Updated May 12th, 2024 at 11:54 IST

China investigates Former ChemChina Chairman for alleged violations

The investigation comes after Syngenta withdrew its $9 billion IPO in Shanghai in March, citing delays.

Reported by: Business Desk
Court cases | Image:Unsplash
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Former ChemChina Chairman violations: China's anti-graft watchdog, the Central Commission for Discipline Inspection (CCDI), has announced investigations into Ren Jianxin, the former chairman of state-owned enterprise ChemChina, and another former company official for suspected violations of discipline and law.

Ren Jianxin, who retired from ChemChina in June 2018, is being probed for "serious violations of discipline and law," according to the CCDI's statement on its website. Ren, 66, was a key figure in ChemChina's acquisition of Swiss seeds and pesticides group Syngenta for $43 billion in 2017.

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The investigation comes after Syngenta withdrew its $9 billion IPO in Shanghai in March, citing delays. The IPO would have been China's largest and one of the world's biggest flotations this year.

The CCDI also disclosed that Yang Xingqiang, a former general manager of ChemChina, is under investigation. Yang, 57, served as general manager during Ren's chairmanship and later moved to a role at China National Salt Industry Group before stepping down in August 2022.

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Chinese authorities reportedly influenced Syngenta's decision to withdraw its IPO application due to concerns about market volatility. The move aligns with China's recent efforts to stabilize its financial markets.

The anti-corruption campaign in China has intensified this year, reflecting President Xi Jinping's commitment to cracking down on corruption and disloyalty. The campaign includes investigations into alleged graft related to military procurement.

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The CCDI did not provide further details about the investigations into Ren Jianxin and Yang Xingqiang. However, the scrutiny of high-profile figures like Ren underscores China's continued efforts to maintain integrity and discipline within its state-owned enterprises.

(with Reuters inputs)

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Published May 12th, 2024 at 11:54 IST