Former vice-chairman of China's banking regulatory body receives suspended death sentence

Former vice-chairman of China's top banking regulatory body, Cai Esheng, has been sentenced to death with a two-year reprieve for accepting bribes exceeding 500 million yuan ($70.3 million) and abusing his power. The ruling by the Zhenjiang Intermediate People's Court in Jiangsu province marks the culmination of a months-long legal saga for the 72-year-old Cai.

The court found that Cai, during his tenure from 2006 to 2021, leveraged his positions to aid individuals and departments in securing financing, loans, business contracts, job promotions, and more. In return, he amassed illicit gains exceeding 400 million yuan.

Cai's misconduct extended beyond bribery. Between 2018 and 2021, while holding significant influence within the banking system, he facilitated equity transfers, financing, loans, and job adjustments for others, and again accepted bribes of more than 110 million yuan directly or through others.

Additionally, the court determined that between 2010 and 2013, his actions as vice-chairman of the former China Banking Regulatory Commission resulted in substantial losses to state assets and public interests.

The court deemed Cai's crimes exceptionally severe, warranting the death penalty, citing the enormous sums involved, the detrimental impact on society, and the significant losses incurred by the state and people. However, considering Cai's confession, disclosure of unknown bribery instances, and some unsuccessful bribery attempts, the court opted for a two-year reprieve.

This caveat means Cai will spend the next two years under close observation. If he avoids further criminal activity, his sentence will be commuted to life imprisonment without possibility of parole or further sentence reduction.

Cai, a native of Hubei province, spent his career in the financial sector. Notably, he served as vice-chairman of the now-defunct China Banking Regulatory Commission before its restructuring. However, his retirement in 2013 didn't shield him from legal scrutiny. Placed under investigation in July 2021, he was subsequently expelled from the Communist Party in January 2023 and formally prosecuted in June. The public hearing for his case concluded in July 2023.