Chen Liangyu
Encyclopedia
Chen Liangyu was a politician of the People's Republic of China from the ruling Communist Party
Communist Party of China
The Communist Party of China , also known as the Chinese Communist Party , is the founding and ruling political party of the People's Republic of China...

, and the disgraced CPC Shanghai Committee Secretary
Politics of Shanghai
The Politics of Shanghai is structured in a dual party-government system like all other governing institutions in the mainland of the People's Republic of China . In the last few decades the city has produced many of the country's eventual senior leaders...

, or the city's first-in-charge.

He has worked in Shanghai for his entire public life, serving as its Mayor from 2001–2003. Known to be a prominent member of the Shanghai clique
Shanghai clique
The Shanghai clique or Shanghai faction is the name given to an informal group of officials in the Communist Party of China, especially those who serve in the central government of the People's Republic of China or the Central Committee of the Communist Party of China, who rose to prominence in...

, and a close ally of former president Jiang Zemin
Jiang Zemin
Jiang Zemin is a former Chinese politician, who served as General Secretary of the Communist Party of China from 1989 to 2002, as President of the People's Republic of China from 1993 to 2003, and as Chairman of the Central Military Commission from 1989 to 2005...

 and a formidable rival to the Hu Jintao
Hu Jintao
Hu Jintao is the current Paramount Leader of the People's Republic of China. He has held the titles of General Secretary of the Communist Party of China since 2002, President of the People's Republic of China since 2003, and Chairman of the Central Military Commission since 2004, succeeding Jiang...

 administration, Chen was dismissed in September 2006 for alleged corruption charges related to the misuse of money in Shanghai's social security
Social security
Social security is primarily a social insurance program providing social protection or protection against socially recognized conditions, including poverty, old age, disability, unemployment and others. Social security may refer to:...

 fund. He was sentenced in Tianjin
Tianjin
' is a metropolis in northern China and one of the five national central cities of the People's Republic of China. It is governed as a direct-controlled municipality, one of four such designations, and is, thus, under direct administration of the central government...

 on April 11, 2008, to 18 years in prison on charges of financial fraud, abuse of power, and accepting bribery.

Rise to power

He graduated from the People's Liberation Army
People's Liberation Army
The People's Liberation Army is the unified military organization of all land, sea, strategic missile and air forces of the People's Republic of China. The PLA was established on August 1, 1927 — celebrated annually as "PLA Day" — as the military arm of the Communist Party of China...

 Institute of Logistics Engineering, where he had majored in architecture. He had two years of experience working in the military between 1968–1970. He joined the Communist Party of China
Communist Party of China
The Communist Party of China , also known as the Chinese Communist Party , is the founding and ruling political party of the People's Republic of China...

 (CPC) in April 1980. He worked as one of the cadres at the Pengpu Machinery Factory for the early 1980s, earning his way up to become the CPC Secretary for Shanghai's Electronic Appliances Bureau. He was on sabbatical at the University of Birmingham
University of Birmingham
The University of Birmingham is a British Redbrick university located in the city of Birmingham, England. It received its royal charter in 1900 as a successor to Birmingham Medical School and Mason Science College . Birmingham was the first Redbrick university to gain a charter and thus...

 on public administration while holding the position of District Governor for Huangpu District
Huangpu District, Shanghai
Huangpu District , is one of Shanghai's 18 districts and makes up the eastern part of Shanghai's traditional urban core. Today's Huangpu District is sometimes referred to as "new Huangpu" to distinguish it from the pre-merger Huangpu District which existed before 2000. In 2000, the pre-merger...

 in Shanghai.

Chen was promoted to be Deputy Mayor of Shanghai in 1996, concurrently holding the CPC Vice-Secretary position. As then President Jiang Zemin made his political manoeuvers before the 16th Party Congress
Sixteenth National Congress of the Communist Party of China
The 16th National Congress of the Communist Party of China was held in Beijing between November 8-14 2002. 2,114 delegates and 40 specially invited delegates elected a 356-member 16th CPC Central Committee, as well as a 121-member Central Commission for Discipline Inspection...

 in 2002 to strengthen the Shanghai power base with his loyalties, Chen became the beneficiary, replacing then Mayor Xu Kuangdi
Xu Kuangdi
Xu Kuangdi KmstkNO is a Chinese politician of the ruling Communist Party. He was mayor of Shanghai from 1995 to 2001. He supervised the transformation of Shanghai during his administration into a center for international investment and trade that helped lead the intensive development of China's...

