China’s graft watchdog investigates former Sinopec chairman

Chinese authorities have placed the governor of Fujian province, who is also the former chairman of China Petroleum and Chemical Corporation, under investigation on suspicion of “serious disciplinary violations”, China’s anti-graft watchdog has said.

Su Shulin had been Fujian governor since 2011 and also served as deputy Communist Party chief in Fujian, the Central Commission for Discipline Inspection said in a statement late on Wednesday.

Su was chairman of China Petroleum and Chemical Corporation, or Sinopec Corp (0386.HK), before his appointment in Fujian, one of China’s wealthiest provinces on the coast across from Taiwan.

The commission did not give details about Su’s suspected ‘disciplinary violations’. The accusation is used regularly as a euphemism for corruption.

President Xi Jinping has carried out a sweeping campaign against corruption, waste and extravagance in official ranks since he assumed power three years ago.

Su, 53, was also previously the vice president of CNPC, the parent of PetroChina (0857.HK)(601857.SS), and was seen as a rising star within the party leadership because of his accomplishments and relatively young age.

Several sources told respected financial magazine Caixin that Su’s case was related to discoveries made about Sinopec by inspection teams from the government’s audit office.

It was not possible to reach Su for comment and it was not immediately clear if he has any legal representation.

Xi has targeted the energy industry in his far-reaching campaign against graft. CNPC was a power base for disgraced former domestic security chief Zhou Yongkang, who was jailed for life for corruption in June.

Source: Reuters