Several presidents were investigated and reported to the China Discipline News: punishing financial corruption and preventing financial risks

Former title: Several presidents were investigated and notified, China Discipline News: punishing financial corruption, preventing and controlling financial risks

Source: Xue Peng/China Discipline Inspection and Supervision Report

On September 10, CITIC Bank Xie Hongru, former Secretary of the Party Committee and President of Guangzhou Branch, was announced to accept the review and investigation; On the same day, China agricultural bank Gao Youqing, the former Secretary of the Party Committee and President of Jiangsu Branch, was announced to be expelled from the Party; On September 9, He Xingxiang, member of the Party Committee and vice president of the National Development Bank, was announced to accept the review and investigation of the Central Commission for Discipline Inspection and the National Supervision Commission... Recently, the anti-corruption news in the financial field continued, demonstrating the firm determination of the discipline inspection and supervision authorities to implement the requirements of the Party Central Committee and escort financial security.

General Secretary Xi Jinping presided over the 10th meeting of the Central Finance and Economic Commission, stressing the need to make overall plans to prevent and resolve major financial risks, and promote the punishment of financial corruption and the prevention and control of financial risks.

As the reform of post offices continues to deepen, post discipline inspection and supervision constitute an important force to promote the punishment of financial corruption and the prevention and control of financial risks. What changes has the reform of post offices brought to financial anti-corruption? How does the discipline inspection and supervision team dispatched by the Chinese regulatory financial enterprise investigate and handle financial corruption cases and prevent and control financial risks?

Finance has a bearing on China's overall economic and social development, and the reform of post offices has promoted the deepening of anti-corruption in the financial field

Finance is the blood of modern economy. With the deepening of reform and opening up, China's financial industry has made great achievements. According to the data released by the Central Bank, by the end of 2020, the total assets of China's financial institutions were 353.19 trillion yuan, including 319.74 trillion yuan for banking institutions, 10.15 trillion yuan for securities institutions and 23.3 trillion yuan for insurance institutions.

"As a 'highland' with relatively concentrated interests and resources, corruption cases in the financial field involve a large amount of money and are highly specialized, hidden and complex. The risks brought by corruption in the financial field may impact the real economy and may also lead to social problems." Zhuang Deshui, deputy director of the Research Center for Clean Government Construction of Peking University, said.

With the accelerated reform of post offices, the authority and advantages of the "post" of the discipline inspection and supervision team of financial institutions have been increasingly highlighted. Corruption behind financial risks has been thoroughly investigated, and anti-corruption has achieved remarkable results.

At the level of financial regulators, the discipline inspection and supervision team of "One Bank, Two Sessions" was dispatched to not only intensify efforts to investigate and punish the "big cats" of financial risks, but also resolutely punish the "insiders" of supervision to promote strong supervision. Yang Mingji, former Party Secretary and President of Lanzhou Central Sub branch of the People's Bank of China, was seriously investigated and dealt with, Bank of China Jiang Yutang, the second level inspector of the Shenzhen Supervision Bureau of the Insurance Regulatory Commission, Mao Bihua, the former party secretary and director of the Chongqing Supervision Bureau of the China Securities Regulatory Commission, and other regulatory cadres have committed disciplinary violations.

In the central management financial institutions, at least 8 senior executives of the four major state-owned banks have been announced to be investigated and dealt with this year, including Han Zhen, the former deputy secretary of the Party committee and vice president of the Shaanxi Branch of the Agricultural Bank of China, bank for economic construction Zhang Qin, former Party Secretary and President of Inner Mongolia Autonomous Region Branch, and Lin Chuanwei, former Party Committee member and Vice President of Bank of China Fujian Branch, Industrial and Commercial Bank of China Zhang Youfu, former member of the Party Committee and Vice President of Henan Branch. In addition, CITIC Bank Everbright Bank Corruptors from financial institutions such as Guangfa Bank have also been seriously investigated and dealt with.

This year, at least 10 senior executives of national policy banks were investigated and dealt with, including 7 people, including He Xingxiang, the former vice president of China Development Bank, Zhang Linwu, the former senior expert of the Second Evaluation Bureau, 2 people, including Li Boyan, the former full-time evaluation member of the Export Import Bank of China, and Yang Bailu, the former deputy secretary of the Party Committee and vice president of the Agricultural Development Bank of China Henan Branch.

