By staff reporter Yang Binbin   

A complex web of land interests, shady deals and alleged bribery involving government agencies continues to unfold in Chongqing. A rapidly growing metropolis in southwest China, Chongqing is where a 9-month-old case of real estate development corruption expanded with the recent roundup of six current and former officials.

Disciplinary procedures were launched against Jiang Yong, director of the Chongqing Planning Department, and Huang Yun, mayor of the Shapingba District, a spokesman the Chongqing municipality told.

Caijing has learned that also linked to the investigation are:
-- The former director of the Chongqing Economic Development Zone Management Committee, Tang Wenfeng.
-- The chairman of the Chongqing Land Properties Group and former deputy director of Chongqing Land and Natural Resources and Housing Administration, Wang Bin.
-- The chairman of the Chongqing Jiangbeizui Central Business District Developing and Investing Co. and former deputy director of the Chongqing Urban Planning Department, Liang Xiaoqi.
-- The deputy district mayor of the Dadukou District, Gu Fei.

Each suspect is currently being investigated by a special arm of the Communist Party's Central Discipline Inspection Commission. Jiang and Huang have been detained under the “double regulation” system, which allows the party's disciplinary watchdog to target a suspect who is also being investigated by prosecutors.

The shakeup for Chongqing's officialdom and the local real estate circle follows the convictions of several high-level party cadres who were earlier found guilty of land corruption. It expands upon the probe unveiled last July when three officials -- the then-deputy district mayor of Yuzhong District, Wang Zheng, the secretary of the Discipline Inspection Commission, Zheng Wei and the deputy district mayor of Shapingba District, Chen Ming -- faced double regulation in what has become known as the “7-26 Case.”

Since China designated Chongqing as a municipality in June 1997 -- putting it on a high-level par with the Beijing, Shanghai and Tianjin municipalities -- the local government has been accused of using questionable financing methods to tackle problems with urban construction funding.
 
A marketing director at a foreign company in Chongqing told Caijing that “although explicit business costs in Chongqing are low, the implied costs are quite high.”

“We often prepare a cash gift for the inspectors, with an amount from 200 yuan to 2,000 yuan,” the marketing director said. “The money is handed out in public, and sometimes we have to prepare temporary gifts if there are more inspectors than expected.”

One official familiar with the local government told Caijing that money and power games have always played a role in Chongqing, where the economy has traditionally revolved around the shipping business.

Details of the latest case involving Jiang and Huang remains unclear. But Caijing learned from a source linked to the 7-26 case and its major player Wang that he was involved in the investigations of Jiang and Liang, who both worked for the urban planning department. More specifically, the source said, developers of the Chongqing University Town Project allegedly offered US＄ 10,000 bribes to Wang, Jiang and Liang.

Another target of the investigation, Huang, has long been criticized for causing planning problems in his district, which became famous for a dispute between a stubborn property owner and a developer. The clash became known as China's most persistent “nail house” case, and it stretched from 2004 until this year when the developer won. As the official in charge of urban construction, Huang was involved in the case.

Tang, who held sway in the local economic development zone, has been accused of connections to illegal activity by the Western Building Materials Market.

Wang spent a decade at the land and housing administration before joining Chongqing Land Properties. When authorities conducted their last roundup, they left the Chongqing Land Properties shuttered up. An official told Caijing that Wang seldom socialized due to poor health and required his staff to record all discussions about important land transfers.