Declines in the United States stock market have been blamed for the closure of a pioneering Chinese news magazine.
Staff of Xinwen Zhoukan (News Weekly) said yesterday that the publication was forced to close because of financial difficulties in the company that founded it, New Century Success Group. The company, run by Chinese-American chairman Liu Ning and his wife Li Yuling, launched the magazine at the start of last year.
'Liu invested heavily in the US stock market, which has fallen sharply,' one editorial employee said. 'Liu lost a lot in the market so he had no money to invest in the magazine. It was simply a financial issue, not to do with the content. It is hard to say when or if we will resume publication.'
Under a complex arrangement to meet Beijing's restrictions on foreigners investing in the media, Mr Liu provided the financial backing and the semi-official China News Service provided the staff from two of its magazines to write and edit the content.
Selling for 6.80 yuan (HK$6.40) an issue, the publication pioneered reporting in China on subjects such as Aids, the gap between rich and poor and the black economy.
It also focused on major corruption cases of the past two years and had a reputation for testing the boundaries of what authorities would allow.
On November 19 one of its last issues carried an interview with the lawyer who defended Cheng Kejie and Li Jizhou, the two highest-ranking officials to be sentenced for corruption in the past two years.