Shanghai politics - got a mind of it's own? Not any more!

Analysis of the sacking of Chen Liangyu, Shanghai's party secretary - top politician in the region.  Too powerful for Beijing's liking?  Refusing to slow down develop of Shanghai?

 

Sep. 28, 2006 (China Knowledge) - Media reports on the sacking of Shanghai Communist Party secretary Chen Liangyu are seeking to explain the motives behind President Hu Jintao's actions. Chen was ousted as Shanghai party secretary on Monday on charges of the possible misuse of money from government pension funds to invest in real estate and other projects. He is accused of aiding illegal businesses, shielding corrupt colleagues, and abusing his position to benefit family members.Hong Kong newspaper The Standard reported today that the corruption probe by Beijing is progressing further and more officials may be implicated. Chen's sacking is the highest-level purge in a decade and is an indicator of President Hu's bid to consolidate his power.Analysts say that Hu is on a drive to consolidate his power and also to restrain development.

Sacking Chen would send a message to leaders of other local governments to rein in investments, as Chen is reported to have a reputation of being against government measures of slowing the economy - he is reported to have had a fierce argument with Premier Wen Jiabao in 2004 when Beijing first tried to slow the economy.According to AP, President Hu is also seeking to stamp out corruption and the anti-corruption drive does not stop at the sacking of Chen. Gan Yisheng, general secretary of the party's Discipline Inspection Commission, said at a news conference in Beijing that investigations are underway and that eight auditing teams are looking for misconduct by senior government officials and leaders of large financial institutions in areas across the country.Inspections of officials in 30 provinces and cities as well as nine state banks have been carried out, and the insurance industry and major state companies are next, Gan said.