North Korean leader Kim Jong-il will have to pick a new chief executive for his special administrative region to replace tycoon Yang Bin, who has been taken to Beijing for further investigation, diplomatic sources said yesterday.
Yang, chosen by Mr Kim to head his new SAR last month, was arrested last week at his villa in the Holland Village development in Shenyang. Authorities have not revealed where they are holding him, but one Chinese source said he had been taken to Beijing.
'The leaders want this matter dealt with quickly, but do not want it to interfere with the smooth running of the 16th Communist Party Congress in November. If they cannot deal with it in the next two weeks or so, it will be put on hold until after the congress.
'With the accusations against him, Yang has no chance of serving as chief executive of the SAR. Kim will have to find a replacement.'
An Asian diplomat said Beijing had ruled out deporting Yang, which would be a way of saving face for Mr Kim, who selected the tycoon personally, by avoiding the ignominy of a trial.
'That would make a mockery of China's laws. I see no alternative to him going to prison, when you consider the improper financial reporting of his listed company in Hong Kong and the things he is accused of in China,' he said.
Foreign Ministry spokeswoman Zhang Qiyue said the bureau had been told by relevant departments that Yang and his enterprises in China were suspected of involvement in various illegal activities.
