Tv special "Zero Tolerance" Episode 4 "Systematic Governance"

Episode 4: Systematic Governance

In the great struggle to comprehensively and strictly govern the party in the new era, the Party Central Committee with Comrade Xi Jinping as the core has continuously deepened its understanding of the situation and tasks of comprehensively and strictly administering the party, continuously deepened its understanding of the law of anti-corruption, persisted in systematic treatment, treated both symptoms and root causes, and promoted as a whole that it does not dare to be corrupt, cannot be corrupt, and does not want to be corrupt, and leads the comprehensive and strict management of the party to continuously advance in depth.

【Subtitle: January 22, 2021 The Fifth Plenary Session of the 19th Central Discipline Inspection Commission】

Xi Jinping: Adhere to the strict main tone for a long time, use the concept of systematic treatment and treatment of both symptoms and root causes to rectify discipline and fight corruption, continuously enhance the party's ability to purify, improve, renovate, and improve itself, jump out of the historical cycle rate of the rise and fall of chaos, and lead and guarantee the towering wheel of socialism with Chinese characteristics to move steadily and far.

[Commentary] Promoting as a whole that we do not dare to be corrupt, cannot be corrupt, and do not want to be corrupt is not only the basic principle of the anti-corruption struggle, but also an important strategy for comprehensively and strictly administering the party in the new era. Systematic treatment and treatment of both symptoms and root causes is an organic whole with internal unity, emphasizing the integration of punishment deterrence, institutional restraint, and awareness-raising; while severely punishing and forming a deterrent, it is necessary to firmly establish the cage of the system, standardize the operation of power, strengthen education in party spirit, enhance ideological awareness, cultivate a culture of honesty, build and improve long-term mechanisms, and improve the effectiveness of controlling corruption.

【Commentary】 The Central Commission for Discipline Inspection and the State Supervision Commission resolutely implement the decision-making and deployment of the Party Central Committee, summarize common problems from the cases of central management cadres investigated and handled, analyze the deep-seated causes, find problems and weak links in institutional mechanisms and supervision and management, and promote the transformation of punishment results into the transformation of the results of curing the root causes. Since 2020, the special rectification of coal-related corruption in Inner Mongolia, which has attracted great attention from public opinion, is a typical example of corruption governance in the resource field.

Liu Xuebin (Deputy Director of the 15th Review and Investigation Office of the Central Commission for Discipline Inspection and the State Supervision Commission): Since 2018, with the approval of the Party Central Committee, the State Supervision Commission of the Central Discipline Inspection Commission has successively filed a case review and investigation against five central management cadres in the Inner Mongolia Autonomous Region, and these corruption problems are related to coal. Through these cases, some deep-seated problems in the coal field in the Inner Mongolia Autonomous Region have also been exposed.

Bai Xiangqun, a former secretary of the Wuhai Municipal Party Committee and a member of the party group and vice chairman of the Inner Mongolia Autonomous Region Government, was examined and investigated in April 2018 and sentenced to 16 years in prison in 2019. Of the 37 bosses who paid bribes to Bai Xiangqun, as many as 20 were involved in coal.

Bai Xiangqun (former member of the party group and vice chairman of the Inner Mongolia Autonomous Region Government): In a resource-rich area like Inner Mongolia, whether entrepreneurs give you bribes or send you things, there are indeed many temptations.

Yun Guangzhong, who served as mayor and secretary of the Municipal Party Committee of Ordos City, member of the Standing Committee of the Inner Mongolia Autonomous Region Party Committee and secretary of the Hohhot Municipal Party Committee, was examined and investigated in June 2019 and sentenced to 14 years in prison in 2020. Of the nearly 100 million yuan in property he received from bribes, he received more than 37 million yuan from a coal-related enterprise.

Yun Guangzhong (former member of the Standing Committee of the Inner Mongolia Autonomous Region Cpc Committee and former secretary of the Hohhot Municipal CPC Committee): In recent years, many cadres in Ordos have fallen from power, and as the "number one" of the localities, I have an unshirkable responsibility.

[Commentary] Yun Citizen, former deputy secretary of the party group and general manager of China Huadian Group Co., Ltd., former vice chairman of the Inner Mongolia Autonomous Region, was examined and investigated in October 2019; in 2021, after the court's first-instance public trial, the judgment will be announced at a later date. Of the more than 400 million yuan in bribes that the court found, the vast majority were related to Inner Mongolia.

Yun Citizen (former deputy secretary of the party group and general manager of China Huadian Group Corporation): I used my power to condone them, and my son and girl are in the coal business, which is obviously my personal connections.

Inner Mongolia Autonomous Region is the world's largest open-pit coal mine, with wide distribution, large reserves and easy development. From 2002 to 2012, it was the "golden decade" of the rapid development of the mainland coal industry, and the Inner Mongolia Autonomous Region also ushered in a decade of rapid economic rise. But at the same time, driven by huge interests, coal-related corruption has also intensified.

Liu Xuebin (Deputy Director of the 15th Examination and Investigation Office of the Central Commission for Discipline Inspection and the State Supervision Commission): Some leading cadres of examination and approval departments have also taken advantage of their powers to get involved in the coal field and encroach on coal resources; some leading cadres lao tzu approve coal at the front desk, and their sons and daughters are fishing for money in the back; some leading cadres go into battle shirtless and directly use the power in their hands to obtain coal fields; some leading cadres participate in it through secret or dry stock, and seek huge interests.

