University officials leave Chinese corporate boards

An unusual number of independent directors resigned from Chinese public company boards in the first three weeks of December, according to China Economic Weekly, a local publication. Fuelling that rise: more than 270 directors who are deans or professors of Chinese universities, reports The Wall Street Journal.

A spot check by China Real Time showed a large number of such university types are indeed dropping out. During the week of 7 December, directors with university backgrounds resigned from more than 80 public companies, citing personal reasons or a directive from the Chinese Communist Party.

That directive is the latest effort in Chinese President Xi Jinping’s three-year-old anti-corruption campaign. China’s Ministry of Education in November asked universities to abide by the same directive that forbids party and government officials to get a second pay cheque. According to this reasoning, universities are now serving as a corruption conduit between the business world and politics.
Full report on The Wall Street Journal site