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 indicates corruption. This is part of a wider crackdown that has seen over a dozen executives from various sectors like technology, finance, and real estate be detained or investigated this year.
Shanghai Industrial Investment is an infrastructure, property, and pharmaceuticals company, making it a prominent player in the Chinese business community. Several other senior executives from the company have also resigned recently, potentially due to ongoing investigations. One such executive is former senior executive vice president at the Industrial and Commercial Bank of China, Zhang Hongli, who is also under investigation by the CCDI. 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 business community in China.
Fred Hu, CEO of Primavera Capital, recently spoke out about the need for legal reform in China to protect entrepreneurs from arbitrary political interference and prosecution. This shows the need for safeguards and protections for business leaders at a time when many are coming under scrutiny from the anti-corruption watchdog.