, becoming Mayor of Shanghai in late 2002, and Secretary of the CPC Shanghai Municipal Committee
Politics of Shanghai
The Politics of Shanghai is structured in a dual party-government system like all other governing institutions in the mainland of the People's Republic of China . In the last few decades the city has produced many of the country's eventual senior leaders...

 in February 2003. He was therefore granted membership in the Politburo
Politburo of the Communist Party of China
The Central Politburo of the Communist Party of China or Political bureau of the CPC Central Committee , formerly as Central Bureau before 1927, is a group of 24 people who oversee the Communist Party of China...

 of the CPC Central Committee
Central Committee of the Communist Party of China
The Central Committee of the Communist Party of China is the highest authority within the Communist Party of China. Its approximately 350 members and alternates are selected once every five years by the National Party Congress....

. As an ally of former President Jiang Zemin
Jiang Zemin
Jiang Zemin is a former Chinese politician, who served as General Secretary of the Communist Party of China from 1989 to 2002, as President of the People's Republic of China from 1993 to 2003, and as Chairman of the Central Military Commission from 1989 to 2005...

, Chen was to keep Jiang's Shanghai base of power while Hu Jintao was given all official positions of power. Chen is believed to be linked to real estate magnate and banker Zhou Zhengyi
Zhou Zhengyi
Zhou Zhengyi is a prominent businessman born and based in Shanghai, People's Republic of China. The flamboyant property developer is described as the 11th richest man in China, with personal assets totalling US$320 million.-Biography:...

 in the Shanghai Real Estate scandals, where residents were forced to relocate for new housing developments where old style apartments were being demolished to build modern-style condominium
Condominium
A condominium, or condo, is the form of housing tenure and other real property where a specified part of a piece of real estate is individually owned while use of and access to common facilities in the piece such as hallways, heating system, elevators, exterior areas is executed under legal rights...

s.

Along with Mayor Han Zheng
Han Zheng
Han Zheng is the current mayor of Shanghai, the 13th to serve in the position since the founding of the People's Republic of China...

, Chen continued the CPC's path on reform, and during his leadership Shanghai was selected as the host city for Expo 2010
Expo 2010
Expo 2010, officially Expo 2010 Shanghai China was held on both banks of the Huangpu River in the city of Shanghai, China, from May 1 to October 31, 2010. It was a major World Expo in the tradition of international fairs and expositions, the first since 1992...

. Chen is officially credited with dramatically increasing the size and efficiency of Shanghai's public transportation network. Shanghai's increasing real estate
Real estate
In general use, esp. North American, 'real estate' is taken to mean "Property consisting of land and the buildings on it, along with its natural resources such as crops, minerals, or water; immovable property of this nature; an interest vested in this; an item of real property; buildings or...

 prices has plagued the city since 2002, and rose over 200% during Chen's term in office as the city's Party Chief, as ordinary Shanghai citizens found it increasingly difficult to find a place to live. The real estate network has a known history of being monopolized. The government has attempted to assert control, but because of the inevitable link between the government and private businesses, many underhand deals were cut, and Chen was implicated in many of these affairs. Chen also held major interests in the Shanghai Shenhua
Shanghai Shenhua
Shanghai Shenhua is a professional Chinese football club currently playing in Chinese Super League. The club is currently owned by Zhu Jun , Shanghai SVA Group, SMEG and Huangpu Investment Ltd. . The current head coach is Dražen Besek...

 football squad, attending all of their home matches and even supervising certain practices.