[Commentary] Bai Xiangqun, Yunguangzhong, and Yun citizens have all served as "number one" in the coal-rich league cities, and one of the most important powers is the right to allocate resources. For coal business owners, whether it is to buy coal mines, replace coal fields, or promote coal conversion projects, government approval is required, which makes business owners have the need for "hunting" and also makes government officials have the conditions for rent-seeking.

Bai Xiangqun (former member of the party group and vice chairman of the Inner Mongolia Autonomous Region Government): The biggest temptation is to decide, you approve this and that for the boss, you can't resist this temptation, and the final result will be Qincheng.

Yun Guangzhong (former member of the Standing Committee of the Inner Mongolia Autonomous Region Party Committee and former secretary of the Hohhot Municipal CPC Committee): It is not only the leader himself who is being hunted, but also the entire group of relatives and friends who are led. The result is that my generation, including my next generation, has not grasped the process of economic development.

【Commentary】Hengtai Coal Co., Ltd. is a private enterprise in Ordos City, and in 2010 the enterprise applied to Ordos City for a well field with larger reserves and better coal quality. In order to gain the support of Yun Guangzhong, the mayor of Ordos at the time, the company owner Tuo Lian became acquainted with Yun Guangzhong's son and wife, and after coming to the door, Yun Guangzhong's wife gave him a hint.

Hao Shenhai (businessman involved): Go to their house, his wife proposed that there is a big high-pressure tower in the courtyard of this house, saying that this is very bad for people, sleep is not good, etc., just give me a hint, that is, there are difficulties, do not want to live here. After she said this, I knew the meaning, and when I came back, I raised the cash and sent it directly to his house.

[Commentary] When Hao Shenhai came to the door again, he used a suitcase to drag 2 million yuan in cash at a time. Since then, he has sent money and gifts to Yun Guangzhong's wife and son many times, totaling nearly 3 million yuan. Correspondingly, Hengtai Company successfully replaced it with a high-quality well field.

Sun Ying (Central Commission for Discipline Inspection and State Supervision Commission): Yun Guangzhong presided over the executive meeting of the Ordos Municipal Government, and directly gave the matter of replacing coalfield resources for Hengtai Company, which is the most standard power and money transaction, his father is at the front desk, and they collect money in the background.

[Commentary] The involvement of relatives and children of many leading cadres in the coal field is one of the prominent phenomena in coal-related corruption cases. Yun Guangzhong's son Yunlei and Yun Kaichen, the son of Yun Citizen, once colluded to do coal "business", which was essentially a huge bribe from his father in exchange for power.

Yun Kaichen (son of Yun citizen): In order to please my father or convey benefits, let us buy at a low price and sell at a high price in the form of coal.

Yun Lei (son of Yun Guangzhong): In fact, they are very familiar with my father at first of all, including KaiChen's father, and they are actually very familiar with each other. Without this resource, you can't connect, why do people give you wholesale prices?

【Commentary】A private coal enterprise in Inner Mongolia "wholesale" coal to Yunlei and Yun Kaichen at a low price, and then sold by them at a high price, the buyer is actually the company's good contact, the whole process is handled by one hand. The so-called company opened by Yunlei and Yunkaichen actually has no personnel, no equipment, no funds, and no actual business activities, and only needs to sign a contract and go through a formality to get the so-called coal price difference and collect money effortlessly.

Yun Lei (son of yun guang): I want to do this thing cleverly, try to look at it as if it is not too directly related to my father, and I must operate it.

【Commentary】Leading cadres open convenient doors for enterprises in the allocation of coal resources, project approval, etc., and enterprises open convenient doors for the relatives and children of relevant leading cadres to make profits, which seems to be legal and compliant on the surface, but in fact, the exchange of benefits is secretly completed through these "two doors". This company has been sending tens of millions of yuan in profits to Yunlei in this way for many years. Yun Guangzhong used his authority to fully support the approval and promotion of multiple projects such as coal-to-oil conversion and fire extinguishing coal.

Yun Guangzhong (former member of the Standing Committee of the Inner Mongolia Autonomous Region Party Committee and former secretary of the Hohhot Municipal Party Committee): He was still willing to be hunted. In fact, it is often in the middle of project approval, using legal procedures to seek private interests, or using legal disguises and packaging to grab personal interests.

In the approval process for the allocation of coal resources, corruption breeds among some officials who hold relevant powers. The collusion between government and businessmen has undermined the normal market and regulatory order, resulting in disorderly mining, illegal mining, extensive mining, excessive mining and other chaos, and ecological and environmental problems have become increasingly prominent, seriously affecting people's livelihood.

Citizens of Wuhai City: What kind of life did the people in that place live? The doors did not dare to open, the windows did not dare to open, the floor was swept every day, and the underground layer was dark. Digging and mining indiscriminately, coal bosses have earned money, ordinary people have suffered, and the country has been damaged.

[Commentary] The problem of corruption in the coal field has also spread to other fields such as transportation, land, and real estate, and some coal bosses have become rich, and then participated in road construction, land speculation, and house speculation, and power and money transactions have also been brought into it. Yun Kaichen, the son of Yun Citizen, was involved in real estate and road engineering construction in Inner Mongolia, and Yun Citizen greeted local officials on the one hand to help his son get land, and on the other hand, instructed Huadian Group's coal company to buy housing in the son company, so that his son could quickly accumulate huge wealth.

Yun Kaichen (son of Yun citizen): Actually, I have not done business, I will not at all, many officials in Ordos are my father's old subordinates, so it is very convenient, we carry out land development or something, we give us the green light, do a lot of illegal things.

