Tuesday

17th Sep 2019

Opinion

The curious case of the Czech president's missing advisor

  • Czech president Milos Zeman with Chinese president Xi Jinping. Zeman previously boasted of their 'special relationship'. (Photo: Czech president office)

The disappearance of Ye Jianming, chairman of China Energy Company Ltd (CEFC), and news of his investigation by China's Central Commission for Discipline Inspection has sent shock waves across the Czech media.

Ye has been a honorary advisor on economic cooperation with China to the Czech president Milos Zeman - who on many occasions welcomed Chinese investment to the country and has sometimes been criticised for his openly pro-Chinese attitude from by various political parties and journalists.

Read and decide

Join EUobserver today

Support quality EU news

Get instant access to all articles — and 18 year's of archives. 30 days free trial.

... or join as a group

Clueless as the Czech media have been on Ye Jianming's fate, the most surprising announcement came from the president's office.

After Chinese ambassador Ma Keqing's visit to Zeman, his spokesperson only tweeted that "Madam Ambassador did not confirm the speculations on detention of president's honorary advisor".

Meanwhile, CEFC Europe, in an apparent attempt to calm down the situation, was busy spreading the news that it did not, in fact, have anything to do with Ye, a move which replicated similar announcement by other branches, including CEFC Hong Kong Financial Investment Company Ltd.

Speculation rife

One can, and many did, speculate whether the detention of Ye was a result of an alleged power struggle between Xi Jinping and Jiang Zemin's clique in the party's leadership.

Or an exemplary punishment of a company who borrowed too much from state banks and the development bank.

Or a result of a bribery scandal involving Patrick Ho, former senior Hong Kong home secretary and president of CEFC's NGO branch, president of Chad and minister of foreign affairs of Uganda.

We may find out if and when Xi refers to the case at the National People's Congress meeting, but until then an interesting question arises for Czech-Chinese relations watchers: how will Ye's detention affect the Czech Republic and Zeman?

CEFC Europe, a branch of CEFC company, is not only one of the most important vehicles of Chinese investment in the Czech Republic, it is also widely considered to maintain close links to the Chinese state, especially through the arrested chairman Ye.

Tellingly, Ye was named a honorary advisor by president Zeman at the height of the surge of Czech-Chinese political and economic courtship in 2015 and CEFC was the company which led the 'investment spree' in the Czech Republic in the immediate aftermath.

Besides other companies, it invested in Travel Service, a company which owns Czech Airlines, bought the Slavia soccer club and the Lobkowicz brewery and owns properties in Prague city centre.

It also invested (from 2015 to 2017) in Empresa Media, a company which owns TV Barrandov, one of 'alternative' Czech media outlets whose bias for Zeman has since become notorious and played some role in his reelection to the office in January.

The Chinese state will most likely not let CEFC fall.

Some of its assets are too important and sensitive, like the deal with Rosneft which was promoted jointly by Xi Jinping and Vladimir Putin.

If the Chinese state takes over CEFC, it will probably run an audit of CEFC's assets.

Football, beer and TV?

While none of those in the Czech Republic seem dubious per se, it may come a little strange that a company which focuses on energy, invested in a soccer club, a brewery and a TV station.

President Zeman will not be affected domestically - after all, he has just won his second term in office, but the affair sheds bad light on the alleged special relationship with President Xi Jinping about which he boasted.

Xi apparently failed to tip off his arguably firmest supporter in Europe on his honorary advisor's alleged wrongdoing and its implications.

While Zeman's electorate does not care, his supporters in business circles who invest in China and depend on Zeman's alleged good terms with Xi might as well take notice.

Even if Zeman had Xi's ear, as he claims, apparently that does not extend to Chinese leader's mouth.

This time the trouble came to a Chinese company, but what happens when a storm hits one of the Czech investments in the Peoples' Republic of China? In that case supporting the Czech president hardly seems to matter.

Ivana Karaskova is a China analyst and chief coordinator of ChinfluenCE, international project mapping Chinese influence in central Europe run by the Association for International Affairs (AMO)

Disclaimer

The views expressed in this opinion piece are the author's, not those of EUobserver.

Stakeholder

China-EU relations in the new era

A new type of international relations is needed to advance China-EU relations to a new level, says the Chinese ambassador to the EU.

Germany says China using LinkedIn to recruit informants

Germany's spy agency says the Chinese state is trying to recruit high-ranking German officials via social media outlets like LinkedIn. It accused Chinese intelligence of setting up fake profiles to lure them into becoming informants.

