News / Asia

    Report: JPMorgan Secretly Hired Daughter of Wen Jiabao

    FILE - Workers are reflected in the windows of JP Morgan Chase offices.
    FILE - Workers are reflected in the windows of JP Morgan Chase offices.
    VOA News
    The New York Times is reporting JPMorgan Chase secretly employed the daughter of Wen Jiabao, who until recently was China's prime minister and the main overseer of the world's second largest economy.

    The Thursday report comes as the U.S. government investigates whether the bank hired the children of powerful Chinese officials to help win lucrative business deals with the country's state-owned companies.

    The Times reported JPMorgan paid $1.8 million from 2006 to 2008 to a relatively obscure business that was run by the then-prime minister's daughter, Wen Ruchun, who went by the alias "Lily Chang."

    JPMorgan has not been accused of wrongdoing, but the Times said the bank's Hong Kong executives were aware of her true identity and appear to have benefited from her many connections.

    Officials with JPMorgan declined to comment on the report. The Chinese and U.S. governments have also not reacted to the report, which was based on a review of confidential documents, Chinese public records and interviews with knowledgeable officials.
     
    It has been known for years that multinational corporations regularly hire China's "princelings," the children of Communist Party officials, who can provide unique business opportunities and information.
     
    The practice has only recently come under more intense scrutiny as news leaked of the U.S. Securities and Exchange Commission's investigation into JPMorgan.
     
    In August, the Times reported the government probe centered on the bank's decision to hire the son of a former Chinese banking regulator and the daughter of a Chinese railway official.
     
    The paper said it has not been able to definitively link JPMorgan's hiring practices to its ability to win business, nor did it suggest the employees were unqualified.
     
    Wen Ruchun appears to have had particularly useful credentials. After graduating from the University of Delaware with a M.B.A., the Times claims she went on to work at several well-known banks, including the now-collapsed Lehman Brothers global investment company.
     
    Using her government-approved alias, the report said Wen also ran the Beijing-based Fullmark Consultants company, which appears to have only employed one other person - a longtime friend of the Wen family.
     
    An internal Fullmark document obtained by the Times said the consultancy group's main goals included helping JPMorgan secure business from a state-run railway group and giving advice on "macroeconomics policy in mainland China."
     
    Wen's father, Wen Jiabao, stepped down earlier this year following 10 years as premier.
     
    JPMorgan has said it is cooperating fully with the U.S. government investigation.

    You May Like

    Syrian Rebel Realignment Likely as al-Qaida Leader Blesses Split

    Jihadist group Jabhat al-Nusra splits from al-Qaida in what observers dub a ‘deception and denial’ exercise

    New India Child Labor Law Could Make Children More Vulnerable

    Concerns that allowing children to work in family enterprises will push more to work

    What Take-out Food Reveals About American History

    Carry-out food explains a lot about the changes taking place in society, so here's the deal with pizza, Chinese food and what racism has to do with taking food to go

    Featured Videos

    Your JavaScript is turned off or you have an old version of Adobe's Flash Player. Get the latest Flash player.
    Uganda Unveils its First Solar-powered Busi
    X
    July 28, 2016 4:16 AM
    A solar-powered bus described by its Ugandan makers as the first in Africa has made its public debut. Kiira Motors' electric bus, Kayoola, displayed recently at a stadium in Uganda's capital. From Kampala, Maurice Magorane filed this report narrated by Salem Solomon.
    Video

    Video Uganda Unveils its First Solar-powered Bus

    A solar-powered bus described by its Ugandan makers as the first in Africa has made its public debut. Kiira Motors' electric bus, Kayoola, displayed recently at a stadium in Uganda's capital. From Kampala, Maurice Magorane filed this report narrated by Salem Solomon.
    Video

    Video Silicon Valley: More Than A Place, It's a Culture

    Silicon Valley is a technology powerhouse and a place that companies such as Google, Facebook and Apple call home. It is a region in northern California that stretches from San Francisco to San Jose. But, more than that, it's known for its startup culture. VOA's Elizabeth Lee went inside one company to find out what it's like to work in a startup.
    Video

