Chinese authorities are investigating former President of China Merchants Bank (CMB) Tian Huiyu for suspected violations, just days after removing him from the bank, the Central Commission for Discipline Inspection said in a statement on Friday.
On Monday, CMB’s stock price dropped sharply, with the highest drop rate exceeding 8.6%. On the afternoon of the same day, the bank announced during a meeting that it had decided to remove Tian from the post of president and director of the bank, making another appointment for the position. Before the new president is determined, Wang Liang, the current Executive Vice President of the bank, will temporarily preside over the work of CMB.
Tian joined the Bank of Shanghai as the company’s vice president in 2003. After leaving Bank of Shanghai, Tian worked for China Construction Bank (CCB), serving as the vice president of CCB’s branch in Shanghai. He was also the primary person in charge and the president of the CCB branch in Shenzhen. He has served as the retail business director of CCB and the primary person in charge and president of the CCB branch in Beijing since 2011. In 2013, he left CCB, where he worked for nearly seven years, officially joining CMB as the president.
On Friday, CMB said that the bank’s operations remain normal under the leadership of Wang Liang. The bank also released the financial report for the first quarter this year. The bank achieved operating income of 91.99 billion yuan ($14.14 billion), a year-on-year increase of 8.54%. The net profit attributable to shareholders of the bank was 36.022 billion yuan in Q1, a year-on-year increase of 12.52%.
Additionally, in March this year, CMB released its 2021 annual report showing that the bank garnered operating income of 331.25 billion yuan, a year-on-year increase of 14.04%. Its net profit attributable to shareholders was 119.92 billion yuan, a year-on-year increase of 23.20%.