In local financial institutions, Wang Junxiang, former vice president of Jilin Financial Holding Group Co., Ltd., Wang Ting, former vice general manager of Sichuan Financial Holding Group Co., Ltd. and other corrupt elements were investigated and dealt with. Guangxi carried out special governance of corruption in the financial field, Sichuan and the central authorities in Sichuan cooperated to combat financial corruption, and Shaanxi investigated and dealt with the case of Wang Zhenmin, the former party secretary and chairman of the Agricultural and Commercial Bank of China in Yuyang District, Yulin City, and Jiang Jicheng, the former deputy party secretary and president.

From the perspective of the problems involved, corruption cases in the financial field not only have the old ways of power and money transactions, such as using the credit approval power to set up rent-seeking, issuing loans in violation of national regulations, misappropriating financial funds to obtain benefits, illegal investment and operation, but also have some new situations with characteristics, such as using financial transactions such as the transfer of trust beneficial rights and financing financial advisers to amass wealth wantonly.

Punishment is the most powerful supervision. "Focusing on key issues in key areas, focusing on corruption behind major financial risks and regulatory failures, focusing on financial active areas such as the CBRC authorities and Beijing, Shanghai, Guangzhou and Shenzhen, as well as regulatory and operational institutions, we will continue to address corruption and style issues around the people, and release a strong signal that we will be strict and never stop." Li Xinran, head of the discipline inspection and supervision team of the Central Commission for Discipline Inspection and the State Supervision Commission in the CBRC, said.

According to Li Xinran, since the 19th National Congress of the Communist Party of China, 93 cases have been filed by the discipline inspection and supervision team, nearly three times the total number of cases filed by the former CBRC and the former CIRC in the five years after the 18th National Congress of the Communist Party of China; Among them, the number of "the third and fourth forms" is 6.5 times of the total number of the two groups in the five years after the 18th National Congress of the Communist Party of China. Under strong deterrence, since the end of last year, Guo Hong, director of the Institutional Supervision Department of Rural Small and Medium Banks of the China Banking and Insurance Regulatory Commission, Liu Wenyi, a second level inspector of Liaoning Regulatory Bureau, and other officials have voluntarily surrendered.

"Offices, Groups and Places" Cooperate to Handle Cases, Release the Joint Force of Supervision, and Improve the Effectiveness of Corruption Control in the Financial Field

"The defendant Wang Xuefeng was sentenced to 12 years of fixed-term imprisonment for accepting bribes, and was also fined 2 million yuan. The seized stolen money and goods were confiscated according to law and turned over to the state treasury." On September 10, Wang Xuefeng, the former secretary of the Party Committee and president of China Development Bank Shanxi Branch, was sentenced in the first instance of the bribery case.

When Wang Xuefeng's case was mentioned, the relevant responsible comrades of the discipline inspection and supervision team of the Central Commission for Discipline Inspection and the State Supervision Commission stationed at CDB said that this was the result of the discipline inspection and supervision team focusing on corruption behind financial risks and playing the "office group local" joint case handling model.

The mode of "office group local" joint case handling, that is, the supervision and inspection office, the post office and the local discipline inspection commission jointly handle cases, giving full play to the joint force of supervision. At the Fifth Plenary Session of the 19th Central Commission for Discipline Inspection, it was required to improve the system and mechanism of "office group" joint supervision and "office group local" joint case handling, and promote the establishment of internal discipline inspection agencies and regulatory agencies to form a joint force of supervision.

In August 2020, according to the designated jurisdiction, the Discipline Inspection and Supervision Team of China Development Bank and the Discipline Inspection Commission of Dongying City, Shandong Province jointly reviewed and investigated Wang Xuefeng's suspected serious violations of discipline and laws and took retention measures. In this case handling mode, the superior supervision and inspection office gives full play to the advantages of overall planning and coordination, the local discipline inspection commission gives full play to the advantages of rich experience in case handling, and the discipline inspection and supervision team gives full play to the advantages of being close to the front line and being familiar with the situation, so as to form a joint force in case handling.

In the face of Wang Xuefeng's case, which has a long time span and a large number of related personnel, the "office, group and place" coordinated and linked, the project team adhered to the "internal" and "external" collaborative review and investigation strategy, effectively improved work efficiency, quickly closed the evidence chain, and completed the review and investigation with high quality.

