Fri. Jan 21st, 2022

Anti-corruption watchdog says Wang Bin is “suspected of serious violations of discipline and law”.

China’s top watchdog has the chairman of China Life Insurance Co. Ltd., one of the country’s largest insurers, placed under investigation, the most senior executive of the financial industry caught in an anti-corruption action this year.

Wang Bin is “suspected of serious violations of discipline and law, and is currently undergoing disciplinary review and investigation,” the China Central Commission for Discipline Inspection said in a statement on Saturday without disclosing more details.

A nationwide counter-vaccine-focused crackdown on financial institutions and regulators has killed more than 20 officials since early October, as authorities intensified investigations into the country’s $ 54 trillion financial system. Wang is the first high-level financial industry official to be hit by the campaign this year, according to the official Securities Times.

China Life said it would cooperate with investigations and support Beijing’s actions to clean up the country’s political and financial systems, according to a statement on Saturday. The company will hold a board meeting in the near future to decide on an acting chairman, it said in a filing at the Shanghai Stock Exchange on Sunday.

The news is expected to cast a shadow over the company’s share price, as investors may be concerned about the insurer’s corporate governance as well as possible business disruptions brought about by the change in leadership, analysts at Citigroup Inc. said. written in a note.

But the investigation should have a “manageable impact” on China Life’s operations, led mainly by other executives as Wang, 64, nears retirement, analysts said, targeting China Life’s Hong Kong-listed share HK $ 22 is. . The stock closed at HK $ 13.46 on Friday.

Wang previously held positions in China Taiping Insurance Holdings and Bank of Communications Co. held before he was chairman of China Life. He also worked at the central bank.

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