Wang Qishan, Finance Chief, Fan Yifei, Accused of Embezzling Nearly 400 Million

Wang Qishan, the former financial chief of China Construction Bank (CCB) during his tenure and former vice-governor of the People’s Bank of China, Fan Yifei stood trial today (April 18th) accused of corruption spanning 29 years, amassing nearly 400 million yuan. As a key figure in Xi Jinping’s anti-corruption campaign during his first term as CCP leader, Wang Qishan’s former associates have been falling one after another, involved in massive corruption cases. Experts believe that while Xi aims to eliminate factional threats, seizing assets of corrupt officials is also a way to address financial crises.

According to official Chinese media the “New Jing Bao,” on April 18th, the Intermediate People’s Court of Huanggang City, Hubei Province, held the first trial of Fan Yifei, former member of the CCP Central Bank Committee and vice-governor, on charges of bribery.

The prosecution accused Fan Yifei of receiving a total of more than 386 million yuan in cash and assets directly or through specific individuals for providing assistance in various matters such as loans, financing, business contracting, and job transfers during his tenure in various positions at CCB and the People’s Bank of China.

Official reports state that Fan Yifei has admitted guilt and regret, with the verdict set for a later date.

Fan Yifei, born in 1964, joined CCB in 1982 at the age of 18 and rose through the ranks to become vice-governor of CCB in 2005, a member of the CCP Central Bank Committee in January 2015, and vice-governor of the People’s Bank of China in February 2015.

Fan Yifei served as the financial chief under Wang Qishan’s leadership at CCB. During Wang Qishan’s term as CCB president from 1994 to 1997, Fan Yifei held various roles at CCB Trust Investment Company and CCB Headquarters, including assistant general manager and manager of the financial planning department.

Fan Yifei went through eight other CCB presidents before being promoted to the CCP Central Bank Committee and vice-governor in 2015, with Zhou Xiaochuan serving as governor at the time.

Former CCB president Wang Qishan, who retired in March this year, helped Xi Jinping in his first term as the Secretary of the CCP Discipline Inspection Commission to “cleanse” political opponents under the guise of an anti-corruption campaign. However, since Wang Qishan’s appointment as Vice President of China, his former associates have been continuously taken down.

In February this year, Zhang Huixia, former president of China Merchants Bank, was sentenced to death with a reprieve and had all personal assets confiscated for corruption involving 500 million yuan, making him another casualty from the era of Wang Qishan’s leadership at CCB.

Another former secretary of Wang Qishan, and former deputy director of the Central Inspection Commission, Dong Hong, was sentenced to death with a reprieve and had all personal assets confiscated in January 2022 for corruption involving 460 million yuan.

Su Ziyun, director of the Strategic and Resource Institute of the Taiwan Institute of National Defense and Security Studies, stated to Dajiyuan on February 6th that Wang Qishan’s faction certainly has corruption issues, but Xi Jinping feels threatened by Wang Qishan. The tradition in the CCP is to “kill the rabbit to cook the dog,” and Xi Jinping is clearing out Wang Qishan’s anti-corruption team one by one to consolidate his own security.

Yuan Hongbing, a liberal scholar based in Australia, also told Dajiyuan that Wang Qishan’s many former associates hold critical power positions within the financial system. Xi’s intensified anti-corruption efforts in the financial sector are bound to reach these individuals. However, Xi will not directly target Wang Qishan, as Wang is now a dead tiger.

Regarding the official announcements of massive corruption by these officials, Yuan Hongbing explained that due to the precipitous economic decline within the entire CCP, financial difficulties at all government levels, and Xi Jinping’s push to develop militarism in preparation for a potential conflict in the Taiwan Strait, Xi is using the crackdown on officials and confiscation of their assets to fund military operations and maintain stability, while also alleviating financial crises at various government levels.