Legacy in Shanghai

His image in the city during his tenure as Mayor was fairly divisive. He initiated a series of gigantic projects to be finished in time for Shanghai's hosting of the 2010 World Exposition, including shipping 128,000 tons of sand to create a beach in Shanghai's suburbs, building a $209 million world-class tennis complex and a $300 million Formula One circuit racetrack. His most controversial project was the proposed Shanghai-Hangzhou mag-lev train. Opponents of Chen have painted him as corrupt and with a short temper, being despotic during Municipal Committee meetings which he chaired. Supporters of Chen credit him with openness, and see him as a progressive leader crucial to Shanghai's development on the international scene. Neutral observers generally saw Chen as an effective local administrator in Shanghai but impeded nationwide equalization as well as macroeconomic controls (otherwise known as Hongguan Tiaokong).

During his term, Chen sold massive amounts of land to his brother for resale over ten times the original price. Shanghai's real estate magnate.

Chen's son, Chen Weili, was made an executive of the Shanghai Shenhua football club shortly after graduating from university.

Dismissal and jail sentence

Through Chen's statements at municipal meetings as well as his vision for Shanghai's development, Chen seems to be opposed to the Communist Party's long-held convention that "Marxism
Marxism
Marxism is an economic and sociopolitical worldview and method of socioeconomic inquiry that centers upon a materialist interpretation of history, a dialectical view of social change, and an analysis and critique of the development of capitalism. Marxism was pioneered in the early to mid 19th...

 serves as the guiding scientific principle". Rather, Chen was more focused on relying upon "all forms of science". As a result, Chen was ideologically at odds with the Hu-Wen Administration
Hu-Wen Administration
The Hu-Wen Administration , or Hu-Wen New Administration is the name given to the Chinese leadership that succeeded Jiang Zemin, Li Peng and Zhu Rongji, whose official start date was 2003...

 in Beijing.

On September 25, 2006 he was fired as party secretary of the Shanghai Municipal Committee of the CPC (he was replaced by Xi Jinping
Xi Jinping
Xi Jinping is a high ranking politician of the People's Republic of China. He currently serves as the top-ranking member of the Secretariat of the Communist Party of China, the country's Vice President, Vice-Chairman of the Central Military Commission, President of the Central Party School and the...

) and suspended from his posts of member of the Chinese Politburo
Politburo of the Communist Party of China
The Central Politburo of the Communist Party of China or Political bureau of the CPC Central Committee , formerly as Central Bureau before 1927, is a group of 24 people who oversee the Communist Party of China...

 and member of the CPC Central Committee
Central Committee of the Communist Party of China
The Central Committee of the Communist Party of China is the highest authority within the Communist Party of China. Its approximately 350 members and alternates are selected once every five years by the National Party Congress....

 for his alleged involvement in a social security fund scandal, where money was siphoned off from Shanghai's social security fund, which manages more than 10 billion yuan
Chinese yuan
The yuan is the base unit of a number of modern Chinese currencies. The yuan is the primary unit of account of the Renminbi.A yuán is also known colloquially as a kuài . One yuán is divided into 10 jiǎo or colloquially máo...

 (US$1.25 billion) in assets. A hundred-strong team from Beijing has been sent to Shanghai to investigate the matter. Two days before he was announced to be fired, he and Mayor Han Zheng went to Beijing together to meet Hu Jintao. However, only Han Zheng came back to Shanghai. He returned at 3 am and rallied an official meeting to deliver the Central Government's decision that Chen was suspended because of the scandal and he was the acting party chief from then on. Other corruption charges were:
  • "helping further the economic interests of illegal business people"
  • "protecting staff who severely violated laws and discipline"
  • "furthering the interests of family members by taking advantage of his official posts"


Following Chen's dismissal, Han Zheng
Han Zheng
Han Zheng is the current mayor of Shanghai, the 13th to serve in the position since the founding of the People's Republic of China...

, the current Mayor of Shanghai, has become acting secretary of the Shanghai Municipal Committee of the CPC, according to a decision of the CPC Central Committee.

