politics - Pension crisis in Shanghai deepens

The sacking and detaining of Party Secretary Chen Liangyu is only the start of a much larger cleanup of China's economic capital Shanghai. Shanghai is in turmoil, writes the Financial Times today.

Senior Shanghai officials have been ordered to hand in their passports while an investigation into corruption at the city’s pension scheme continues, officials have confirmed, to prevent any suspects fleeing the country.

Local police have also been put on alert in case the revelations about corruption at the highest levels of government and the detention of party secretary Chen Liangyu spark angry protests from citizens.

By picking a pension scandal - and not for example other possibilities in real estate - to curtain Shanghai, the central government picked an issue that is very close to many Shanghainese too. I discussed the issue with a couple of people and all - as if they were prompted - started to talk about their parents, living on a poor pension, while the big guys have been grabbing money big time that belongs to their parents.
This mouse will have a very long tail.