Yun Citizen (former deputy secretary of the party group and general manager of China Huadian Group Corporation): There are many people I know in Inner Mongolia, so I can help him. He needs me to say hello to him and unblock the relationship, and I'll help him talk.

[Commentary] Cloud citizens also directly use the authority of the leaders of central enterprises to make profits for their families. For example, in the coal transportation highway project in Wulanchabu City, Yun Kaichen nominally cooperated with another company to build, but in fact, only through the power of his father, he obtained a loan of 300 million yuan from the trust company under Huadian Group, and he got half of the profits of the project.

Qiu Yongsheng (businessman involved): I was in charge of construction, he loaned back the 300 million yuan, and finally I built the road here, he got a person to manage the finances, and the more than 100 million yuan was taken away by him.

A number of cases reflect that coal-related corruption in Inner Mongolia is not just a case, but has caused serious systemic damage to the coal industry, and even the entire economic, social and political ecology. With the approval of the PARTY Central Committee, the Central Commission for Discipline Inspection and the State Supervision Commission issued a recommendation for discipline inspection and supervision, pointing out that there are four prominent problems in the field of coal resources in the Inner Mongolia Autonomous Region, namely, obtaining and reselling coal resources in violation of laws and regulations, allocating coal resources in violation of laws and regulations, seriously polluting the local political ecology with the problem of coal-related corruption, and spreading problems in the field of coal resources.

Liu Qifan (then member of the Standing Committee of the Inner Mongolia Autonomous Region Party Committee and director of the Supervision Commission of the Discipline Inspection Commission): Fundamentally, the problems in the field of coal resources are still problematic in the concept of development, and our development is up, but the ecological damage, the destruction of order, and the destruction of rules brought about by it are one big pit after another. Today, the development of Inner Mongolia is constantly paying for the past, and paying the price for the big pits dug in the past. If we do not carry out a retrospective investigation and cannot remove the roots, we will not be able to eradicate this cancer that has destroyed the political ecology of Inner Mongolia.

【Commentary】In February 2020, the Inner Mongolia Autonomous Region launched a special rectification to conduct a full-factor inventory of all aspects of planning, investment review, resource allocation, environmental audit and other aspects of all coal mines in the region since 2000 to find out the bottom number of violations of laws and regulations. At the same time, we will comprehensively verify all public employees in party and government organs, public institutions, and state-owned enterprises at all levels in the region since 2000, organize more than 1.39 million party members and cadres and public employees to declare their participation in coal enterprise investment and shareholding, and then use big data to compare and investigate and punish those who have lied and concealed reports. The inventory found that most of the areas with coal, the departments that manage coal, the enterprises involved in coal, and the coal blending projects have problems of violating the law or even violating the law, and the large stock of corruption, the wide range of the scope involved, and the number of people involved are shocking.

Liu Zhanbo (Member of the Inner Mongolia Special Rectification and Supervision Responsibility Office): Coal-related corruption has grown and spread in Inner Mongolia, and the interest groups formed have become entangled, and a huge coal-related interest chain, relationship network, and co-corruption group have been derived in the autonomous region. The combination of government and businessmen has formed a trend, they have either explicitly or covertly interfered in politics and interfered with economic and social development, and the problem of coal-related corruption is not only a simple economic problem, but has become a very serious political problem.

During the "two sessions" in 2021, General Secretary Xi Jinping stressed when participating in the deliberations of the Inner Mongolia delegation that the use of the state's resources to engage in bribery and power and money transactions is always to be calculated. As of October 2021, the special rectification has investigated and dealt with a total of 736 coal-related corruption cases and 1,023 people, including 69 people at the department and bureau level and 243 people at the county and department level, investigated and handled 571 coal-related economic cases, arrested 839 criminal suspects, and recovered 52.388 billion yuan of economic losses, declaring an attitude of zero tolerance for corruption with unprecedented intensity.

Bai Xiangqun (former member of the party leading group and vice chairman of the Inner Mongolia Autonomous Region Government): I would like to dig my heart out and say two words, in the past, I could not sleep outside, especially under the anti-corruption and high pressure, if you want to sleep well, have a safe and secure tomorrow and the day after tomorrow, hurry up and surrender, don't do it again, and tell the organization about the idea of doing it.

[Commentary] While forming a deterrent, it is necessary to strengthen the restraint and supervision of power through system construction. The Inner Mongolia Autonomous Region has thoroughly analyzed the loopholes in the mechanism and system, cleaned up and abolished 863 old coal-related policy and regulation documents, and newly formulated 121 policy and regulation documents, making up for the shortcomings of the system and tightening the cage of the system. For example, in view of major risk points such as resource allocation, the new version of the Opinions on the Comprehensive Implementation of the Market-oriented Transfer of Coal Resources has been revised and issued, which further highlights the decisive role of the market in resource allocation. Another example is the newly formulated "Provisions on Regulating the Participation of Spouses, Children and Spouses of Leading Cadres in the Exploitation of Mineral Resources (for Trial Implementation)", which clarifies that leading cadres at or above the deputy section level (including the deputy section level) and the spouses, children and spouses of general public employees in relevant departments related to mineral resources development are prohibited from participating in the exploitation of mineral resources.

