SHANGHAI May 14 China's biggest securities
company CITIC has fined its chairman for criticising in public
the country's largest bank, Industrial and Commercial Bank of
China (ICBC), according to a company memo
obtained by Reuters.
Wang Dongming, chairman of state-owned CITIC Securities Co
Ltd , told a banking conference in Beijing
on Saturday that ICBC's strong profits often anger its clients.
His remarks, which were widely circulated via online video,
came as Wang drew a contrast between Chinese financial
institutions' big profits and what customers often criticise as
their low level of service.
"Some people say, when Industrial and Commercial Bank of
China reports two or three hundred billion yuan in after-tax
profit, people around the country will curse," Wang said.
In the internal memo, CITIC said it had fined Wang two
"In circulating this notice, (the company) warns everyone to
be cautious in making comments in public forums and to pay
special attention that our clients' interests and feelings are
not harmed," the notice said.
CITIC did not answer calls seeking comment on Wednesday
Wang earned 5.83 million yuan ($935,900) in salary last
year, according to public filings. If the salary remained
unchanged, he would be fined about 972,000 yuan.
Bank profits have in the past become a political flashpoint
in China, as state-owned banks like ICBC benefit from
interest-rate controls that guarantee them healthy lending
In 2012, then-Premier Wen Jiabao said China's biggest banks
"make profits far too easily" because "a small number of major
banks occupy a monopoly position."
($1 = 6.2291 Chinese Yuan)
(Reporting by Gabriel Wildau and Hong Kong Newsroom; Editing by