    Video Immigrant Delegate Marvels at Democratic Process

    It’s been a bitter and divisive election season – but first time Indian-American delegate Dr. Shashi Gupta headed to the Democratic National Convention with a sense of hope. VOA’s Katherine Gypson followed this immigrant with the love of U.S. politics all the way to Philadelphia.
    Video

    Video Philadelphia Uses DNC Spotlight to Profile Historic Role in Founding of United States

    The slogan of the Democratic National Convention now underway in Philadelphia is “Let’s Make History Again” which recognizes the role the city played in the foundation of the United States in the 18th century. As VOA’s Kane Farabaugh reports, local institutions are opening their doors in an effort to capitalize on the convention spotlight to draw visitors, and to offer more than just a history lesson.
    Video

    Video A Life of Fighting Back: Hillary Clinton Shatters Glass Ceiling

    Hillary Clinton made history Thursday, overcoming personal and political setbacks to become the first woman to win the presidential nomination of a major U.S. political party. If she wins in November, she will go from “first lady” to U.S. Senator from New York, to Secretary of State, to “Madam President.” Polls show Clinton is both beloved and despised. White House Correspondent Cindy Saine takes a look at the life of the woman both supporters and detractors agree is a fighter for the ages.
    Video

    Video Dutch Entrepreneurs Turn Rainwater Into Beer

    June has been recorded as one of the wettest months in more than a century in many parts of Europe. To a group of entrepreneurs in Amsterdam the rain came as a blessing, as they used the extra water to brew beer. Serginho Roosblad has more to the story.
    Video

    Video First Time Delegate’s First Day Frustrations

    With thousands of people filling the streets of Philadelphia, Pennsylvania for the 2016 Democratic National Convention, VOA’s Kane Farabaugh narrowed in on one delegate as she made her first trip to a national party convention. It was a day that was anything but routine for this United States military veteran.
    Video

    Video Commerce Thrives on US-Mexico Border

    At the Democratic Convention in Philadelphia this week, the party’s presumptive presidential nominee, Hillary Clinton, is expected to attack proposals made by her opponent, Republican presidential nominee Donald Trump, to build a wall along the U.S.-Mexico border. Last Friday, President Barack Obama hosted his Mexican counterpart, President Enrique Peña Nieto, to underscore the good relations between the two countries. VOA’s Greg Flakus reports from Tucson.
    Video

    Video Film Helps Save Ethiopian Children Thought to be Cursed

    'Omo Child' looks at effort of African man to stop killings of ‘mingi’ children
    Video

    Video London’s Financial Crown at Risk as Rivals Eye Brexit Opportunities

    By most measures, London rivals New York as the only true global financial center. But Britain’s vote to leave the European Union – so-called ‘Brexit’ – means the city could lose its right to sell services tariff-free across the bloc, risking its position as Europe’s financial headquarters. Already some banks have said they may shift operations to the mainland. Henry Ridgwell reports from London.
    Video

    Video Recycling Lifeline for Lebanon’s Last Glassblowers

    In a small Lebanese coastal town, one family is preserving a craft that stretches back millennia. The art of glass blowing was developed by Phoenicians in the region, and the Khalifehs say they are the only ones keeping the skill alive in Lebanon. But despite teaming up with an eco-entrepreneur and receiving an unexpected boost from the country’s recent trash crisis the future remains uncertain. John Owens reports from Sarafand.
    Video

    Video Migrants Continue to Risk Lives Crossing US Border from Mexico

    In his speech Thursday before the Republican National Convention, the party’s presidential candidate, Donald Trump, reiterated his proposal to build a wall along the U.S.-Mexico border if elected. Polls show a large percentage of Americans support better control of the nation's southwestern border, but as VOA’s Greg Flakus reports from the border town of Nogales in the Mexican state of Sonora, the situation faced by people trying to cross the border is already daunting.

    Special Report

    Adrift The Invisible African Diaspora