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Sinopec launches probe of subsidiary's luxury liquor purchase

04-17-2011 13:24 BJT

GUANGZHOU, April 17 (Xinhua) -- After Sinopec, China's leading supplier of petroleum, came under fire for its massive liquor bill, it has launched a probe into the scandle and sold part of its liquor stock.

The company has suspended Lu Guangyu, the general manager of Sinopec's Guangdong branch, from duty.

It also resold the pricey drinks, including Moutai, to two liquor shops, as indicated by copies of invoices.

An online posting, accompanied with photocopies of invoices, last week claimed that the Guangdong subsidiary of Sinopec purchased several million yuan worth of extravagant liquors for private use by its leader Lu Guangyu.

The online posting immediately triggered a tidal wave of criticism as people in China are still fretting over rising fuel prices.

China increased retail gasoline and diesel prices on April 7, the second fuel price hike this year.

"They (Sinopec) said they must raise gasoline prices to meet rising cost, while drinking Moutai in the air-conditioned office," said an online posting.

Sinopec officials said that the company had ordered an investigation into the case and would report to the public any irregularities found.

Moutai is a luxury brand in China. A bottle of vintage Moutai won a bid of 8.9 million yuan at an auction in Guizhou.



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Editor:Zhang Pengfei |Source: Xinhua

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