Cable-maker paid out bribes in Xi'an subway scandal

A company that manufactured substandard electrical cables used in subways in Xi'an, Shaanxi province, faked test reports for its product and bribed subway contractors and supervisory officials, according to a statement on Monday by the State Council, China's Cabinet.

Shaanxi Aokai Cable Co made only the first 15 meters on each end of the cables according to the required standards. It slimmed the long center sections of the cable to increase profit, the statement said.

"Most of the product didn't go through testing by quality authorities. The company practiced fraud and forged test reports by fabricating official seals," the statement said.