In recent years, China’s anti-corruption body, the Central Commission for Discipline Inspection (CCDI), has been cracking down on suspected violations of law and discipline, which often indicate corruption. One business leader currently under investigation is Zhou Jun, the president of Shanghai Industrial Investment. This infrastructure, property, and pharmaceuticals company is a prominent player in the Chinese business community.
Zhou has resigned from several subsidiaries of the state-owned group due to ongoing investigations by the CCDI. These investigations are part of a larger crackdown that has seen over a dozen executives from various sectors like technology, finance, and real estate be detained or investigated this year. The climate within the business community in China is one of caution and concern as a result.
In addition to Zhou, other high-profile individuals under investigation include former senior executive vice president at Industrial and Commercial Bank of China, Zhang Hongli, and tech entrepreneur Chen Shaojie. These developments have raised concerns among international consulting firms about the future of entrepreneurship in China.
To address these concerns and protect entrepreneurs from arbitrary political interference and prosecution, Fred Hu, CEO of Primavera Capital, has spoken out about the need for legal reform in China. 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.