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China Telecom chairman steps down amid investigation
[HONG KONG] State-run China Telecom Corp Ltd said on Wednesday that Chairman and Chief Executive Chang Xiaobing has resigned with immediate effect, just days after authorities said he was being investigated for alleged disciplinary violation.
Chang is "suspected of serious violation of discipline", the ruling Communist Party's anti-corruption watchdog said on Sunday, the latest senior executive to be caught in an anti-graft dragnet.
Chang was chairman of China Unicom before becoming China Telecom chairman. China Unicom and China Telecom are two of the country's top three telecom service providers.
In a filing to the Hong Kong bourse after the market close on Wednesday, China Telecom said President and Chief Operating Officer Yang Jie will exercise the powers of the chairman and chief executive officer with immediate effect until a new appointment is made.
Chinese President Xi Jinping's corruption investigations have already led to the prosecution of leading politicians, bosses of state enterprises and senior bankers.
Shares of China Telecom ended down 1.1 per cent prior to the announcement, lagging a 0.5 per cent fall in the benchmark Hang Seng Index.