China’s tantrums and a justice system in question

Does Mr Rudd truly believe that Stern Hu and his colleagues will receive a fair, even if not open hearing, under the declared bias of China’s judicial system?

Corruption - the pot calling the kettle black

While China is busy trying to vilify Rio Tinto with corruption, it conveniently overlooks allegations by Namibia of corruption by Nuctec while under the management of Hu Jintao’s son Hu Haifeng. Nuctec is a leading manufacturer and supplier of security systems for airports, docks and terminals.

The allegations relate to airport scanning equipment supplied through an estimated US$65 million Chinese soft loan to the government of Namibia. On signing the contract, Namibia’s government authorised the immediate payment of about US$12.8 million as a “manufacturing deposit” that was deposited into the Nuctech agent’s account in the Chinese Import Export Bank in Namibia.

A routine check carried out under Namibia’s Financial Intelligence legislation revealed that the bank account was emptied almost immediately and paid out in secret commissions that were traced to five prominent locals with government connections and a Chinese national in Namibia. Payment of such commissions is illegal in Namibia.

There are suggestions that the Namibian “secret commission” model is standard practice involving China’s soft loans made to developing countries. There are claims of corruption involving Hu Haifeng for Nuctec security systems and relates soft loans in the Philippines and South Africa.

Hu Haifeng is now the current Chairman of Nuctech’s powerful parent company, Tsinghua Holdings.