China Telecom says it recently punished eight executives at its branch in the capital for diverting nearly 2 million yuan into secret company accounts, using the firm’s money to host expensive dinners and in one case hiring prostitutes.
The state-run company recently sent its employees a notice saying that investigators with the Central Commission for Discipline Inspection (CCDI) found that the executives falsified documents to divert 1.96 million yuan that was supposed to have been spent on meeting and entertaining clients. The money instead went into secret accounts that were in the company’s name but only the executives knew about them – a practice that is illegal.
China Telecom sent its employees the notice on April 30, and one of them showed it to Caixin.
The original article can be found at english.caixin.com