A former Chinese university official has fled the country after being investigated for his involvement in misusing about 400 million yuan (US$51.61 million), including embezzling 110 million yuan from one of China's top universities, China Business News reported on Monday. Yang Yulin, president of a company affiliated to Nankai University in China's Tianjin Municipality, has been expelled from the Communist Party of China for financial misconduct.
Yang, a former teacher of the university's foreign languages department, became the president of the university's Yungong Group in 1997.
Yang reportedly caused a loss of 300 million yuan, most of which he misused on irrelevant companies and individuals.
Yang also falsified account certificates when he managed the company, the report said.
Judicial authorities have been taking part in the investigation, said an official of the university.
Yang's misconduct was spotlighted during the relocation of the company's chemical plant.
Upon realizing the shortage of student apartments and the severity of pollution coming from the plant, the university planned to spend 50 million yuan to relocate the plant as well as its workers and build student apartments on its former site.
Hou Zixin, then president of the university and chairman of the company, gave Yang another 25 million yuan to solve the problem.
However, all the efforts Yang made were just to pull down the old plant. Most of the workers of the plant didn't obtain compensation and the construction of the new plant never kicked off.
Workers of the plant then reported the situation to the Ministry of Education in 2005.
The ministry and the Central Disciplinary Commission of the Communist Party of China jointly launched a probe and removed Yang from his post on December 29, 2005.
Yang fled the country in March 2006.
The university established the Gongyun Group in 1997 with a registered capital of 80 million yuan to solve its financial bottleneck.
Yang's case is the second school fund scandal to hit Tianjin.
Shan Ping, the former president of neighboring Tianjin University, was expelled from the National People's Congress last November for financial misconduct.
Shan's misappropriation of school funds caused a huge loss of more than 37.5 million yuan on the stock market.