The Chinese Communist Party officially announced the expulsion of Li Quan, former chairman of Xinhua Insurance, from the party and his transfer to judicial authorities after being reportedly missing for nearly half a year. Li Quan retired in August last year.
According to a report on September 30 by the website of the Central Commission for Discipline Inspection and the National Supervisory Commission of the CCP, Li Quan, former party secretary and chairman of Xinhua Life Insurance Co., Ltd., had his party membership revoked and benefits canceled. He has been referred to the prosecution for review and indictment.
The report stated that Li Quan resisted organizational review, violated regulations in hiring practices for personal gain, engaged in extensive profit-making activities using the convenience of state-owned financial institutions, took on unauthorized side jobs for remuneration and exceeded salary limits. He shamelessly engaged in “financial activities for financial gains,” conducted power and money transactions, exploited his position for the benefit of others in business operations, investment opportunities, and received substantial bribes, as well as misappropriated public funds.
Rumors of Li Quan’s disappearance first circulated in mid-April of this year, with several Chinese media outlets attempting to contact him without success. Xinhua Insurance did not provide a direct response to these claims. In August last year, the company issued a statement announcing Li Quan’s retirement due to reaching retirement age.
At that time, industry insiders revealed to the media that Li Quan had been missing for about two months, possibly related to issues with the use of insurance funds or involving Xinhua Asset Management (Hong Kong) Limited.
Public records show that Li Quan, born in 1963, has extensive experience in investment management and a deep understanding of the capital market. Before joining Xinhua Insurance, he worked at Boshi Fund for over ten years. In 2010, Li Quan joined Xinhua Insurance as the Chief Executive of Xinhua Asset.
From August 2019 to April 2023, Li Quan served as the CEO of Xinhua Insurance. On September 26, 2022, he was elected as the Chairman of the 7th Board of Directors of Xinhua Insurance. In April 2023, his qualifications were approved by the China Banking and Insurance Regulatory Commission.
Four months later, on August 22, Xinhua Insurance announced that Li Quan resigned from all his positions in the company, including Chairman of the Board, Executive Director, Chief Executive Officer, Chairman of the Board’s Strategic Committee, Committee Member of the Investment Committee, and other roles, citing age reasons.
Li Quan is another former chairman of Xinhua Insurance who has fallen from grace following Wan Feng.