Sept 13, 2012
Translated by Tang Xiangyang

Du Shuanghua (杜双华), the chairman of Rizhao Steel Holding Group Co. Ltd (日照钢铁控股集团有限公司) and one of China's richest men, was back in the headlines at the end of last month as China's gossip-hungry media salivated over the latest development in his marathon divorce case.

Mr Du, who many readers might remember from his starring role in the bribery case against four Rio Tinto iron ore traders in 2009 (more details here), claims that he divorced his wife Song Yahong (宋雅红) back in 2001 and that she was awarded an apartment in Beijing along with a Volkswagen Santana. Mr. Du got sole custody of the kids.

Du's ex-wife is contesting the validity of the 2001 divorce settlement on the grounds that it was held in her absence and she had no idea that it had taken place.  

In September 2010, Song Yahong lodged a divorce case with the Haidian court in Beijing requesting control of 50 percent of her husband's assets. Due to the earlier verdict handed down by a court in the prefecture-level city of Hengshui in Hebei Province, the Beijing court said it wouldn't accept her case. Song appealed this decision.

On Nov 4, 2010, the Hengshui Intermediate Court decided to retry the case due to certain "errors" in the original judgement.

On Aug 15, 2012, a Beijing Intermediate court upheld the original judgement of the Haidian court and on the grounds that the Hengshui court had ruled that the case should be re-heard.

The re-trial eventually took place in Hengshui's Intermediate People's Court on Aug 29.

Lawyers representing Du Shuanghua requested that the hearing be held in private due to the sensitivity of the commercial information that might be exposed, this argument was upheld by the court.

Though the case was not open to the public, a reporter from The Beijing News was able to piece together a few details of what took place by speaking to some people who were present in the courtroom.

The Beijing News reported that as the trial started, the chief judge clearly stated that Du and Song had already divorced in 2001 because a verdict issued by the Hengshui Intermediate People's Court had made this pronouncement. The judge went on to say that the current trial was focused on returning to the question of how the couple's asset would be split.

The lawyer representing Song argued that there was a mistake with the original verdict handed down in 2001 and said the court should also make a new judgement on the validity of the divorce itself.

Du didn't attend the hearing, a fact that was noted by the court after lawyers representing his ex-wife drew attention to rules that require the involved parties to attend divorce hearings or to present written explanation of why they cannot attend.

The trial ended at 11:30am and Du's legal representatives left quickly refusing requests for interview.

Song Yahong spoke to reporters outside the court.

Song admited that getting control of 50 percent of Du's assets would be difficult and expressed her willingness to negotiate. Song also said that she had met Du a couple of times and had also had dinner with him some time over the past two year.

Over the past year, their 24-year-old son has returned from abroad and his father arranged a position for him with Rizhao Steel.

At the time we filed this story, no final verdict had been delivered.

How Much is Du Worth?

Du Shuanghua was ranked as the second most wealthy individual in China by the Hurun Report in 2008, he dropped to 26 in 2011. Domestic media reports on the trial estimated that Du Shuanghua controls between 40 to 50 billion yuan in assests.

Links and Sources
Economic Observer Online: Why Chinese Steel Mills Bribed Rio Tinto Employees
The Beijing News: 钢铁大亨离婚案终审被维持
Beijing Evening News: 钢铁大亨杜双华离婚案再审 女方为男方说好话
Sydney Morning Herald: A year on, secrets, lies and corruption remain at the heart of Rio Tinto case
Sydney Morning Herald: Bribery pays: court reveals iron ore corruption