In recent days, controversial practices in maintaining relationships with high-value clients in the banking sector in China have emerged, shedding light on the connections between the financial industry and government officials. It has been reported that the Industrial Bank openly offers opportunities for the children of clients who deposit 10 million yuan or more to study abroad and intern at prestigious overseas companies such as JPMorgan Chase, Google, and Microsoft.
According to a report by a Chinese media outlet on May 27, a netizen revealed that the Industrial Bank’s private banking sector launched the “2025 Elite Internship Program,” providing internship opportunities at renowned companies, including China International Capital Corporation, for clients’ children. The conditions for enrollment include “new funds of over 10 million yuan for non-private banking clients and over 5 million yuan for existing private banking clients,” with a stipulation that the funds cannot be withdrawn during the internship period.
Responding to the reports, a customer service representative from the Industrial Bank stated to the media, “Indeed, there is such an internship program, but specific details need to be consulted with the customer manager of the private banking clients.”
Public records show that the Industrial Bank was established in April 2011 with its headquarters in Shanghai, becoming the first licensed private bank among domestic joint-stock banks in China in nearly a decade. The bank’s official website indicates that to become a client, the average daily comprehensive financial assets must amount to at least 6 million yuan.
Reported by “Red Star Capital Bureau,” employees of the Industrial Bank mentioned that the registration for the aforementioned internship program ended last week. One staff member mentioned that there were only 40 spots available for the activity.
Some netizens criticized the bank’s practice, expressing views such as, “Is this a bank offering internship opportunities in exchange for large deposits? This essentially monopolizes social connections and resources, with high-net-worth clients’ children securing offers at top companies while children from ordinary families struggle to even pass resume screenings.” Some have also commented, “It’s no surprise that your social status remains low if you’re unaware of such practices. Over a decade ago, smaller banks had a rule that required a deposit of 2 million for employment. There were even positions openly sold, like in Tianjin for 380,000.”
The article about the internship program on the Industrial Bank’s public account was found to be unavailable on the 26th, as discovered by the Red Star Capital Bureau.
Further research on the internet revealed that in 2023, the Industrial Bank’s official website introduced a value-added service under private banking that included a tailored education service system for clients and their children, covering services such as overseas study consultations and corporate internships.
Financial industry insiders have mentioned that providing internship opportunities for clients’ children in private banking in China is quite common and is one of the ways to maintain relationships with high-value clients. Several other banks have previously offered similar services.
According to the “Beijing Business Daily,” in July 2023, a branch of Citi Bank in China organized a private banking summer elite internship camp, inviting nearly 40 clients’ children to participate.
The Chinese financial sector has long been associated with connections to high-ranking officials, with revelations in recent years including the existence of the “Official’s Wives Club,” where banks exclusively hire spouses of officials to receive high salaries without performing duties. For instance, Gu Liping, the wife of former Director of the General Office of the Chinese Communist Party, Ling Jihua, was arranged by the then-President of Minsheng Bank, Mao Xiaofeng, to work as a manager at Minsheng Leasing for 3 years. The wife of former Vice-Chairman of the Chinese People’s Political Consultative Conference, Su Rong, Yu Lifang, was appointed as the Director of the Audit Committee of the Minsheng Bank’s Board of Directors.
Hong Kong’s “Apple Daily” once commented that mainland securities companies and banks have formed an “Official’s Wives Club,” which is heavily connected to the financial system of the Chinese Communist Party: official’s wives have the advantage of using their connections to secure large government and state-owned enterprise deposits; for brokerage firms to gain more high-quality enterprise IPO business, they need to establish a good working relationship with local governments. Moreover, the insider information held by official’s wives becomes a trump card for brokerage firms seeking massive profits.
As reported by Chinese media previously, industry professionals disclosed that it is common for the spouses and children of many officials to be arranged jobs at banks and other financial institutions, enjoying salaries in the financial industry well above the average. Most of these arrangements are conducted behind closed doors.
Moreover, even foreign investment banks operating in China have adopted similar indirect bribery tactics. During his tenure at Deutsche Bank, Zhang Hongli, formerly Deputy President of Industrial and Commercial Bank of China, recruited dozens of inexperienced but influential “princelings” at the bank’s branches in mainland China and Hong Kong to secure orders for Deutsche Bank. The list included children of Liu Yunshan, Wang Yang, and Li Zhanshu, aiming to leverage connections for business opportunities.