President of China Minsheng quits

The president of China Minsheng Banking Corp has resigned amid domestic media reports that he is under investigation by anti-corruption authorities, making him the most senior bank official to be ensnared in the country's sweeping anti-graft campaign.

Minsheng's president and director Mao Xiaofeng submitted his resignation in "recent days," the bank said in a filing on Saturday.

Caixin, a leading financial magazine, reported on its website on Saturday that Mr Mao had been detained for questioning by the Commission for Discipline Inspection, the Communist party's anti-graft agency.

Minsheng's statement said that the bank had "noticed" media reports about Mr Mao but that as far as it knew Mr Mao had resigned for "personal reasons". Minsheng - China's largest privately owned bank by assets - added that its operations were unaffected and that board chairman Hong Qi had taken over duties as president.

Before joining Minsheng, Mr Mao served in the Communist Youth League, responsible for grooming cadres and a key base of support for former Chinese president Hu Jintao. A former top aide to Mr Hu, Ling Jihua, who rose up through the youth league, in December became the latest senior official ensnared in Chinese president Xi's Jinping's anti-corruption net.

Mr Hu placed loyalists from the youth league in key positions during his tenure as China's president and is believed to have supported the ascension of current premier Li Keqiang, who also served in the league.

The impact of anti-corruption politics on major Chinese companies has ramped up in recent weeks. Media reports have said that the Shenzhen government's unexplained freeze of property sales by developer Kaisa Group and the abrupt resignation of its chairman are related to an investigation into a former senior Shenzhen official.

In addition, the chairman and senior executives at Founder Group, an industrial conglomerate owned by Peking University, have also resigned and have been "required to assist an investigation", Founder said this month. That investigation is reportedly linked to Mr Ling and Ma Jian, one of China's most powerful spymasters, detained last month.

Founded in 1996, Minsheng was China's first privately owned bank and is known for its focus on lending to small, privately owned companies. It had Rmb3.8tn ($603bn) in assets as of end-September, according to Bloomberg data.

Anbang Insurance Group, controlled by the grandson-in-law of Deng Xiaoping, recently became Minsheng's largest shareholder through a series of share purchases on the secondary market. Previously obscure Anbang has gained prominence in recent months for a string of high-profile international acquisitions.

Caixin quoted an official at Minsheng dismissing media reports that other executives at Minsheng were also under investigation.

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