Detained 21st Century Media boss Shen Hao admits to 'news extortion'
Former 21st Century chief confesses to leading scheme to shake down businesses over coverage
A former top executive of embattled 21st Century Media Group admitted to state media while in police custody that he was involved in the alleged news extortion schemes of the group's publications.
The extortion probe against 21st Century Media became public early this month when eight executives and editors of the news portal, as well as two executives from a Shanghai and a Shenzhen public relations firm, were detained by police.
Citing Shanghai police investigators, Xinhua said the three media outlets allegedly shared a similar approach to soliciting illicit gains, and were closely linked.
Police have detained more than 30 people from the media group and the three outlets, including their chief editors and advertising executives.
Xinhua said that more than 200 businesses, most of them listed or preparing to list, were forced to sign advertising "cooperation deals" with the media outlets or the PR firms Shanghai Roya and Shenzhen Nukirin.
"I knew a long time ago that extortion in journalism is a kind of economic crime. But it's no secret in the media community and it's very common," Xinhua quoted Shen as saying.