Economic Observer Online
May 29, 2012
By Liu Xiaolin (刘晓林)
Translated by Pang Lei
Original article: [Chinese]

Late on Monday, the Xinhua News Agency, quoting sources from the Communist Party of China's Central Commission for Discipline Inspection, reported that the country's former railways minister has been expelled from the ruling Communist Party and that his case will soon be sent to judicial authorities.

Beginning in Feb 2011, with the approval of the CPC Central Committee, the Central Commission for Discipline Inspection conducted an investigation into Liu Zhijun (刘志军), who also previously served as the Party Secretary of China's Railways Ministry before being removed from his position in early 2011.

The investigation found that Liu Zhijun had abused his power to help Ding Yuxin (丁羽心) - also known as Ding Shumiao (丁书苗) - the chairwoman on Beijing Broad Union Investment Management Company (北京博宥投资管理集团公司), to make large amounts of illegal profits, this caused significant economic losses and an adverse social impact.

According to an earlier report regarding reports of an investigation into Ding Shumiao that was published on Caixin's English-language site on Jan 28, the 55 year-old Ding built her considerable fortune up from a transportation company that shipped coal in the coal-rich Shanxi province in the late 1980s.

Ding, who is also a member of the Shanxi's Provincial Chinese People's Political Consultative Conference, has since built up a substantial business empire and cultivated high-level political connections.

Liu's acceptance of large amount of bribes and moral shortcomings also led to serious corruption within China's railway industry.

According to the Central Commission for Discipline Inspection, the above acts not only constitute serious violations of discipline, but some of his actions are also suspected of being illegal.

According to the Chinese Communist Party Disciplinary Regulations and other regulations, the standing committee of the Central Commission for Discipline Inspection reported the findings of their investigation to the CPC Central Committee Political Bureau for approval. The CPC Central Committee made the decision to punish Liu Zhijun by expelling him from the party, a decision that will later be ratified at the next full meeting of the party's Central Committee.

In terms of any punishment to be handed to Liu Zhijun in relation to his government position, the Ministry of Supervision will submit their findings to the State Council for approval.

In addition, Liu's case will be handed to China's judicial authorities and the funds that are thought to have been obtained illegally will be pursued through the courts.

For more details on Liu's case, see this earlier article from the EO:
http://www.eeo.com.cn/ens/2011/0215/193384.shtml.

Links and Sources
Xinhua News Agency: 刘志军因严重违纪被开除党籍 移送司法机关依法处
Economic Observer Online: What Brought China\'s Railway Minister Down?