Dubai Telegraph - Chinese anti-graft body criticises banks for 'extravagance'

The probe of some of China's most important financial bodies comes amid a sweeping regulatory crackdown on major tech and property firms, and an ongoing debt crisis in the country's massive real estate sector, most notably the giant Evergrande Group.

"Formalism, bureaucracy and extravagance are still prominent," the country's top disciplinary watchdog said in a Thursday statement.

Among the failings outlined were the financial institutions' trouble implementing Communist Party goals and strategy as well as a lack of awareness and mechanisms to guard against unacceptable financial risk.

The feedback from the Central Commission for Discipline Inspection, given to 25 institutions, followed a review that began in October.

It added that some bodies also lacked "political responsibility" in implementing financial reforms and cautioned that corruption risks remained in key positions.

Those targeted for criticism included central bank the People's Bank of China, the Shanghai and Shenzhen stock exchanges, and regulators such as the China Banking and Insurance Regulatory Commission.

Bad-debt manager China Huarong Asset Management was also on the list.

Chinese authorities have vowed "no mercy" in an ongoing anti-corruption campaign that has taken down high-flying politicians and influential tycoons.

But critics have also argued that President Xi Jinping's anti-graft push served as a way to remove political enemies.

I.El-Hammady--DT