Thursday, November 6, 2014

Chinese govt official tried for taking bribes; meanwhile Toyota affiliate/supplier exec arrested in Japan for China bribes

Chinese official Liu Tienan confessed to taking bribes. 
One source of bribes -- Toyota JV in China.


"China’s former deputy planning chief brokered deals and helped approve projects in return for cars, furniture and a phantom job for his son, prosecutors said at a corruption trial yesterday that detailed a culture of back-room dealings in the world’s second-largest economy.
Prosecutors said that, among other crimes, Liu allegedly took bribes to help set up a dealership for a Chinese carmaker’s joint venture with Toyota Motor Corp."


Top Chinese official accused of taking bribes from Toyota JV

Related Topics
HONG KONG (Bloomberg) -- A senior official with China’s economic planning ministry and his son took bribes from a Guangzhou carmaker, including kickbacks for helping approve the opening of a Toyota Motor Corp. dealership, a Chinese prosecutor said today.
Liu Tienan, 59, former deputy head of the National Development and Reform Commission, and his son Liu Decheng took 35.6 million yuan ($5.8 million) in bribes from 2002 to 2012, according to postings on Langfang City Intermediate People’s Court’s microblog at the start of their corruption trial today.
Liu took money from Guangzhou Automobile Group Co. to help secure regulatory approval for automobile and engine projects for its venture with Toyota, according to the postings. His son got a job at Guangzhou Auto unit upon request from Liu and received a salary of 1.2 million yuan without working there, the court said. Liu’s son was also paid 10 million yuan after Liu helped a person set up a Guangzhou Auto-Toyota 4S shop, it said.
A related topic:

Takehisa Terada, former senior managing director with Futaba Industrial Co. and legal representative to Futaba’s Chinese subsidiary, Guangzhou Futaba Auto Parts Co., Ltd, allegedly gave $4,500 and a ladies handbag worth $1,500 to a government official to halt an investigation into irregularities at a company plant in China.
In return for the bribe, Futaba allegedly received a lenient fine rather than a work suspension order.
Toyota Motor is the largest shareholder in Futaba Industrial with a 12.25% stake.
Futaba’s former executive Terada is also accused of offering four other China customs officials in charge of overseeing Japanese firms 16 bribes amounting 50 million Yuan ($505,500).
Terada has reportedly confessed to the crimes. According to a statement published in the Japan Times, he admitted passing “on tens of millions of yen in bribes to Chinese government officials on a total of 16 occasions from around 2002.”