. China News .




SINO DAILY
Chinese insurer hits out at Wen Jiabao report
by Staff Writers
Beijing (AFP) Nov 26, 2012


A Chinese insurance giant threatened legal action on Monday over a media report linking a key government decision about the firm to shareholdings held by relatives of Premier Wen Jiabao.

The New York Times said Sunday that the chairman of Ping An Insurance wrote personally in 1999 to Wen, who was vice-premier at the time, and met his wife as the government mulled a decision on whether to split up the company.

After the lobbying, it said, the government granted Ping An a waiver from a requirement that large financial companies be broken up.

Following the decision an investment vehicle -- later controlled by relatives of Wen -- bought shares in Ping An at a significant discount, long before most other investors could buy into the stock, the report said.

The company has since grown to become China's second-largest life insurer, and the Wen family shareholdings rocketed in value, peaking at $2.2 billion in 2007, the paper reported.

Last month The New York Times reported that financial records showed Wen's relatives had controlled assets worth at least $2.7 billion, a report China branded a smear.

Ping An said in a statement Monday that "recent media coverage related to the company" contained "serious inaccuracies, facts being distorted and taken out of context, as well as flawed logic".

It "will take appropriate legal action commensurate with the damage and adverse impact the media reports have caused to the company", the statement said, without elaborating.

A Ping An spokesman confirmed to AFP that the statement was a response to The New York Times report.

Wen is the latest senior Chinese official whose family have reportedly become massively wealthy as China's economy has boomed.

Earlier this year the Bloomberg news agency estimated the family of Xi Jinping -- who was appointed head of the ruling Communist Party this month, and is expected to be named president in March -- had assets worth $376 million.

Neither of the reports alleged wrongdoing by the officials, but both were blocked in China, with the Bloomberg and New York Times websites still inaccessible to ordinary Internet users on China's mainland.

The censorship reflects fears that perceptions of corruption amongst top politicians, widely believed to have enriched their families by abusing their government connections, could fuel social unrest.

Xi said last week that corruption "is growing more intense and in the end will kill the party and the country".

Several senior officials said at the party's recent congress that politicians would reveal their assets in the future, without giving a timetable. China does not currently have laws clearly requiring officials to disclose their wealth.

A source close to Ping An confirmed that the company's chairman Ma Mingzhe wrote to Wen in 1999, when the government was considering breaking up the insurer, but said that the Times article had quoted the letter out of context.

The Times report said that top Ping An executives were concerned that the company was facing insolvency at the time, a claim denied by the source.

Asked by AFP about the reported meeting between Ma and Wen's wife Zhang Beili, Ping An said it had no comment.

The company added: "Ping An does not know the background of the entities behind our shareholders."

Ping An shares closed down 1.09 percent at HK$58.75 in Hong Kong on Monday and 0.32 percent lower at 37.00 yuan in Shanghai.

Asked about the New York Times report by an AFP reporter, Chinese Foreign Ministry spokesman Hong Lei said: "With regards to the report you have mentioned, we have already made our position clear."

Wen is expected to step down as premier in March, when he will be replaced by current Vice Premier Li Keqiang.

.


Related Links
China News from SinoDaily.com






Comment on this article via your Facebook, Yahoo, AOL, Hotmail login.

Share this article via these popular social media networks
del.icio.usdel.icio.us DiggDigg RedditReddit GoogleGoogle




Memory Foam Mattress Review

Newsletters :: SpaceDaily Express :: SpaceWar Express :: TerraDaily Express :: Energy Daily
XML Feeds :: Space News :: Earth News :: War News :: Solar Energy News

Get Our Free Newsletters
Space - Defense - Environment - Energy - Solar - Nuclear

...





SINO DAILY
Record numbers flock to take Chinese government test
Beijing (AFP) Nov 25, 2012
Hundreds of thousands packed out schools and universities across China Sunday to take the national civil service exam, with a record number registering in search of a stable government job. More than 1.5 million people applied to sit the exam, the Beijing Times reported, over 30 times the number a decade ago.They are vying for about 20,000 government vacancies, according to state television. ... read more


SINO DAILY
GE says 'Industrial Internet' could be worth trillions

Anger at Chinese businesswoman's foreign passport

India, China firms sign deals despite political tensions

Samsung finds unfair practices among China suppliers

SINO DAILY
Proposed EU agriculture cuts draw protests

Stopping Flies Before They Mature

Scientists find clues to more disease resistant watermelons

Saving Water without Hurting Peach Production

SINO DAILY
Trial of army mutineers begins in Burkina Faso

DR Congo president sacks chief of land forces

DRC: M23 gains spark fears of wider war

Sudan army confirms it attacked near S. Sudan border

SINO DAILY
GM cars to use Apple voice assistant Siri

Canada orders automakers to halve emissions

Honda chief eyes more exports from US

Renault to set up in China: industry source

SINO DAILY
Japan's ruling party promises to phase out nuclear power

Nuclear power key issue in Japan elections

First British nuclear licence in 25 years to France's EDF

Japan should ask people about nuclear fears: UN

SINO DAILY
Israel facing 'millions' of cyber-attacks over Gaza

White House mulls move as cybersecurity bill fails

Tech star turned adventurer now in murder plot

McAfee stays one step ahead of Belize police

SINO DAILY
Japan appoints new ambassador to China

US-Myanmar detente forces Chinese rethink: experts

Estonian embassy in Minsk to become NATO liaison

Outside View: Fixing thepivot to Asia

SINO DAILY
Britain: Higher energy bills 'reasonable'

Areva commits to Scotland turbine plant

AREVA deploys its industrial plan to produce a 100 percent French wind power technology

Gannets could be affected by offshore energy developments




The content herein, unless otherwise known to be public domain, are Copyright 1995-2012 - Space Media Network. AFP, UPI and IANS news wire stories are copyright Agence France-Presse, United Press International and Indo-Asia News Service. ESA Portal Reports are copyright European Space Agency. All NASA sourced material is public domain. Additional copyrights may apply in whole or part to other bona fide parties. Advertising does not imply endorsement,agreement or approval of any opinions, statements or information provided by Space Media Network on any Web page published or hosted by Space Media Network. Privacy Statement