SHANGHAI Aug 13 A former director of China's
top economic planner who oversaw the country's corporate bond
issues between 2003-2006 is being investigated, financial news
magazine Caixin reported on Wednesday, citing sources familiar
with the matter.
Zhang Dongsheng, who was the general director of the
National Development and Reform Commission's (NDRC) finance
department, is being investigated in relation to corporate bonds
issued in 2005, the influential magazine said, citing the
The investigation comes on the back of a separate probe into
Guosen Securities executives, Caixin added.
The NDRC is responsible for approving the issuance of bonds
of more than one year by non-listed companies and non-financial
Zhang was transferred to head NDRC's employment and income
distribution division in 2007. Caixin said he had retired in
recent months and that the probe may expose details of
corruption in corporate bond issuance.
Telephone calls by Reuters to reach NDRC for comment were
Last October, domestic media reported that Chinese police
were investigating three fixed-income executives from brokerage
Guosen Securities including the president of its fixed income
arm, Sun Mingxia.
Caixin said in Wednesday's report that Sun had provided a
list of 100 people during the probe, which included Zhang's
name. Zhang's department oversaw a "golden age" of corporate
bond issuance from 2003-2006 under his leadership, it said.
A string of Chinese and foreign executives have come under
investigation for corruption by the country's regulators as part
of a wider crackdown against graft initiated by President Xi
The Communist Party earlier this month announced an
investigation into former domestic security chief Zhou Yongkang,
by far the highest profile figure caught up in the country's
(Reporting by Brenda Goh; Editing by Jacqueline Wong)