Revelations of vast fortune held by Chinese leader's family may hurt Communist Party image

China Daily via Reuters, file

Chinese Premier Wen Jiabao shakes hands with local workers in earthquake-hit Mianzhu, Sichuan province in this Jan. 25, 2009 file photo.

BEIJING – When news broke earlier this year that the family of disgraced Chongqing party boss, Bo Xilai, had amassed $160 million in ill-gotten earnings, the story was seen as a proverbial pin in the balloon China’s ruling Communist Party has long floated to its people about its leadership.

In China the storyline went something like this: local-level officials could be and have been corrupted. But China’s highest leaders were incorruptible, pious men who were sympathetic to the plight of the country’s citizenry.

Bo’s corruption and the transgressions of his inner circle have been very publicly renounced by the Communist Party. His wife, Gu Kailai, was found guilty of the murder of British businessman Neil Heywood while his former deputy police chief, Wang Lijun, was jailed and held up as a traitor after his now infamous flight to the American Consulate in Chengdu this past winter.

News Friday that Bo had been stripped of his last party title appears to pave the way for a convenient resolution of the scandal before a critical once-in-a-decade leadership changeover on Nov. 8 at the 18th Communist Party Congress.

But the revelation in Friday’s New York Times that the family of Chinese Premier Wen Jiabao controlled assets of at least $2.7 billion dollars posed a grave threat to the Party’s preferred narrative of being the honest broker that brings prosperity to all.

NYT report: China leader Wen Jiabao's family has amassed billions in assets since '98

So much so that Beijing was forced Friday to kick the censorship gears up a notch, blocking the English- and Chinese-language websites of the New York Times, blacking out mentions of the story on independent cable news channels carried in China, and censoring the names of Wen’s family and other mentions of the story on China’s Internet.     


At a Foreign Ministry briefing Friday, a spokesman gruffly stated that the Times’ report "blackens China's name and has ulterior motives." When asked why the paper’s website was being censored, he said, "China manages the Internet in accordance with laws and rules."

One piece of information not censored, however is a report released Thursday by the research group, Global Financial Integrity, which estimated $3.7 trillion dollars had been pilfered and smuggled out of China from 2000 through 2011.

The report also estimated that $472 billion -- or 8.3 percent of China’s 2011 gross domestic product -- had been stolen last year alone.

Just how guilty Wen is in his family’s nationwide money grab is up for debate. As the Times’ report noted, a 2007 diplomatic cable published by Wikileaks quoted an executive who noted that the premier was aware of his family’s lucrative business ventures: “Wen is disgusted with his family's activities, but is either unable or unwilling to curtail them."

Wen’s failure to reign in his family’s financial activities threatens to undermine the carefully scripted public persona he has cultivated over the years.

AFP - Getty Images

A click-through history of modern relations between the United States and China.

Nicknamed “Grandpa Wen” by state media, the premier has relished opportunities to be photographed connecting with members of rural communities and blue-collar workers. During the 2008 Sichuan earthquake, he was a near-daily presence in news reports about the disaster and government rescue and recovery efforts.

He has also been dogged in his calls for economic reform and greater income equality. At this year’s National People’s Congress, during what was likely his last major press conference in a 45-year-long political career, Wen called for reform.

“Even with a single breath left, I am ready to dedicate myself fully to the cause of China’s reform,” he was quoted as saying.

Although Wen was speaking months before the release of the Times piece, he still apparently felt the need to address whispers about relatives trading on the family name. “I have never pursued personal gain,” declared Wen, before adding, “History will have the final say.”

Communist Party officials hope to control the writing of history. But the institution is starting to feel the strain of having to push an ever heavier stone uphill. The Internet has made information more widely available than ever before on the mainland; what censors just 10 years ago could make disappear – sometimes literally -- has become more problematic today.

Still, while completely squashing a story in China seems to no longer be possible, it may not be Beijing’s intention or even in its best interest to stifle information. Some Chinese have found ways to circumvent the Great Firewall, while millions have gone abroad, where they have been exposed to the world beyond. Allowing them the safety valve of relatively free information does not pose an immediate threat to Party rule for now.

That’s because the vast majority of China’s population appears to be apolitical, disinterested in or unwilling to engage in any meaningful political discourse. This situation is changing, quickly at times.

For now, however, the censorship of unpalatable stories is an effective albeit cumbersome tool for the Party to wield.

