The billionaire chief a Shenzhen-listed technology company has been detained for bribery connected to the railways sector.
Invengo Information Technology president Xu Yusho, who is also a member of the Shenzhen Municipal People's Congress, was taken into custody by Shenzhen authorities after a request from the Zhengzhou Railway Bureau in Henan province, prosecutors said late on Monday.
Xu, 47, ranked in the top 500 of the Hurun Rich List in 2009, with 2.2 billion yuan (HK$2.7 billion) in assets.
Invengo is one of two providers of radio frequency identification tags and readers for the Railways Ministry. The company derived more than half of its revenue from railway contracts in 2010.
Prosecutors, who made the announcement on their official microblog, said the congress' Standing Committee approved Xu's detention on Wednesday.
Invengo yesterday said only that the company's business operations would not be affected and declined further comment on the investigation.