(EnergyAsia, March 17 2014, Monday) — Hong Kong-listed Wison Engineering Services Co, a major services provider for China’s state-owned oil and gas companies, said Chinese police have arrested its founder and chairman Hua Bangsong on bribery allegations.
In a statement to the Hong Kong Stock Exchange, the Shanghai-based firm said an unidentified relative of Mr Hua had informed its board about his arrest on March 6.
But, the statement added “the board has not been informed of any detail of the allegation.”
Wison, whose shares have been suspended since last September, said Chinese authorities seized company records and frozen some of its bank accounts last year after they began questioning Mr Hua as part of the government’s crackdown on corrupt practices in the country’s oil and gas industry. A number of senior Chinese oil executives have been arrested and could face charges over illegal payments and bribes.
“The board will continue to assess the impact of these matters on the group’s business operation and will take proactive measures to minimise or reduce the impact on business operation and financial performance,” said the Wison statement signed by executive director Liu Haijun.