The financial sector has a large amount of corrupt funds, which are more professional, technical and hidden, and are relatively difficult to investigate. The "office group local" joint case handling mode can better bring into play the advantages of the superior supervision and inspection office in taking the lead in the overall situation, the professional advantages of dispatching discipline inspection and supervision teams in being familiar with the financial field, and the territorial advantages of the local discipline inspection commission in being familiar with the investigation and handling of duty crimes. It has become an important means of investigating and handling such cases.

"Since the reform of the post office, our team has directly investigated and closed four cases involving illegal duties, all of which were handled in the mode of" office, group and place "coordination and linkage." The case handling personnel of the Discipline Inspection and Supervision Team of the Central Commission for Discipline Inspection and the State Supervision Commission in CITIC Group told reporters that, taking the investigation and handling of common illegal loan issuance cases as an example, the post discipline inspection and supervision team played its professional advantages in massive credit Problems were found in the financing approval materials, and violations and illegal acts such as reverse process operation, interference in the decision-making of the credit audit committee, and change of loan conditions were accurately grasped. The local supervision committee gave play to its advantages in investigating and handling job related crimes, and quickly completed the handling of various procedures for review and investigation, ensuring the standardization and rule of law level of case investigation.

Not only eliminate "rats", but also protect "Yupan", and promote the punishment of financial corruption and the prevention and control of financial risks

From the corruption cases in the financial field investigated and handled in recent years, financial corruption is often behind financial risks. Financial corruption is easy to induce and exacerbate financial risks. Anti corruption in the financial field is closely related to preventing and resolving risks and safeguarding national security.

"Major financial risks are generally related to violations of discipline, dereliction of duty, and some are directly caused by illegal and criminal acts. Violations of discipline and illegal acts are closely related to financial risks." Cui Jun, head of the Discipline Inspection and Supervision Group of the Central Commission for Discipline Inspection and the State Supervision Commission in CITIC Group, introduced.

Cui Jun, for example, said that in the cases directly investigated by the discipline inspection and supervision team, when Yu Cheng trusted the president of Harbin Branch, the bank's non-performing loan ratio was twice the average of the local industry; During Chen Ying's tenure as Vice President and Risk Director of Xiamen Branch, the balance of corporate credit problem loans reached more than 8 billion yuan.

"In addition to the poor quality of the practitioners' personal political business and weak internal supervision, the financial industry's separation from its source is an important reason for financial risks and financial corruption. The large number of off balance sheet and channel businesses will amplify financial risks and encourage financial corruption, and the closed circle will increase the difficulty of internal checks and balances and external supervision." Cui Jun said.

In practice, the discipline inspection and supervision authorities not only get rid of the "rat" of financial corruption, but also protect the "jade plate" of financial assets to achieve the organic unity of political effect, disciplinary effect and social effect.

During the investigation and handling of Wang Xuefeng's case, the discipline inspection and supervision team stationed in China Development Bank sent a risk reminder letter to the Party Committee of China Development Bank in time to ensure that no credit risk occurred after the relevant personnel involved were detained according to law, suggesting that we should pay attention to the loan risk, and require Shanxi Provincial Branch to report the situation regularly, and report the situation to the relevant supervision and inspection offices of the Central Commission for Discipline Inspection and the National Supervision Commission.

In the investigation and handling of serious credit risk series corruption cases of Baoshang Bank, the discipline inspection and supervision team of the CBRC kept close communication with the Party Committee of the CBRC, the takeover team of Baoshang Bank and the local people of Inner Mongolia, repeatedly assessed the risks and prudently selected the time to intervene in the investigation. At the same time, the Bank and Insurance Regulatory Bureau of Inner Mongolia shall coordinate with the Bank and Insurance Regulatory Bureau to make a risk emergency plan to prevent secondary financial problems such as bank runs.

When starting a case, the discipline inspection and supervision team stationed in CITIC Group should try its best to grasp the right time and avoid the hot and sensitive period; Study screening standards in advance, announce policy boundaries, treat targets with emphasis on attack and education differently, and stabilize the staff team; Pay attention to finding out the property situation involved in the case, and coordinate the co handling supervision committee to recover stolen goods and stop losses in time.

