China’s top anti-graft watchdog, Central Commission for Discipline Inspection (CCDI), vowed to investigate and punish corrupt behaviors behind the disorderly expansion of capital and platform monopolies and cut the link between power and capital, as reported by Reuters on January 22. The commission also outlined future work emphasis on enforcing strict financial discipline, tackling corruption in infrastructure construction and public resource transactions, as well as corruption supervision in the financial sector. Citing President Xi Jinping at a CCDI meeting on January 18, the commission shall show zero tolerance for corruption.

The NRDC launched the anti-graft campaign in the tech and internet sector with a new policy document on January 19, which called for revision and legislation to address monopolies and data security in data-driven online platforms. The document also reiterated China’s commitment to curbing the disorderly expansion of capital, which it sees as a threat to social stability, the financial market, and national security. To coordinate with the campaign, China’s Central Television (CCTV) aired a five-part documentary series, Zero Tolerance. The hot broadcast revealed the corrupt behaviors of former party secretary of Chinese technology hub Hangzhou, Zhou Jiangyong, who received bribes from two unnamed private companies and helped them obtain lands at discounted prices and enjoy preferential policies. The unnamed companies are allegedly affiliated with Alibaba’s [BABA:US] financial arm, Ant Group. On January 25, another tech giant of China, Tencent Holdings [0700:HK], reported its anti-graft achievement of firing nearly 70 staff over bribery and misappropriate behaviors in 2021 and blacklisted 13 related companies.

Sources:

https://www.reuters.com/legal/litigation/china-says-will-probe-corrupt-behaviour-behind-internet-platform-monopolies-2022-01-21/?taid=61eb665749091a0001596478

https://www.globaltimes.cn/page/202201/1246320.shtml

https://www.reuters.com/markets/funds/ant-group-is-connected-former-hangzhou-party-secretarys-corruption-case-ft-2022-01-21/

https://www.reuters.com/technology/chinas-tencent-fires-70-staff-blacklists-13-firms-anti-graft-campaign-2022-01-25/