
Former Moutai chairman Yuan Renguo.Photo: VCG
Chinese hard-liquor giant Kweichow Moutai has stepped up its monitoring of top executives after a former chairman was arrested for allegedly becoming drunk on power and taking bribes from government officials.
The company’s leadership will now have to register all communications with public officials interested in becoming involved in Moutai’s lucrative retail business, according to a notice posted by authorities in the company’s home province of Guizhou, in Southwest China.
It comes in the wake of the arrest and dismissal of former Moutai chairman Yuan Renguo in May, after he “seriously violated Party discipline and national laws and regulations,” according to the Central Commission for Discipline and Inspection. Yuan allegedly abused his power to bestow retail licenses in order to curry favor with local politicians, a source close to the company told Caixin.
Moutai is one of the country’s most famous brands of the Chinese grain alcohol baijiu. The Shanghai-listed company became the world’s most valuable liquor company in 2017, when its market value exceeded that of British whisky giant Diageo.
Related: Liquor Giant Moutai’s Ex-Chairman Booted From Government Advisory Body
Contact reporter David Kirton (davidkirton@caixin.com)

