China: top official involved in $6 million automotive bribe image

Just as the local monopoly watchdogs have increased their offensive to enforce anti-trust legislation among carmakers and suppliers, a Chinese prosecutor announced that a senior legislator that was part of China’s economic planning ministry and his son took bribes.

The “gifts” were received to aid an automotive company, with Liu Tienan, 59, former deputy head of the National Development and Reform Commission, and his son Liu Decheng receiving 35.6 million yuan ($5.8 million) in bribes from 2002 to 2012.

According to the postings of Langfang City Intermediate People’s Court’s microblog, Liu received money from Guangzhou Automobile Group Co. to pave ways for the company’s joint venture projects with Toyota. His son, meanwhile, took a job at Guangzhou Auto and was paid a salary of 1.2 million yuan without actually working there. He was also offered 10 million yuan after his father helped a person establish a Guangzhou Auto-Toyota 4S shop.

Liu was forced out of his position at China’s NDRC unit after in December 2012 Luo Changping, deputy managing editor of Caijing Magazine, accused the top official of taking bribes. The Communist Party’s disciplinary unit announced through state-controlled Xinhua News Agency in May 2013 that Liu was being investigated. China’s president Xi Jinping has triggered an anti-corruption campaign designed to net both “tigers and flies” and has so far echoed across China, catching officials from all provinces and cities.

Via Bloomberg