Chinese tycoon 'linked to disgraced former spy chief'

A high-profile spat between Beijing Zenith Holding's Guo Wengui and Founder Group took a surprising turn yesterday after Guo was revealed to have close ties with disgraced former top spy Ma Jian, who is believed to have links with Founder.

An aide of Ma, former executive deputy minister of the Ministry of State Security, helped Guo spy on then Beijing vice-mayor Liu Zhihua in 2006 so that Guo's firm could keep its development project near the city's Olympic park, reported financial news outlet Tencent.

China's top graft-buster announced Ma's detention in January, weeks after Founder executives were taken away to help in graft probes.

The former aide of Ma told Tencent 's source that Ma and Guo's connection dated back to around 2005.

Guo began keeping tabs on Liu after the latter ordered the rebidding of the project over concerns that Guo might fail in raising the promised funds before the international games kicked off, the subordinate said.

Guo bribed staff at the hotel where Liu had trysts with his mistress and sent his sex tapes to the graft-buster, resulting in Liu's downfall and the withdrawal of the rebidding. Guo's firm has since then been known as the developer of Pangu Plaza, an iconic dragon-shaped complex that overlooks the Olympic Stadium.