A top regional professional has been kicked out of the Chinese Communist party for supporting crypto mining activities in exchange for money and sex. It is thought that the former party member will face harsh punishment for supporting cryptocurrency.
According to The China Daily, charges against the official, Xiao Yi, were decided by the supervisory committee of the Central Commission for Discipline Inspection (CCDI)- the highest internal control body in the Chinese Communist Party.
Before the charges, Xiao Yi had been serving as the Vice Chairmen of the Jiangxi Provincial Committee of the Chinese People’s Political Consultative Conference, which is a key advisory body to the central government.
Since the crypto crackdown in September, enforcers have mainly focussed on shutting down crypto miers who are yet to turn off their rigs or relocate away from China. But now, enforcers are turning to officials who are letting the miners continue their operations.
The CDDI has said that Xiao committed serious violations of discipline and laws. They went on to say that the ex-official had abused his power to “introduce and support enterprises to engage in virtual currency mining activities.”
Investigators handed Xiao’s case over to courts after expelling him from the Communist party and confiscating funds that were obtained. The CDDI stated that Xiao was accepting gifts and money and attended sex-orinted banquets that were funded by crytpo mining-related firms. The ex-official also accepted large amounts of property in return for promotion and project contracting.
Last week, the National Development and Reform Commission (an economic policy making body) announced that remaining crypto activities should be “cleared up and regulated.” They also warned that state-owned firms and bodies that were conducting mining activities would be investigated and punished accordingly.
Xiao is the most senior Chinese official to be punished for supporting crypto mining. According to the South China Morning Post, this will send a strong signal about Bejing’s stance on the issue.
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