The Central Commission for Discipline Inspection (CCDI) is currently investigating Shanghai Industrial Investment president Zhou Jun for suspected serious violations of law and discipline, which typically indicate corruption. This crackdown on corrupt business leaders has seen over a dozen executives from various sectors like technology, finance, and real estate be detained or investigated this year. Zhou has resigned from several subsidiaries of the state-owned group, potentially due to these ongoing investigations.
Shanghai Industrial Investment is an infrastructure, property, and pharmaceuticals company that operates in China’s business community. Several other prominent business leaders are also under investigation by the CCDI, including former senior executive vice president at the Industrial and Commercial Bank of China, Zhang Hongli. Tech entrepreneur Chen Shaojie is rumored to be under investigation as well, causing concern in international consulting firms. These developments have led to a climate of caution and concern within the Chinese business community.
In light of these developments, Fred Hu, CEO of Primavera Capital, has spoken out about the need for legal reform in China to protect entrepreneurs from arbitrary political interference and prosecution. This highlights the importance of safeguards and protections for business leaders at a time when many are coming under scrutiny from the anti-corruption watchdog.