Although Chen's corruption charges may indeed be legitimate, it is likely that the dismissal had political reasoning, as Chen is not the only Chinese official who has a history of misusing public funds. Chen was a protégé of former President Jiang Zemin
Jiang Zemin
Jiang Zemin is a former Chinese politician, who served as General Secretary of the Communist Party of China from 1989 to 2002, as President of the People's Republic of China from 1993 to 2003, and as Chairman of the Central Military Commission from 1989 to 2005...

 and a senior member of the Shanghai faction
Shanghai clique
The Shanghai clique or Shanghai faction is the name given to an informal group of officials in the Communist Party of China, especially those who serve in the central government of the People's Republic of China or the Central Committee of the Communist Party of China, who rose to prominence in...

. Chen clashed with Premier
Premier of the People's Republic of China
The Premier of the State Council of the People's Republic of China , sometimes also referred to as the "Prime Minister" informally, is the Leader of the State Council of the People's Republic of China , who is the head of government and holds the highest-ranking of the Civil service of the...

 Wen Jiabao
Wen Jiabao
Wen Jiabao is the sixth and current Premier and Party secretary of the State Council of the People's Republic of China, serving as China's head of government and leading its cabinet. In his capacity as Premier, Wen is regarded as the leading figure behind China's economic policy...

 knowingly at a meeting of the Central Committee in Beijing. He was deemed a serious political rival to President
President of the People's Republic of China
The President of the People's Republic of China is a ceremonial office and a part of State organs under the National People's Congress and it is the head of state of the People's Republic of China . The office was created by the 1982 Constitution...

 Hu Jintao
Hu Jintao
Hu Jintao is the current Paramount Leader of the People's Republic of China. He has held the titles of General Secretary of the Communist Party of China since 2002, President of the People's Republic of China since 2003, and Chairman of the Central Military Commission since 2004, succeeding Jiang...

. Chen is the highest level Chinese official to be fired since former Beijing party secretary Chen Xitong
Chen Xitong
Chen Xitong was a member of the Politburo of the Communist Party of China and the Mayor of Beijing until he was removed from office on charges of corruption in 1995.-Biography:...

 (no relation) in 1995, and who was sentenced to 16 years in prison but released on medical parole in 2006 after serving eight years of his sentence. The two-month-old scandal "has already led to the removal and detention for questioning of the city's labor chief, a district governor and several prominent businessmen. The ranks of those detained in the Shanghai probe include executives in Shanghai's biggest industrial conglomerate as well as well-connected city officials."

The BBC
BBC
The British Broadcasting Corporation is a British public service broadcaster. Its headquarters is at Broadcasting House in the City of Westminster, London. It is the largest broadcaster in the world, with about 23,000 staff...

 reports that "There has been a continuing power struggle between Jiang Zemin
Jiang Zemin
Jiang Zemin is a former Chinese politician, who served as General Secretary of the Communist Party of China from 1989 to 2002, as President of the People's Republic of China from 1993 to 2003, and as Chairman of the Central Military Commission from 1989 to 2005...

 and Hu Jintao
Hu Jintao
Hu Jintao is the current Paramount Leader of the People's Republic of China. He has held the titles of General Secretary of the Communist Party of China since 2002, President of the People's Republic of China since 2003, and Chairman of the Central Military Commission since 2004, succeeding Jiang...

 ... Mr Chen's dismissal is being widely interpreted as Hu Jintao strengthening his position both within the party and the country as a whole."

In July 2007 Chen was expelled from the Communist Party of China and handed over to judicial authorities. The speed by which the proceedings have taken place is much quicker compared to the judicial proceedings of Chen Xitong. Chen Liangyu was sent to house arrest
House arrest
In justice and law, house arrest is a measure by which a person is confined by the authorities to his or her residence. Travel is usually restricted, if allowed at all...

 in Qinhuangdao
Qinhuangdao
Qinhuangdao is a port city in northeastern Hebei province of North China. It is about 300 km east of Beijing, on the Bohai Sea, the innermost gulf of the Yellow Sea....

, Hebei, where he lived in a mansion, and spent most of his time playing cards and reading. Servers gave him menus for him to order dishes every meal. Since then Chen has been moved to Qincheng Penitentiary in Beijing.

Chen's trial began in late March 2008. He was represented by Beijing lawyers Gao Zicheng and Liu Limu. He faced three charges. Namely, embezzlement
Embezzlement
Embezzlement is the act of dishonestly appropriating or secreting assets by one or more individuals to whom such assets have been entrusted....