As for the New York Times, its fate in China looks dim. Just two months ago, Bloomberg ran a similar story that showed how the family of China’s likely future president, Xi Jinping, had also accumulated a vast business fortune – though unlike Wen’s kin, Xi’s immediate family did not appear to be reaping the same economic benefits.

Bloomberg’s website has since been blocked on the mainland. 

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PARTY IMAGE??? How hard is it to image this: People working in sweatshops (or iceboxes, depending on the season) and living in buildings inside a walled, fenced compound. The fences aren't to keep people from breaking and stealing their goddamn stuffed panda bears -- they're to KEEP THE WORKERS IN. The slaves -- the women who've been sold into slavery by their families -- the ones who aren't killed at birth.

So, what image does the Chinese Communist Party have? Remember Tiananmen Square, and all those students they ran over with tanks manned with troops they had to bring in from the remote Mongolian frontier, because the local army troops REFUSED to kill their own children in the streets.

I've written about Chinese abuse of human rights at http://justlooklikefrog.wordpress.com. You might also want to see www.laogai.org, Harry Wu's website. A "laogai" is a prison labor camp. I've seen some.

  • 6 votes
Reply#1 - Fri Oct 26, 2012 7:12 PM EDT

the other day I was reading an article about a man who was suing his wife because she gave him an ugly son. http://rt.com/news/shinese-man-sues-ugly-wife-353/

At the time I thought it was kind of strange that #1, she had the money for non essential plastic surgery in China, a communist country and #2, that he actually won $120,000 from it.

Seems the communists aren't that much different from capitalists. You just gotta know how to work the system.

:(

  • 1 vote
#1.1 - Sat Oct 27, 2012 2:51 PM EDT

Do you really believe stuff you read on a Russian gossip website? (Note how the URL is misspelled "shinese".)

I mean, if you want any kind of credibility at all, don't tell us this kind of pseudo-reality-show bull@!$%# right up front. Seriously, if I quoted something I read on http://icanhas.cheezburger.com/ as "Breaking News," do you think I would have ANY credibility at all? I don't flipping think so.

Now, STFU & GTYR.

kthxbai

  • 1 vote
#1.2 - Sat Oct 27, 2012 4:13 PM EDT

The Chinese government does not like it when the wealth of their leaders is exposed. This is because it shows the complete fallacy of all the propaganda they have been feeding the people about everything being for the common good and that everything belongs to the people. The reality is that the leaders in China use their positions to amass great wealth on the backs of all the poor slobs that they keep ignorant by controlling the media and the schools. They try and hide as much as possible the fact that these leaders do not really believe in the BS they are spreading and are all about making as much for themselves and their families as possible while they are in power. It is only when one of them tries to get too much, too fast that they get in trouble, like Bo Xilai did. He got too full of himself and went too far so he was made an example of. These periodic examples only serve to help the leaders keep the illusion going with the masses. They publicize the downfall of people like Bo to try and use it to show that it really is about the people, saying see what happens when someone tries to get greedy at the expense of the people. In reality, they know it is just a game and that they periodically have to throw one of their own to the wolves in order to maintain the illusion. Bo was just the latest one who stepped on the wrong toes and was used as the latest example to the people. The reality is that the leaders all get rich off their influence and position at the expense of the people and the state.

  • 3 votes
#1.3 - Sat Oct 27, 2012 5:04 PM EDT

Warren S. Levine you are one lazy, ignorant son of a gun. You are the reason the repubs have gotten us into so much trouble. You don't bother to look stuff up. You follow your evil leaders blindly and then when they get us all into trouble, you blame it on the other side.

http://now.msn.com/man-sues-wife-for-being-ugly-after-their-ugly-baby-is-born

As it happened in China its not American headline news but it did make Microsoft news.

  • 2 votes
#1.4 - Sat Oct 27, 2012 7:11 PM EDT

Me so Socialist. Me love you long time. Now, make all my relatives Billionaires. I take your Amererican jobs from Walmart and make my family super rich in China. Tee hee.

    #1.5 - Sat Oct 27, 2012 7:25 PM EDT

    All this self-loathing (at least publicly) guilt for being financially successful. Could be Mainland China or American liberals...they are interchangeable....and where we are headed with Obama. Gulags and censorship ahead!

    • 1 vote
    #1.6 - Sun Oct 28, 2012 1:34 AM EDT

    Big government, censorship, limousine politicians claiming to be the champions of the working class; China is a libtard's wet dream.

