Society

2 stand trial for Shanghai building collapse

(Xinhua)
Updated: 2010-03-01 15:38

SHANGHAI - Two people in connection with a building collapse that killed one worker in Shanghai last June stood trial on Monday for corruption, said local authorities.

The trials of Zhang Zhiqin, general manager of the building's developer, the Meidu Real Estate Company, and Que Jingde, the second largest shareholder of the company, were held at the Shanghai Municipal No 1 Intermediate People's Court. No verdict was given on Monday.

Zhang and Que were appointed to take charge of Meidu by the town government in December 1995, said a court statement.

Zhang and Que were charged with embezzling more than 40 million yuan ($5.9 million) in company funds from September 2000 to April 2001, said the statement.

Zhang was charged with diverting 440 million yuan of company funds to his family's businesses from March to June in 2009, it said.

He was also charged with negligently causing a serious accident by using unqualified contractors and ordering them to pile soil beside an incomplete building.

The nearly-completed 13-story building in the Lotus Riverside development in Minhang District toppled in the morning of June 27. It killed a worker and caused direct losses of 19.46 million yuan.

Investigations showed that the developers, rushing to finish the project, were digging the basement and piling soil beside the building, which caused an imbalance and brought the building down.