Liu Zhanbo (member of the Inner Mongolia Special Rectification Supervision Responsibility Office): Our cadres are easily linked to coal resources. Once it is a violation of discipline or a crime, his petty official is so greedy that you cannot imagine. Our system limits it to cadres at or above the deputy section level, which is also in line with the characteristics of our Inner Mongolia Autonomous Region.

On April 25, 2021, Inner Mongolia held a special teleconference, in which a warning education film analyzing the problem of corruption in the coal field was transmitted to dozens of sub-venues through signals, and the main leaders of the autonomous region and many leading cadres of various league cities and qi counties (urban areas) in the region attended the meeting at the same time, reminding leading cadres at all levels to learn from it.

Liu Qifan (then member of the Standing Committee of the Inner Mongolia Autonomous Region Party Committee and director of the Supervision Commission of the Discipline Inspection Commission): Through investigating cases, we have achieved not daring to be corrupt; through standardizing the system, we have realized that we cannot be corrupt; and through using cases to promote reform and warning education, we have promoted the promotion of not wanting to be corrupt. After we govern, let it enter a new norm, I think the real "golden decade" in Inner Mongolia should start from the "14th Five-Year Plan", and will only begin after governance.

[Commentary] The rule of chaos in one place and one region shows the effect of strengthening "non-corruption" through institutional governance and supervision and constraints. It is necessary to integrate the rectification of discipline and the fight against corruption with the deepening of reform, the improvement of systems, and the promotion of governance, and promote the overall advancement to enhance the comprehensive effect of anti-corruption.

Li Xianfeng (cadre of the Research Office of the State Supervision Commission of the Central Discipline Inspection Commission): Promoting as a whole does not dare to be corrupt, cannot be corrupt, and does not want to be corrupt; tightening the cage of the system is the key; over the past few years, we have promoted the "three noes" as a whole, taken the case as a lesson, promoted reform by case, and promoted the treatment of the case, promoted the establishment of rules and regulations, rectified and implemented, and effectively improved the comprehensive efficiency of controlling corruption.

【Commentary】Finance is the lifeblood of the national economy, which is related to the national economy and people's livelihood and all fields of economic and social development. Corruption in the financial sector is often intertwined with various market risks, which not only affects the role of financial functions, but also more likely to trigger systemic risks. In recent years, the financial anti-corruption campaign has continued to intensify, and a number of corrupt elements such as Lai Xiaomin, Hu Huaibang, and Sun Deshun who have violated the central financial work guidelines and policies and abandoned the bottom line of financial risks have been seriously investigated and punished, effectively cutting off the chain of interests colluded by regulators, employees of financial institutions, and unscrupulous business owners, and providing a strong guarantee for preventing and resolving risks and safeguarding national security.

Sun Deshun (former deputy secretary of the party committee and president of China CITIC Bank Co., Ltd.): Some things are too inappropriate, really should not be done.

【Commentary】Sun Deshun, former deputy secretary of the party committee and president of China CITIC Bank Co., Ltd. In March 2020, the State Supervision Commission of the Central Commission for Discipline Inspection announced that Sun Deshun was a typical example of a particularly serious problem of corruption in the financial sector, a particularly bad nature, and a particularly large amount, and expelled him from the party and transferred the suspected crime issue to the procuratorial organs for review and prosecution according to law.

Fan Xiangpeng (staff member of the Central Commission for Discipline Inspection and the State Supervision Commission): First of all, he seriously violated political discipline, and as the person in charge of an important state-owned commercial bank, he should have shouldered political mission and social responsibility, but he put the major decisions and arrangements of the central authorities behind him, and only pursued his so-called achievements and honored the interests of some bosses.

In recent years, the central government has repeatedly emphasized that finance should return to the source of serving the real economy, increase support for the manufacturing industry, and prevent excessive concentration of credit funds in real estate.

Fan Xiangpeng (staff member of the Central Commission for Discipline Inspection and the State Supervision Commission): He is concerned about what makes money quickly and achieves results quickly. He tended to lend to real estate, and when he presided over the president's office meeting, he openly and bluntly demanded that the whole bank must stop the manufacturing loan for me immediately, even if you have 100% mortgage, that is not OK.

Liu Cheng (Deputy Secretary of the Party Committee of China CITIC Bank): During this period, the loan structure of China CITIC Bank has changed, on the one hand, the growth rate of real estate loans has reached more than 40%, and the manufacturing loans have been under pressure drop at that time, and the pressure drop has reached more than 30%, so the influence of him is still very obvious.

[Commentary] The long-term risks brought by the excessive proportion of china CITIC Bank's loans to the real estate industry gradually emerged. In February 2020, the China Banking and Insurance Regulatory Commission issued a huge administrative penalty fine of 22 million yuan to China CITIC Bank, and 13 of the 19 penalties involved real estate business.

Fan Xiangpeng (Staff Member of the Central Commission for Discipline Inspection and the State Supervision Commission): This reflects a problem of the concept of political performance, the pursuit of immediate interests and partial interests, the annual report will be very good, but it will cause great hidden dangers in the future.

In addition to pursuing political achievements, there is another hidden reason why Sun Deshun increased real estate loans, that is, to seek personal interests. The investigation found that some real estate company owners were close to him and there was an exchange of benefits. For example, a real estate company owner once sent 10 million yuan to the company actually controlled by Sun Deshun in the name of investment, and the return was more than 4 billion yuan through Sun Deshun's approved loan credit.

Fan Xiangpeng (staff member of the Central Commission for Discipline Inspection and the State Supervision Commission): He has a characteristic that he does not accept cash, and he thinks that cash collection is too low-end, too simple and rude. The way he cashed out his interests was very professional, and he did layers of cover-ups, that is, he set up a lot of firewalls, went around a lot of circles, and used unique financial means and products to cover up.

