The Bank of China yesterday confirmed the head of its Shanghai branch had been sacked for loans granted under his reign to a company controlled by one of the city's property tycoons.
A bank spokesman said Zhou Lu had been removed as the general manager of the Bank of China's Shanghai branch following an internal audit review.
'The head office discovered that certain credit extensions made to the Wan Tai Group, granted during Zhou's tenure, involved irregularities,' the spokesman said.
'Zhou should be held directly responsible for these problematic lendings.'
Mr Zhou has been replaced by Huang Zhiwei, the head of the bank's Nanjing branch.
The spokesman said Mr Zhou was the only official of the Shanghai branch to be removed and was helping the investigations into the loans.
Mr Zhou has worked at the bank since 1998.