The first hearing of a probe into the income of Niu Xinmin, the former head of the country's largest coking coal firm, began on Tuesday. Authorities are investigating Niu's 10-million-yuan (US$1.25 million) income, which they describe as "questionable."

 

The case is being heard at Shuozhou Intermediate People's Court in north China's Shanxi Province.

 

Niu, the 54-year-old former president of the Taiyuan-based Shanxi Coking Coal Group, is facing seven charges, including embezzlement of 43,000 yuan (US$5,300) of public funds, taking 3.07 million yuan (US$378,500) in bribes, and owning 6.27 million yuan (US$773,100) worth of private property.

 

The Shuozhou People's Procuratorate said Niu illegally sold coke during his term as vice manager of the Shanxi Coking Coal Transportation Company, and as president of the coal group. He was detained in December 2005 and sued on August 14 this year. His son, Niu Lianqing, is also being sued.

 

Local prosecutors said they have sufficient evidence against Niu.

 

Niu has denied all the charges.

 

He claimed his wealth was partly inherited from his mother and partly bonuses given by the government and the companies he served.

 

Niu's alleged illegal income, if the figures are correct, is said to be the highest ever recorded in the province.

 

According to a China Youth Daily report, the case has captured the attention of the media, and is widely believed to have led, or will lead, to the downfall of several other high-ranking officials in the coal group and related bureaux within the Ministry of Commerce.

 

(China Daily, China.org.cn, September 15, 2006)