Sun Deshun (former deputy secretary of the party committee and president of China CITIC Bank Co., Ltd.): Judging from the laws he has violated, he is still greedy, and he is particularly remorseful, and no matter how much he regrets, there is no regret medicine.

【Commentary】Sun Deshun has worked in the banking industry for more than 40 years, and is the only cadre in China's financial circles who started from the most basic level of the bank outlets as a counter teller and gradually grew into the president of the head office of a state-owned bank. He considers himself a skilled business and tries to cover up power and money transactions through elaborate design.

Sun Deshun (former deputy secretary of the party committee and president of China CITIC Bank Co., Ltd.): Because I came from the grassroots level and my business ability is relatively strong, I always feel that my business ability is there, which has caused a fluke mentality.

[Commentary] The survey found that Sun Deshun is a typical example of using "shadow companies" and financial means to complete the transmission of benefits, and its degree of specialization and complexity is quite rare. He arranged two old subordinates as agents to open two investment platform companies, and the so-called legal persons at the front of the two companies were actually just "shadows" of Sun Deshun's endorsement.

Warmth (head of the platform company controlled by Sun Deshun): I am a voice at the front desk, and there is only one person behind me, that is, Sun Deshun. The salary of our main management personnel and the company's core business decisions are actually determined by him, and these details are also determined by him.

On the one hand, Sun Deshun used public power at China CITIC Bank to approve loans for business owners; correspondingly, some of these bosses injected huge amounts of money into the platform companies he actually controlled in the name of investment, and some sent high-quality investment projects or investment opportunities; the platform companies used the funds provided by these bosses to invest in the projects provided by those bosses, make money with money, and share dividends with the bosses to form a community of interests.

[Commentary] Sun Deshun designed a very complex structure of heavy bunkers, two platform companies is his core management team, is the first layer of "shadow" hidden in front of him; under the platform company set up more than a dozen project companies as the second layer of "shadow", the project company and bribery enterprises are not direct transactions, but the two sides each set up a shell company as the third layer of "shadow", multi-layer shadow companies nested layer by layer. The transaction entity itself has been ghosted, and the capital transactions have been disguised as various seemingly legal financial products and equity investment agreements, using "shadow transactions" to convey interests and then cast a layer of fog.

After studying these blindfold methods, the task force decided not to spin around in the shadow maze, but to start from the source, sort out the loan credit promoted by Sun Deshun in China CITIC Bank, find the obvious abnormal decision-making matters, and then investigate the relationship between the enterprises that obtained the loan and Sun Deshun. This investigative strategy has pinpointed the core of Sun's corruption problem, which is to use credit approval power for personal gain.

Fan Xiangpeng (Staff member of the State Supervision Commission of the Central Commission for Discipline Inspection): At the end of 2014, an energy company applied for a loan from China CITIC Bank, because the energy company had a debt crisis, was a highly indebted enterprise, and generally did not issue loans. However, under the intervention of Sun Deshun, the 4 billion yuan loan was issued to enterprises, and non-performing assets were soon formed. In order to express his gratitude to Sun Deshun, the actual controller of this company signed a capital increase agreement with the platform company controlled by Sun Deshun, thus completing the transfer of benefits.

Through the so-called equity investment agreement, the energy company actually made a profit of 100 million yuan for the company controlled by Sun Deshun. There are many such power and money transactions, and the packaging methods for enterprises to convey benefits to Sun Deshun are various, but in exchange for the same things, that is, bank loans. Grasping this core, the heavy ghost quickly dissipated, and the actual controller was clearly revealed.

Sun Deshun (former deputy secretary of the party committee and president of China CITIC Bank Co., Ltd.): In the process of interacting with some entrepreneurs, I always think of seeking some benefits for myself or my own stakeholders.

[Commentary] The Sun Deshun case highlights the importance of the key power to control the credit approval power. Bank loan approval is generally submitted by loan customers to submit application materials, in accordance with the procedure to report to the approval level, while Sun Deshun often directly docks with the enterprise, and then arranges for subordinates to do, using the procedure inverted way to operate illegally. According to the system design of China CITIC Bank, the president has only one veto power over credit approval, and has no approval power; the approval must be voted by the credit approval meeting collectively, and the main leaders must speak last. But in fact, Sun Deshun often ignored these systems and directly interfered in credit approval, and the bank's internal control mechanism lost its role in the face of the power of the "number one".

Fan Xiangpeng (staff member of the Central Commission for Discipline Inspection and the State Supervision Commission): He was promoted from vice president to president, and he has always grasped this right and concurrently served as the director of this loan review committee. As the director of the loan review committee, you should be the last to speak, that is, you can't come up and set the tone. But when he heard that others disagreed, he couldn't help it, and when he came up, he directly said, "Why can't it work, you say no, how can't it work", others dare not say. Banks originally had a relatively strict set of credit management and risk management procedures, and after this kind of human intervention, these procedures were penetrated.

In response to the problems exposed by Sun Deshun's case, the State Supervision Commission of the Central Commission for Discipline Inspection promoted the systematic use of cases to promote reform by CITIC Bank, first of all, to correct the corporate governance structure, strengthen the responsibilities of the board of directors, the board of supervisors, and the senior management, determine the relationship between them to check and supervise each other, and at the same time promote the reform of the credit system, risk management system and approval system, strengthen the accountability mechanism, improve the corporate governance system, and improve the governance capacity.