      #1.7 - Sun Oct 28, 2012 2:29 AM EDT
      Reply

      The Chinese do not care what opinion the world has of them--after all, they think Americans are subhuman. This current information is not likely to change their mindset.

      • 4 votes
      Reply#2 - Fri Oct 26, 2012 7:37 PM EDT

      I agree, however I don't think China is going to forget the lessons from the Middle East when some dictators were caught off guard by mobile technology and the rising generation taking an interest in politics. With the ability to instantly access outside independent information which would expose the truth about what China's government is actually up to, the real state of affairs and how it is treating its citizens, to its younger more non traditional generation, more of a threat is created to the Party's line and control over its population.

      Image a billion citizens getting ticked off. Now that would be awful to behold.These people are very loving, supportive, hard working and honest by nature. Control of information through power and dominating enforcement, threats, harsh treatments, spying and a rigid system of false teachings and lies of equality for all are constantly forced on the people everywhere. It means everything to their dishonest leaders manipulating them by keeping them chained to the party line. Only when enough people get upset, only when a fire reaches a certain point, does one get a flash over or spontaneous combustion. China doesn't want that ever to happen.

        #2.1 - Sat Oct 27, 2012 5:39 AM EDT
        Reply

        All anyone needs to do to completely foul the 'party image' is to say the name -- COMMUNIST! The Chinese people need to know their 'leaders' are just as bad as any other dictatorial regime anywhere in the world. Power is money and more power breeds more power and more money. Screw the 'subjects'. Isn't that how the French Revolution ended?

        • 3 votes
        Reply#3 - Fri Oct 26, 2012 7:38 PM EDT

        In China they come into power poor and leave rich. In the USA they come in rich and leave richer. What's the difference?

        • 3 votes
        Reply#4 - Fri Oct 26, 2012 8:20 PM EDT

        Power, control, and greed exist everywhere which is why the radical right wing GOP is trying to win back and take America back to the Bush Dark Ages with no rights for women, except to be raped.

        • 4 votes
        #4.1 - Fri Oct 26, 2012 9:28 PM EDT

        The funny accent and slanted eyes? LOL

        • 2 votes
        #4.2 - Fri Oct 26, 2012 9:44 PM EDT

        Magic- You forgot to add Mr. Romney's name also! "Obama has been lying to all of us." It should read,"Mr.Obama and Mr.Romney have been lying to all of us." Now that is a better statement.

          #4.4 - Sat Oct 27, 2012 9:11 AM EDT

          Even better is ALL politicans are lying SOB's

          • 1 vote
          #4.5 - Sat Oct 27, 2012 4:24 PM EDT

          Yes, the House of Representatives are prime examples of liars. Jobs, Jobs, Jobs.

            #4.6 - Sat Oct 27, 2012 10:40 PM EDT

            Anyone ever notice how people on this site with "Independant" in their names generally turn out to be far-left moonbats?

              #4.7 - Sun Oct 28, 2012 2:27 AM EDT
              Reply

              Lenin, Stalin, and Mao are rolling in their graves.

              • 2 votes
              Reply#5 - Fri Oct 26, 2012 8:27 PM EDT

              Churchill wasn't that benevolent.

              Which Bhutto, husband or wife?

                #5.2 - Sat Oct 27, 2012 10:41 PM EDT
                Reply

                You cannot run a country with a Communist political system and a Capitalist economic system for very long. The people who have tasted the rewards of Capitalism and now drive more cars than bicycles will bring it down and soon! I don't see any "Little Red Books" either.

                • 1 vote
                Reply#6 - Fri Oct 26, 2012 8:55 PM EDT

                Well at least they have some form of actually punishments, in the US they would have gotten bonus's.

                Don't Point fingers at anyone's political system they all have the same carnivores.

                • 2 votes
                Reply#7 - Fri Oct 26, 2012 8:58 PM EDT

                Punishment? Didn't see anything about that, those with the gold make the rules, pally.

                • 2 votes
                #7.1 - Fri Oct 26, 2012 9:45 PM EDT

                Punishment? Look at all the people bowing and kowtowing to them.

                  #7.2 - Sat Oct 27, 2012 10:55 PM EDT
                  Reply

                  Never had much of an image to hurt as far as I can recall. Either way, they won't be embarrassed enough to admit they did anything wrong or give back money. LOL

                  • 1 vote
                  Reply#8 - Fri Oct 26, 2012 9:41 PM EDT

                  160 million. That's it?

                  That's a 1 yr bonus on WallSt.

