommended by her to win contracts for more than 50 rail projects, the China Daily said.

The alleged total in inappropriate activities were equivalent to a quarter of China's entire national railway investment in 2010, it added.

Liu was sacked in 2011 after eight years in the post and being celebrated as "father" of China's vastly expanded rail network.

In March the railways ministry was disbanded, with its administrative functions handed to the transport ministry and its commercial role given to a new China Railway Corporation.

Last week a top rail official Zhang Shuguang was charged with accepting bribes worth 47 million yuan over 11 years, while another senior figure Su Shunhu stood trial for allegedly receiving 24 million yuan in bribes.

China's Communist leaders have vowed to crack down on rampant official corruption, which has stoked popular resentment.

The anti-corruption campaign has also targeted a former senior economics policymaker, top executives from a major state-owned oil firm and numerous low-ranking officials, but has not yet introduced systematic reforms.

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