Trouble Ahead For A Chinese Bank IPO?
The resignation of China Construction Bank's director and board chairman, Zhang Enzhao, may cast a shadow over CCB's plans for a multibillion-dollar international listing of its shares as early as this year. The bank announced on its Web site on Mar. 16 that Zhang was leaving for "personal reasons." Hong Kong media reports say Zhang is under investigation for alleged kickbacks linked to info technology procurement. The CCB Web site did not mention a probe and thanked Zhang for his contribution to the bank's development. In an apparent move to reassure observers, the bank said it would further improve corporate governance. EDITED BY Edited by Rose Brady