Chinese hangover in Prague

President Zeman says closer ties with China will finally free the Czechs from EU and US pressure. His allies and opponents are united in scepticism.

How EU firms and banks help fund Amazon fires

Deutsche Bank, BNP Paribas, Blackrock, and Vanguard collectively own more than $1.1bn in debt in the three largest soy, and the three largest cattle companies, and own $6bn worth of shares in these companies.

Amazon fires mean EP must rethink Mercosur trade deal

The European parliament debates on Tuesday the fires in the Amazon region. "It goes without saying that, in light of the gravity of the situation, Europe will need to renegotiate the Mercosur agreement", writes MEP Kathleen Van Brempt.

News in Brief

  1. German top lawmaker scolds Bettel over Johnson snub
  2. Greens decide on Tuesday on talks on Five Star joining
  3. Belgian mayors give Juncker a tongue-lashing
  4. Von der Leyen defends 'way of life' slogan
  5. Court hears case on UK's pre-Brexit parliament shutdown
  6. Nato rings alarm on Gulf 'escalation'
  7. Luxembourg mockery of British leader sparks 'anger'
  8. Majority of Belgians against excluding Vlaams Belang

Defending the defenders: ombudsmen need support

Ombudsmen are often coming under attack or facing different kinds of challenges. These can include threats, legal action, reprisals, budget cuts or a limitation of their mandate.

Stakeholders' Highlights

  1. Nordic Council of MinistersNew programme studies infectious diseases and antibiotic resistance
  2. UNESDAUNESDA reduces added sugars 11.9% between 2015-2017
  3. International Partnership for Human RightsEU-Uzbekistan Human Rights Dialogue: EU to raise key fundamental rights issues
  4. Nordic Council of MinistersNo evidence that social media are harmful to young people
  5. Nordic Council of MinistersCanada to host the joint Nordic cultural initiative 2021
  6. Vote for the EU Sutainable Energy AwardsCast your vote for your favourite EUSEW Award finalist. You choose the winner of 2019 Citizen’s Award.
  7. Nordic Council of MinistersEducation gets refugees into work
  8. Counter BalanceSign the petition to help reform the EU’s Bank
  9. UNICEFChild rights organisations encourage candidates for EU elections to become Child Rights Champions
  10. UNESDAUNESDA Outlines 2019-2024 Aspirations: Sustainability, Responsibility, Competitiveness
  11. Counter BalanceRecord citizens’ input to EU bank’s consultation calls on EIB to abandon fossil fuels
  12. International Partnership for Human RightsAnnual EU-Turkmenistan Human Rights Dialogue takes place in Ashgabat

Latest News

  1. Defending the 'European way of life' name splits MEPs
  2. Hungary claims EU 'witch-hunt' over rule of law hearing
  3. Trumpworld In Europe
  4. How EU firms and banks help fund Amazon fires
  5. Amazon fires mean EP must rethink Mercosur trade deal
  6. EU must give full support to Ukraine to dissuade Kremlin
  7. EU divided on how to protect rule of law
  8. Nordic region to become world's most sustainable and integrated

Stakeholders' Highlights

  1. Nordic Council of MinistersNew campaign: spot, capture and share Traces of North
  2. Nordic Council of MinistersLeading Nordic candidates go head-to-head in EU election debate
  3. Nordic Council of MinistersNew Secretary General: Nordic co-operation must benefit everybody
  4. Platform for Peace and JusticeMEP Kati Piri: “Our red line on Turkey has been crossed”
  5. UNICEF2018 deadliest year yet for children in Syria as war enters 9th year
  6. Nordic Council of MinistersNordic commitment to driving global gender equality
  7. International Partnership for Human RightsMeet your defender: Rasul Jafarov leading human rights defender from Azerbaijan
  8. UNICEFUNICEF Hosts MEPs in Jordan Ahead of Brussels Conference on the Future of Syria
  9. Nordic Council of MinistersNordic talks on parental leave at the UN
  10. International Partnership for Human RightsTrial of Chechen prisoner of conscience and human rights activist Oyub Titiev continues.
  11. Nordic Council of MinistersNordic food policy inspires India to be a sustainable superpower
  12. Nordic Council of MinistersMilestone for Nordic-Baltic e-ID

Join EUobserver

Support quality EU news

Join us