, misuse of official powers, and unceremonious behavior. At the end of the court session on March 25, 2008, Chen stated "I am sorry to the party, the people of Shanghai, and my family.
On April 11, 2008, Chen, 61, was sentenced to 18 years in prison for accepting $340,000 in bribes and abusing power, specifically, for stock manipulation, financial fraud and his role in the city pension fund scandal, at the No. 2 Intermediate People’s Court, Tianjin
Tianjin
' is a metropolis in northern China and one of the five national central cities of the People's Republic of China. It is governed as a direct-controlled municipality, one of four such designations, and is, thus, under direct administration of the central government...

.

Career timeline

  • 1963.08 – 1968.08 People's Liberation Army (PLA) Institute of Logistics Engineering
  • 1968.08 – 1970.09 People's Liberation Army 6716 Squadron
  • 1970.09 – 1983.03 Shanghai Pengpu Machinery Factory worker, estimator, capital construction branch vice-section chief (1979.02 – 1980.01 Sabbatical: Tongji University
    Tongji University
    Tongji University , colloquially known as Tongji , located in Shanghai, has more than 30,000 students and 8,000 staff members . It offers degree programs at both undergraduate and postgraduate levels...

     engineering/architecture section
    )
  • 1983.03 – 1984.03 Shanghai Pengpu machine factory Deputy Plant Manager, Shanghai Metallurgy Mining Machinery Company party committee assistant deputy Secretary
  • 1984.03 – 1985.01 Shanghai Electric Appliance Company party committee Secretary
  • 1985.01 – 1987.02 Shanghai Municipal Party Committee (Old cadre bureau) Assistant Commissioner, bureau chief
  • 1987.02 – 1992.10 Shanghai Huangpu district party committee Assistant Deputy Secretary, District Magistrate ( 1992.01 – 1992.09 Sabbatical: Birmingham University community policy institute)
  • 1992.10 – 1992.12 Shanghai Municipal Party Committee Assistant Deputy Secretary-General
  • 1992.12 – 1996.10 Shanghai Municipal Party Committee Assistant Deputy Secretary
  • 1996.10 – 2001.12 Shanghai Municipal Party Committee Assistant Deputy Secretary, Deputy Mayor
  • 2001.12 – 2002.02 Shanghai Municipal Party Committee Assistant Deputy Secretary, Acting Mayor
  • 2002.02 – 2002.10 Shanghai Municipal Party Committee Assistant Deputy Secretary, Mayor
  • 2002.10 – 2002.11 Shanghai Municipal Party Committee Secretary, Mayor
  • 2002.11 – 2003.02. Central Political Bureau committee member, Shanghai Municipal Party Committee Secretary, Mayor
  • 2003.02 – 2006.09 Central Political Bureau committee member, Shanghai Municipal Party Committee Secretary
  • 2006.09.25 – Removal from all positions pending investigation on corruption and abuse of power charges


Source : People.com.cn

Sources and notes


See also

  • Qin Yu
    Qin Yu
    Qin Yu was briefly the chief of Baoshan District in Shanghai, China. He was removed from office on August 29, 2006 as part of a widening probe into corruption involving the mishandling of funds from Shanghai's municipal pension system...

  • Zhang Rongkun
    Zhang Rongkun
    Zhang Rongkun is one of the richest men in China; he was listed as China's 16th richest man on Forbes's 2005 list of the richest people in China. Zhang was a member of the Chinese People's Political Consultative Conference and is currently the chairman of Fuxi Investment Holding Company and is a...

  • Zhu Junyi
    Zhu Junyi
    Zhu Junyi was a government official in Shanghai, China. Prior to his arrest during an investigation into corruption in Shanghai in 2006, he had been in charge of the Shanghai Municipal Bureau of Labour and Social Security, Shanghai's municipal pension system.-Biography:Zhu attended the Changle...

  • Politics of the People's Republic of China
    Politics of the People's Republic of China
    The politics of the People's Republic of China take place in a framework of a single-party socialist republic. The leadership of the Communist Party is stated in the Constitution of the People's Republic of China...

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