Liu Cheng (Deputy Secretary of the Party Committee of China CITIC Bank): The first is to prohibit the president from serving as the director of the loan review committee to avoid the president's direct interference in credit projects. Then it is to improve the credit management system, the investigation and approval of credit granting, all the way to the management after the credit, all formulate corresponding management measures, introduce the reform of the approver system, from the past administrative approval management system, to the expert credit approval system, so that the entire credit management can be improved.

The Sun Deshun case also reflects that the reasons for the lack of supervision in the financial sector are both the problem of its own internal supervision system and the lack of industry supervision.

Mao Fengjun (Deputy Director of the Party Committee Office of the General Office of the China Banking and Insurance Regulatory Commission): Reflecting on our financial supervision work through cases, one is that there are still problems of loose and soft performance of duties, on the other hand, some systems and regulations in the financial field need to be improved urgently, and there are deficiencies in the regulatory system in some intersecting and innovative fields, which has led to some financial risks and financial chaos.

【Commentary】In order to further strengthen industry supervision, in accordance with the State Council institutional reform plan adopted at the first session of the 13th National People's Congress in March 2018, the banking and insurance industries will be merged into supervision, the China Banking and Insurance Regulatory Commission will be established, the regulatory linkage mechanism will be established, and the modern financial supervision system will be improved.

Commentary: The reason why some financial units have problems and breed corruption is, in the final analysis, that the party's consciousness is not strong and the party's leadership is weakened; at the same time, the discipline inspection departments are difficult to perform their duties and have seriously lack supervision, which is also very obvious in the Sun Deshun case. The most fundamental thing in deepening systematic governance and promoting the treatment of both symptoms and root causes lies in strengthening the party's leadership and party building, and ensuring that the decision-making and deployment of the party central committee on financial work are effective.

Liu Cheng (Deputy Secretary of the Party Committee of China CITIC Bank): To implement the requirements of the central authorities, especially the series of requirements for strengthening party building and strengthening the leadership of the party, and to strengthen the leadership role of the party committee, it is now required that the party's leading role be run through all aspects of corporate governance, consciously benchmarking the table, and acting in accordance with the central decision-making and deployment.

【Commentary】In view of the lack of supervision and the problem of ineffective supervision, in the new round of institutional reform, the State Supervision Commission of the Central Commission for Discipline Inspection directly dispatched discipline inspection and supervision teams to 18 central financial institutions, including CITIC Group. The effect of this reform was immediate, and from 2019 to December 2021 alone, the discipline inspection and supervision team dispatched to the financial unit filed a case to review and investigate 81 people for the management cadres of the party committees stationed in the units.

Zhao Baoguo (Deputy Director of the General Office of the Central Discipline Inspection Commission and the State Supervision Commission): In the past, there was an internal discipline inspection commission, but it was mainly led by the party group and party committee of the enterprise. The internal discipline inspection commission has been changed to a discipline inspection and supervision group stationed there, the leadership relationship has changed, it is under the direct leadership of the Central Discipline Inspection Commission and the State Supervision Commission, and it also has the power of supervision, so great changes have taken place in the way of supervising and enforcing discipline and law enforcement, which determines that the intensity of rectifying the work style and suppressing discipline and fighting corruption has been greatly increased than before.

The essence of corruption is the abuse of power, and it is necessary to put power into the cage of the system, set up power, regulate power, restrict power, and supervise power according to discipline and law. With the deepening of the reform of the discipline inspection and supervision system, the supervision system of the party and the state has been continuously improved, the full coverage of supervision within the party has been realized, all public employees exercising public power have been included in the scope of supervision, and the restraint and supervision of the operation of power have been effectively strengthened.

[Commentary] The cases investigated and handled since the Eighteenth National Congress of the Communist Party of China show that leading cadres who are party members, especially the "number one" who violate discipline and the law, are most likely to have a chain reaction, and even lead to regional, systematic, and collapsed corruption, causing serious damage to the political ecology of one side. Strengthening the supervision of the "number one" is of extreme importance and practical urgency.

Yang Hongwei (former secretary of the Qianjiang District Cpc Committee of Chongqing Municipality): My main psychology, after all, I am the secretary of the district party committee and the boss in Qianjiang, and that desire and that thought hope to be satisfied to a certain extent.

[Commentary] Yang Hongwei, former secretary of the Qianjiang District Committee of Chongqing Municipality, former deputy secretary of the party group and deputy director of the Chongqing Municipal Market Supervision and Administration Bureau. In 2019, when the Chongqing Municipal Discipline Inspection and Supervision Organs investigated another case, they brought out the clue that Yang Hongwei was suspected of accepting bribes in the engineering field during his time as a "top leader" in Qianjiang, and felt the need to conduct a preliminary verification of him. When the inspection team went to Qianjiang to learn about the situation, they quickly felt that the cadres and masses said that Yang Hongwei's general reputation was not good.

Zhang Wenlong (staff member of the Chongqing Municipal Commission for Discipline Inspection): During the inspection, I heard cadres and the masses say the word "secretary of the ball." A common saying in the mouths of local cadres in Qianjiang is not to go to Yang Hongwei after 4 p.m., because you can't sign him, you're not there, you're playing basketball.

[Commentary] Yang Hongwei often plays basketball during working hours, and there are a group of staff from the district party committee office and the district government office to accompany him, and he also knows that this is not appropriate, so the venue is selected in the internal court of a unit, and outsiders cannot enter. But in fact, this has long been an open secret among the cadres in Qianjiang.

