First arrest in Shanghai fund scandal
Updated: 2006-10-23 06:20
SHANGHAI: Shanghai tycoon Zhang Rongkun has been
arrested for his alleged involvement in the city's social security fund scandal,
according to a company statement. [Full coverage on social
Zhang, chairman of the Fuxi Investment
Holding Co Ltd, is the first person to be arrested as the investigation
continues into the deepening scandal. His arrest was announced in a company
statement on Saturday, the statement did not describe the charges against him.
The company said in August that Zhang was assisting the investigation. Zhang,
33, was ranked 16th richest man in China by Forbes magazine last year, with a
fortune of US$605 million.
Last week he was dismissed from his post as a member of the National
Committee of the Chinese People's Political Consultative Conference.
His arrest follows the sacking last month of Chen Liangyu, secretary of the
Shanghai Municipal Committee of the Communist Party of China, for his
involvement in the scandal.
Qiu Xiaohua, former head of National Bureau of Statistics (NBS), was the
latest senior official to be found to "have seriously violated disciplines" in
the Shanghai social security fund fraud, Li Xiaochao, NBS spokesman said on