"When dealing with real estate loan business cases involving high credit concentration, it is suggested that loans should be collected gradually by stages to prevent sudden withdrawal of loans from breaking the enterprise's capital chain and causing financial fluctuations." The case handling personnel of the Discipline Inspection and Supervision Team of CITIC Group, for example, said that since the reform of the post office, the cases investigated by the discipline inspection and supervision team have not caused market fluctuations Issues affecting risk disposal.

Deepen anti-corruption work in the financial sector, supervise and urge the strengthening of financial supervision and internal governance, and ensure the prevention and resolution of major financial risks

At present, from the perspective of financial risks and the situation facing the fight against corruption in the financial field, the battle to prevent and resolve major financial risks has achieved important phased results, but the task is still arduous. At the same time, the stock of financial corruption has not yet been cleared, and the increase has still occurred, and it shows the characteristics of political and economic problems intertwined, high amount of money involved, numerous cases, great harm and strong spillover.

In view of the new situation and characteristics, the discipline inspection and supervision authorities adhere to the requirements of "promoting and punishing financial corruption and preventing and controlling financial risks in an integrated way", deepen the anti-corruption work in the financial field, urge to strengthen financial supervision and internal governance, and ensure the prevention and resolution of major financial risks in accordance with the deployment of the Fifth Plenary Session of the 19th Central Commission for Discipline Inspection.

"The supervision of the 'top leaders' is still a weak link. The' top leaders' at all levels account for about 22.6% of the job-related crimes investigated and handled by ICBC since the reform of the post offices. Gu Guoming and Zhang Youfu are typical of intervening in credit granting and personnel selection." Wang Lin, head of the discipline inspection and supervision team of the Central Commission for Discipline Inspection and the State Supervision Commission in ICBC, pointed out. The Party Committee of ICBC learned the lesson from the case, studied and formulated the Measures for Recording the Illegal Intervention of Management Personnel in Major Matters, defined the scope of application, reporting requirements, disposal process, etc., and further standardized the management personnel's right use behavior around 11 aspects such as personnel selection and employment, credit approval, etc.

The discipline inspection and supervision team of the Central Commission for Discipline Inspection, the State Supervision Commission and the China Construction Bank has put the supervision ahead, focusing on the corruption problems of traditional banks with capital intensive and power concentrated, such as credit operation, infrastructure projects, centralized procurement, personnel selection and employment, as well as the rapid development of financial markets, investment banks and other emerging businesses Financing financial adviser and other cases of financial transactions wantonly collecting money.

"With the non-performing asset disposal and financial loss reporting supervision as the starting point, we will strictly check the write off, packaging and financial loss reporting of non-performing assets, and carry out a" four look "on whether there are violations, disciplines, laws and suspected crimes." The relevant person in charge of the discipline inspection and supervision team in China Construction Bank introduced that we should dig into the hidden problems of financial asset losses, such as using loans for personal gain, using power for personal gain In terms of corruption problems such as profit transmission, two "top leaders" of prefecture and city branches were found to be suspected of accepting bribes.

The discipline inspection and supervision team of the China Banking and Insurance Regulatory Commission (CBRC) focuses on the comprehensive effect of investigating and handling cases, and deepens the work of taking cases as lessons, promoting reform and governance. "We should not only educate and guide Party members and cadres to learn lessons deeply, enhance their awareness of discipline and law, but also carefully analyze the root causes of problems, and promote the consolidation of the system cage and the standardization of power operation," Li Xinran said.

Local discipline inspection and supervision organs deepen the reform of post offices, improve the effectiveness of post supervision and improve the supervision system. The Supervision Committee of Shaanxi Provincial Commission for Discipline Inspection recently held a symposium on discipline inspection and supervision of provincial financial enterprises to summarize the experience of reform of financial enterprises' post offices, analyze the problems existing in the supervision of financial enterprises' post offices, and study the countermeasures. The Supervision Committee of Shanghai Municipal Commission for Discipline Inspection urged the Party Committee of the municipal financial enterprises to implement the main responsibility of comprehensively and strictly governing the Party, combined with the inspection and rectification, and the implementation of the task of enterprise discipline inspection and supervision system reform, give full play to the advantages of six discipline inspection and supervision teams stationed in the municipal financial enterprises, and strictly organize the "protection network" of financial risks.