                    Reply#9 - Fri Oct 26, 2012 9:51 PM EDT

                    And so it goes as usual in corrupt China. The rich and elite get fatter with huge amounts of money and the poor remain poor. No wonder the "Party" wants to appear moderate. It is the corrupt people at the top that run China and want to keep the status quo and not allow the people to see how they are being cheated. Typical communism and cronyism lock stepped together. If China's government was so open they wouldnt worry about the ordinary citizen knowing what wealth is being accumulated by its leaders and their families. It is disgusting for sure and hopefully the information will filter down to all China's population so they can see what communism has really brought them at the point of the gun.

                    • 3 votes
                    Reply#10 - Sat Oct 27, 2012 1:51 AM EDT

                    That would never happen in this country !

                    • 2 votes
                    #10.1 - Sat Oct 27, 2012 10:17 AM EDT

                    As free Americans we would never be ripped off by the filthy rich. (sarcasm)

                      #10.2 - Sat Oct 27, 2012 10:43 PM EDT
                      Reply

                      How many millions has Obama obtained since the Chicago Democrat was elected President by the mainstream media. It would be fun to read a "Chinese Times" story about the corrupt Chicago Democrat.

                      • 1 vote
                      Reply#11 - Sat Oct 27, 2012 10:52 AM EDT

                      Great question. Obama: has never worked in the private sector yet has income over $1,000,000/year. Hmmm. Has never created ONE job, ran a company, never risked any of his own $$$ - but he's sure eating at the public money trough and is great at spending OUR money - and not very wisely based on Solyndra, A123, etc.

                      • 1 vote
                      #11.1 - Sat Oct 27, 2012 5:08 PM EDT

                      Keep watching my left hand, keep watching my left hand. Good, now while I've got them distracted by my left hand watch what my right hand can do... gotcha!

                      It's the oligarchy of corporations and filthy rich that we need to watchout for. They own the media, they own the politicians, they own the courts.

                        #11.2 - Sat Oct 27, 2012 10:45 PM EDT

                        rober34 troll has managed to catch a couple of id...s. If Obama is as corrupt as Wen Jiabo, prove it. Don't make stupid unsupported claims. Any CCP troll can do that.

                          #11.3 - Sun Oct 28, 2012 2:24 AM EDT
                          Reply

                          Not much difference in the USA. The rich and elite get fatter with huge amounts of money and the poor remain poorer. And eliminating the middle class.

                          • 2 votes
                          Reply#12 - Sat Oct 27, 2012 12:02 PM EDT

                          Mean while the rich communist leaders, who are suppose to share all the wealth, live the good life like the rich capitalists they really are, the average farmer gets a 8x8 ft. piece of land to grow food for his entire family for an entire year. After all, all the rest has to go into the pot of Communism because everyone shares and is equal that doctrine.

                          Nothing tastes as good.


                            Reply#13 - Sat Oct 27, 2012 12:26 PM EDT

                            Revelations of vast fortune held by Chinese leader's family may hurt Communist Party image

                            Ya think?!

                              Reply#15 - Sat Oct 27, 2012 4:50 PM EDT

                              Oh where do you think they got it? USA is ok by China!

                                #15.1 - Sat Oct 27, 2012 10:46 PM EDT

                                You mean U.S. businesses moving all their manufacturing to China for cheap labor and little to no regulations.

                                  #15.2 - Sun Oct 28, 2012 2:42 PM EDT
                                  Reply

                                  Reid, Pelosi, Boxer, Rangel, Obama, Maxine Waters, et. al.. Our politicians no different in many ways than other countries' politicians: they steal, cheat, lie, and generally greatly enrich themselves and their friends and family through egregious nepotism, passing bills and measures designed to benefit a narrow sector of an industry in which they and their backers have a stake, steer unbidded jobs and manufacturing to their cronies, and take brides that masquerade as a 'contribution.'

                                  Recall what little happened to Jefferson during Katrina: he commandeered National Guardmen to take him to his house to get bribe money out of his freezer while endangering many lives. And Holder and the 'Fast and Furious': no one punished for that debacle. And on and on.

                                  Best thing for us to do would be to get rid of everybody in Washington and start over: we're $16 trillion in debt and those that have been in Washington during the past 2 recessions, huge run-up in public debt, bank defaults, S & L debacle, definitely should be forced into retirement - with no pension!

                                  (Think about a guy like Obama: has never worked in the private sector yet has income over $1,000,000/year. Hmmm. Has never created ONE job, ran a company, risked any of his $$$ - but he's sure eating at the public money trough.)

