BEIJING, June 9 The senior Chinese official in
charge of economic crimes has been removed from his post, the
Xinhua news agency said on Tuesday, over five months after he
was detained in connection with a stock manipulation case.
The news comes as speculation mounts that more officials in
southern China have come under investigation in connection with
alleged stock manipulation by Huang Guangyu, founder of Chinese
home appliance retailer GOME (0493.HK).
A widening investigation implies that the case has taken on
a political dimension, rather than being limited to stock
movements of two relatively small listed companies. At least
five officials have so far been detained in the case.
Zheng Shaodong, the assistant minister of public security,
was detained in January at the beginning of the investigation
of Huang and his family.
Zheng's removal from his post was confirmed by sources in
the discipline organ of the Communist Party, Xinhua said on
Tuesday. It did not specify any reason.
The mayor of Shenzhen, which borders Hong Kong, was
detained this weekend, also apparently in connection with the
(Reporting by Lucy Hornby)