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Shenzhen credit union boss on trial over '$221m spree'

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Mark O'Neill

The boss of a Shenzhen credit union is on trial after allegedly spending more than 238 million yuan (HK$221 million) of its money - most of it on mainland mistresses and on horse racing in Hong Kong before fleeing to Mongolia.

Deng Baoju, who was general manager of a four-star hotel in Shenzhen and director of the city's Baoan district Shajing Rural Credit Co-operative, had been repatriated along with two associates, Beijing Youth Daily reported yesterday.

Deng and the two men disappeared on November 21, 1998, the paper said.

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After a call from the supervisory body of the credit co-operative, Shenzhen police launched an investigation that discovered he had spent 238 million yuan of the co-operative's money from 1997 until he fled, the report said.

Of this, up to 160 million yuan was spent on gambling in Hong Kong after triads invited him to the horse races.

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He won 300,000 yuan at first, but his luck changed and he started to lose heavily. So he allegedly used the co-operative's cash.

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