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China: 160 executives arrested in investigation into medical corruption during Covid

Chinese anti-corruption investigators have arrested more than 160 hospital executives this year, since Beijing targets the lucrative medical sector, which has received billions of US dollars in public funding under Covid-19.

Sources and observers expect many more heads to fall in the hospital sector, which has been a major source of public grievances about high costs and rampant corruption.
State media reports say more than 150 hospital executives and secretaries have been identified in the targeted campaign that began earlier this year, but South China Morning Post tallies suggest the total may have reached 168 this week.

It was also reported last month that at least two senior executives of pharmaceutical companies – Winning Health Technology Group chairman Zhou Wei and Fan Zhihe, chairman of Shanghai Serum Bio-Technology – were under investigation for alleged corruption.

The industry-specific anti-corruption campaign kicked off just months after China exited its three-year Covid-zero strategy, but has stepped up gear as the July 30 deadline for people to turn themselves in for leniency approaches .

Data released in March by the National Health Commission showed that health care facilities across the country received more than 110 billion yuan ($15.2 billion) since 2020.
A source – who requested anonymity due to the sensitivity of the matter – said that the campaign to rid the sector of systemic corruption will continue in 2024. Therefore, it is to be expected that, in the coming months, there will be more arrests, more at the top, especially among the managers of hospitals and pharmaceutical companies.

A Guangdong health official, who asked not to be identified because he is not authorized to speak publicly, said authorities had promised leniency for hospital bosses and officials who turned themselves in before August, so this is not the continuation of a campaign that has already begun.

On July 15, the finance ministry issued a joint notice with the National Medical Insurance Administration ordering spot checks of local health care funds and a "thorough investigation" into any violations. About a week later, the National Health Commission announced a year-long "rectification campaign" for the medical sector in a joint video conference with the ministries of education and public security, as well as the General Accounts Bureau. .

Further political impetus was given to the campaign on July 28, when China's top anti-corruption agency, the party's Central Commission for Disciplinary Inspection (CCDI), held a video conference calling on inspectors and supervisors to redouble their efforts. The campaign is part of Xi Jinping's strategy for China.

Chinese local governments have spent around 50 billion euros on measures against Covid. This large amount of money paved the way for a flood of enrichment, not always honest. Now, even under the pressure of public opinion, at least part of the culprits must be hunted down.


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The article China: 160 executives arrested in investigation into medical corruption during Covid comes from Scenari Economici .


This is a machine translation of a post published on Scenari Economici at the URL https://scenarieconomici.it/cina-160-dirigenti-arrestati1-nellinchiesta-contro-la-corruzione-medica-durante-il-covid/ on Sat, 12 Aug 2023 11:48:35 +0000.