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Shanghai official quits congress amid graft probe

SHANGHAI -- A former top official for Shanghai’s stunning new financial district has quit the city’s local congress and is facing investigation for alleged corruption, state media reports said.

Kang Huijun, former deputy director of the Pudong district, “lost his seat” in the Municipal People’s Congress, the official Xinhua News Agency reported late Wednesday.

It cited a statement from the congress saying Kang had resigned amid allegations he “seriously violated discipline by taking bribes.”

Public tip offs prompted the investigation, Xinhua said.

The probe comes as authorities wrap up a wider investigation into alleged bribery and other abuses connected to the misuse of city pension funds. That scandal resulted in the ouster of the city’s Communist Party chief, Chen Liangyu, last year — the highest such dismissal in a decade.

Nearly 20 officials have received jail sentences of up to life in prison, with Chen’s case still pending trial.

Top party leaders have made corruption-busting a priority before next week’s party congress, where President Hu Jintao is expected to clinch his hold on power.

The financial magazine Caijing reported that Kang, also a former chairman of the Shanghai Lujiazui Development (Group) Co., the biggest property developer in the district, also was suspected of abusing his position to obtain real estate on the cheap.

That report, posted on the magazine’s Web site, said Kang allegedly had obtained 24 apartments under his and his wife’s names, although eight had already been sold. City officials normally would not have the financial resources to buy that many properties under normal circumstances.

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