Yin Ming (deputy director of the Qianjiang District Health Commission): He loves to play basketball, and he is basically surrounded by basketball players, so he looks up to these people in terms of work transfer arrangements.

Gao Changbing (Chairman of Qianjiang District Chengtou Group): He recruited a group of basketball players in the office, and he used people in his circle, whether he had the ability or not.

[Commentary] The cadres and masses reported not only the problem of violating work discipline, but also the problem of orientation in employing people; after investigation, the verification team found that the reflection was true, and some cadres who often accompanied Yang Hongwei to play ball, as well as some of his classmates, relatives, and related households, were promoted and resettled at his behest.

Zhang Wenlong (staff member of the Chongqing Municipal Commission for Discipline Inspection and Supervision): There is also a saying in the local area that it is not important whether the work is done well or not, and whether the relationship with Yang Hongwei is good or not is important.

[Commentary] Regarding the clues that Yang Hongwei accepted bribes in the engineering field, the verification team also got further confirmation in Qianjiang and obtained more clues to the problem. In May 2019, the Chongqing Municipal Commission for Discipline Inspection supervision formally filed a case for review and investigation of Yang Hongwei. After investigation, Yang Hongwei used his power to provide assistance to a number of businessmen and bosses in the engineering field, accepting bribes of more than 34 million yuan, and still did not restrain after the Eighteenth National Congress of the Communist Party of China.

Yang Hongwei (former secretary of the Qianjiang District Cpc Committee of Chongqing Municipality): I have this kind of consciousness and thought, it always has an end, and it is fortunate to have escaped it.

[Commentary] Yang Hongwei's corrupt behavior was mainly concentrated during the period of "number one" in Renqianjiang District. He has a set of "official value theory" that he summed up, holding that cadres at the departmental and bureau levels are less supervised, have great power, small risks, and are the most cost-effective.

Yang Hongwei (former secretary of the Qianjiang District Party Committee of Chongqing Municipality): When a department official is relatively cost-effective, no one will pay attention to you, and you will not be like this.

[Commentary] When public posts are measured by cost performance, what is loaded in the heart is naturally not to use power for the people, but to use power for personal gain. Looking out from the high point of Qianjiang District, many projects within sight, including the transformation of the old city, the motor vehicle trading center, the agricultural and sideline products trading center, the vegetable wholesale market and other projects, have Yang Hongwei's power and money transactions. For the 150 million engineering volume of the electrolytic aluminum processing plant project, Yang Hongwei helped the contractor to take the condition of the project that he would account for 55% of the profits, and after the fact, the contractor gave Yang Hongwei more than 10 million yuan as agreed.

Pu Heng (businessman involved): At first, he told me 50%, and later he said no, he wanted 55%. He said he wanted so much, I could only say yes.

In a seemingly ordinary office building, there is a luxurious private clubhouse, restaurant, tea room, chess and card room, KTV are all available, and senior chefs are responsible for meal preparation. Yang Hongwei and his circle of bosses often come here to eat, drink and play mahjong. The cards are played quite large, the wins and losses are as few as a few thousand or tens of thousands, and the bosses are also very acquainted, and Yang Hongwei only loses and does not win. Such a card field Yang Hongwei played naturally in a comfortable mood, happy to be tireless, so that some bosses also feel overwhelmed.

Pu Heng (businessman involved): There is no problem of winning or losing when playing mahjong with him, mainly accompanied by tiredness. Every time he plays mahjong, he plays very late, generally after work until two or three in the morning, and the end of one or two o'clock is early, mainly because he plays with high frequency and long time, and people can't stand it.

[Commentary] For the bosses, as long as they have a good relationship with Yang Hongwei to get the project, it is worth the money to be affected. For Yang Hongwei, engineering projects are both profitable and can serve as political achievements, and he is naturally keen to launch various projects.

Yang Hongwei (former secretary of the Qianjiang District Party Committee of Chongqing Municipality): Qianjiang has 50 or 60 projects a year, and I am the secretary, and it is okay to give them one-fifth or one-quarter to do it. As long as the economy develops, it can cover up all the ugliness.

[Commentary] In order to get more projects, Yang Hongwei even disregarded the actual situation of Qianjiang and borrowed heavily. By the time he left office, the comprehensive debt ratio of Qianjiang District exceeded the early warning red line. In order not to affect his own political performance, he also instructed the district finance bureau to falsify data and conceal and underreport debts. Looking back now, some of the projects he led blindly started without argumentation, and have been in trouble or even rotten, causing a large number of problems left over to Qianjiang.

Gao Changbing (Chairman of Qianjiang District City Investment Group): He has an unshirkable responsibility for the increase in Qianjiang's debts, which is a very heavy burden for the people of the whole region. PVC project supporting facilities invested billions of dollars, only the cement plant is running, it is equivalent to throwing in the water, bubbles have not bubbled up.

【Commentary】The municipal construction and investment promotion in Qianjiang District are mainly operated through two state-owned enterprises: Chengtou Group and Hongye Company. Yang Hongwei transferred an old subordinate across regions, and then promoted an old classmate from the local area to serve as the chairman of these two state-owned enterprises, both of whom were "his own people" in his circle, and the instructions for violating discipline and violating discipline were also unimpeded in these two state-owned enterprises. Both cadres are now being investigated and punished for corruption.

