Ex-Moutai chairman expelled from Party

Yuan Renguo, former chairman of Kweichow Moutai Group, has been expelled from the Party and removed from public office for "serious violations of the Party disciplines and laws", according to the Guizhou Provincial Commission for Discipline Inspection and the Guizhou Provincial Commission of Supervision.

According to a statement issued by the commissions on Wednesday, he seriously violated political disciplines and used the franchise rights of Moutai liquor as a tool to build up relationships and reach higher-position officials.

It said Yuan abused power to assist illegal distributors and seriously undermined the business environment for sales of Moutai.

Moutai is a sorghum-based spirit produced by Kweichow Moutai and is China's top brand of baijiu. The liquor, often served on official occasions and at state banquets, is considered a luxury item and has long been a popular gift.

According to the statement, his family members were involved in graft-related issues. He was accused of colluding with others to provide false testimony, resisting the inspection and transferring his illicit assets.

The statement said Yuan violated Party disciplines, didn't truthfully report his personal matters, violated the frugality codes and illegally engaged in profit-making activities.

He was also found to have used his power to trade for money and sex services. He used his position to gain benefits for other enterprises and individuals, then accepted their huge bribes either paid in cash or other properties.

Yuan, 62, was born in Renhuai, Guizhou, where the Moutai group is located. He joined Moutai in 1975 and became deputy manager in 1990.

Between 1990 and 2018, he mainly served as deputy manager and manager of Kweichow Moutai Group, vice-chairman and chairman of Kweichow Moutai Group.

He was replaced by Li Baofang as the chairman of Moutai group in May 2018. One year later, he was dismissed from the Guizhou Committee of the Chinese People's Political Consultative Conference.

According to the Guizhou Provincial Commission of Supervision, his criminal evidence will be sent to the prosecutors.

Since late 2012, when the new leadership was elected, China has conducted a sweeping drive to fight against both "tigers and flies" - high-ranking and low-ranking corrupt officials. So far more than 500 high-ranking officials have been probed for alleged graft.