Huang Guangyu Trial, Real Estate Dilemma

Huang Guangyu, the richest man in China, went on trial last week in Beijing. The founder of home electronics chain GOME was brought up on charges of bribery, money laundering, and insider trading. The dragnet in the investigation leading up to the trial has already widened, and has implicated a number of high-ranking cadres in the Ministry of Public Security’s white-collar crimes division. In this edition of Sinica, we discuss the perils of wealth and what Huang’s trial means for rule of law in China. We also examine China’s dilemma over soaring property prices, and Beijing’s sharp new policies to curb speculation. Do they portend the collapse of the real estate bubble?

Joining host Kaiser Kuo this week are Gady Epstein, Beijing Bureau Chief for Forbes magazine, and Sinica regulars Bill Bishop, and Will Moss. Bill is a tech entrepreneur in Beijing who blogs regularly on politics and economic issues at Sinocism.com. Will is a public relations expert in China and the force behind the popular Imagethief.com.