Gao Changbing (Chairman of Qianjiang District Urban Investment Group): The two chairmen of The City Investment Group and the Hongye Group have both gone to prison, and they were both promoted by him, making a mess of the City Investment Group. At present, our urban investment group has 135 problems, because the entire political ecology at that time had problems and the selection and employment mechanism had problems.

After Yang Hongwei left office, the number of cadres in Qianjiang District who were investigated and punished one after another was staggering, especially in the field of engineering construction, which became the hardest hit area of corruption.

Zhang Wenlong (Staff member of the Chongqing Municipal Commission for Discipline Inspection and Supervision): 79 cadres at the district management and department level were investigated and punished, of which 17 were involved in corruption in the field of engineering construction, most of which occurred during Yang Hongwei's administration of Qianjiang. The secretary of the district party committee is like this, who will take care of me!

[Commentary] In view of the problems exposed by Yang Hongwei's serious case of violating discipline and the law, the Chongqing Municipal Commission for Discipline Inspection and Supervision issued a work proposal to the Qianjiang District CPC Committee on "using cases to promote reform," calling for an in-depth analysis of the root causes in terms of promoting the party's political building, eliminating the unhealthy tendencies in the selection and employment of personnel, rectifying corruption in the field of engineering construction, rectifying the conspicuous problems of the "four winds," and establishing a good moral trend, and carrying out "four explanations based on cases and four reforms based on cases" in the whole region. Through in-depth warning education, party members and cadres can draw lessons from the corruption cases that have occurred to those around them; the "four reforms by cases" means to change governance, supervision, system, and work style, so that the problems discovered can be effectively rectified.

Tang Yong (member of the Chongqing Municipal Supervision Commission): Saying that and reform are one and the same, this means that we dare not, cannot, and do not want to, from handling cases to supervision to rectification and reform, we have actually formed a combination of integration.

【Commentary】 The four leading bodies of Qianjiang District and many district management cadres attended the "Four Explanations on Cases" warning education conference, at which They briefed Yang Hongwei on the relevant cases and deeply reflected on the four aspects of "discipline, law, morality, and responsibility." Qianjiang District carried out special rectification in response to the chaos in the field of engineering construction that was prominently exposed in Yang Hongwei's case, checked more than 260 engineering construction projects, investigated and dealt with 17 department-level cadres involved in corruption in the field of engineering construction, and systematically improved the system and plugged loopholes. In view of the problem of the wrong orientation in the selection and employment of personnel during Yang Hongwei's administration, a special rectification of the selection and employment of personnel was carried out. The comrades of the Standing Committee of the District Committee directly interviewed 36 batches and 60 person-times, strictly controlled the selection and employment of personnel, and successively "lit a red light" on 6 cadres to be promoted. Through a series of measures, the political ecology of Qianjiang District has been promoted to continue to improve.

Yu Changming (then secretary of the Qianjiang District CPC Committee): When I first came to Qianjiang, by about 4 o'clock in the afternoon, most of the cadres of the organs had left work. It turned out that at 4 o'clock our taxi business was the best, now it is 6 o'clock the best business, taxi drivers are the most able to perceive and feel the change in style. To arouse the enthusiasm of cadres, it is necessary to have a good orientation in selecting and employing people, and truly let those who do things, who can do things, and who can accomplish things be promoted and reused.

[Commentary] The Yang Hongwei case once again shows that the "number one" has heavy responsibilities and centralized powers, which is both the focus of supervision and the difficulty of supervision. Only by controlling the "key minority," especially the principal leading cadres at all levels, can we comprehensively and strictly administer the party with deterrent and persuasive power.

【Commentary】On June 1, 2021, the Opinions of the Central Committee of the Communist Party of China on Strengthening the Supervision of the "Number One" and the Leading Group" were publicly released. This is the first special document formulated for the supervision of the "number one" and the leading body, and it is an important measure to improve the supervision system of the party and the state and promote the comprehensive development from strict party management to in-depth development.

Chen Yaxin (Deputy Director of the Laws and Regulations Office of the State Supervision Commission of the Central Commission for Discipline Inspection): Formulating the "Opinions" and strengthening supervision over the "number one" and the leading body are important measures taken by the party Central Committee to uphold and strengthen the party's overall leadership, have the courage to carry out self-revolution, and solve the difficult problems of supervision within the party based on the realization of the second centenary goal. A total of 21 supervision measures have been formulated, which are conducive to the implementation of the main responsibility and supervision responsibility of managing the party and governing the party, prompting the "number one" and leading bodies at all levels to understand the supervision responsibilities from the height of stressing politics, take the initiative to carry out supervision, consciously accept supervision, and promote the better transformation of the advantages of the supervision system with Chinese characteristics into governance efficiency.

Commentary: Starting again in the past century and embarking on a new journey, the new situation and new tasks have put forward unprecedented new challenges and new requirements for our party. As long as we always maintain the spirit of self-revolution, enhance our political consciousness of comprehensively and strictly administering the party and always being on the road, rectify the work style and fight corruption with the concept of treating the party in a systematic manner and treating both the symptoms and the root causes, constantly eliminate all factors that undermine the party's advanced nature and purity, and constantly eliminate all viruses that erode the healthy body of the party, we will certainly be able to ensure that the party does not change its quality, color, and taste, and ensure that the party will always become a strong core of leadership in the historical process of upholding and developing socialism with Chinese characteristics in the new era.

Source: Website of the Central Commission for Discipline Inspection and the State Supervision Commission