                                  • 1 vote
                                  Reply#16 - Sat Oct 27, 2012 4:58 PM EDT

                                  George are you more bitter, wrong or just willing to do someone else bidding? Even the most ignorant of people seeking the truth could not find their way into your belief system, and would not find how to get out of the darkness of your shadow.

                                    #16.1 - Sun Oct 28, 2012 7:18 PM EDT
                                    Reply

                                    Wow, that's a lot of money. I'm familiary with China's history and about when Communist rule took over. I always feel it is a shame when a people, especially a people rich in culture, heritage, and legacy (such as the people of China), lose their autonomy. I know that for years relations with China were strained, but over a few decades, China has grown very strong as a nation and thus now, China and the US are trying to strive together in trade, and other business affairs.

                                    So when we read an article on this grand a scale of corruption, it is probably the last thing anyone would have suspected. Corruption and greed take on the masques of many faces and is not nor ever will be limited to Chinese businessmen. It is a disgrace for any family or any nation to take on and digest.

                                    I feel at this point, China's leaders should dissolve any business or political ties with those who amassed these fortunes. How do you punish one for what he did to all?? Maybe stripping them of their citizenship to China and banning them from the country would be a good starting place. The people of China didn't deserve to have these men bilk fortunes off of the backs of the Chinese people.

                                      Reply#17 - Sat Oct 27, 2012 5:46 PM EDT

                                      Leftists are even better at stealing than rightests. Workers paradise, from each according to their abilities and to each according to their needs, yeah right. This guy makes Gore and Kerry look like pikers.

                                        Reply#18 - Sat Oct 27, 2012 7:56 PM EDT

                                        However they aren't as good as our RWNJ richies. They can rip us off and then blame us for it.

                                          #18.1 - Sat Oct 27, 2012 10:47 PM EDT
                                          Reply

                                          After its creation in 1949 one of the first act of the Propaganda Department of the Communist Party of China was to ban particular books and publications. Among the books banned was George Orwells "Animal Farm". Was that a smart move or what?

                                            Reply#19 - Sat Oct 27, 2012 7:57 PM EDT

                                            Exactly how can the image of a political party be damaged when it is well known that that political party acquires and holds onto its wealth and power by harming and exploiting the innocent? Chinas political system since feudal times has always operated off the ancient and WRONG philosophy that might makes right period.

                                              Reply#20 - Sat Oct 27, 2012 8:05 PM EDT

                                              Morlack - Sounds like the Democratic party to me.

                                                Reply#21 - Sat Oct 27, 2012 8:10 PM EDT

                                                Well ill take them over the republican party which wants to deprive women of their right to make personal decisions concerning pregnancy and abortion. They actually say they want to rite such legislation because of their religious beliefs and that equates to violating separation of church and state.

                                                  #21.1 - Sat Oct 27, 2012 8:52 PM EDT
                                                  Reply

                                                  Why is this news under South and Central Asia section?

                                                    Reply#22 - Sat Oct 27, 2012 8:59 PM EDT

                                                    Do people still think China is Communist? They've been fascist for a while now. Why do you think American corporatists love to do business with them so much?

                                                      Reply#23 - Sat Oct 27, 2012 9:05 PM EDT

                                                      Who signed the contracts with them to make them filthy rich? Our corporations like Apple, Bain, GE etc. etc. etc.

                                                      • 1 vote
                                                      #23.1 - Sat Oct 27, 2012 10:48 PM EDT

                                                      China get rich through the hard work of her people. US corporations just go there to exploit the cheap labor and export pollution from manufacturing to China.

                                                        #23.2 - Sun Oct 28, 2012 12:28 AM EDT
                                                        Reply

                                                        History lesson: Sparta had money made from iron. It was impossible to become rich in Sparta because the nation owned the wealth. Spartan politicians were the easiest ancient Greeks to corrupt and bribe. That's documented.

                                                          Reply#24 - Sat Oct 27, 2012 10:50 PM EDT

                                                          I wonder if the Chinese worship their rich as much as we worship ours?

                                                            Reply#25 - Sat Oct 27, 2012 10:51 PM EDT

                                                            How is obscene wealth going to hurt the image of anyone in a nation that worships obscene wealth? In this respect, America and China share common values, and Repugnicans are working hard to keep it that way.

                                                            • 1 vote
                                                            Reply#27 - Sat Oct 27, 2012 11:12 PM EDT
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