Firstly, the company that Mr. Chao ran until 2018 and which is now run by Ms. Chao's sister, Angela, has raised hundreds of millions of dollars credit obligations from a bank run by the Chinese government to build new dry bulk cargo ships in shipyards owned by the Chinese government. Angela Chao became one in January 2017 director of Bank of China, one of the country's four largest lenders.
Planning for the trip to China included discussions of a meeting with Mr. Chao and a “former high-ranking Chinese civil servantWho had been one of his classmates and now lived in Shanghai, the report of the Inspector General said. The report does not name the former government official, but Jiang Zemin, the former Chinese president, attended the same university in Shanghai in the late 1940s. as Mr. Chao, that school – Shanghai Jiao Tong University – was on the planned program.
Mr. Chao regularly met Mr. Jiang during his trips to China. During Mr. Jiang headed the ruling Communist Party from 1989 to 2002, the two met at least six times, The Times reported in 2019. Jiang mr. Chao and his wife in a villa in the Communist Party. Party leadership in Beijing in late August 1989, near the site of the bloody Tiananmen Square crackdown that had taken place less than three months earlier.
Ms. Chao's trip was eventually canceled just a few weeks before it was due – and after airline tickets were purchased – when State Department officials raised their own ethical concerns.
Four days before Mr. Rosen took part in the discussion of ethical issues, Ms. Chao along with her father and sister attended the Harvard Club in New York to sign a contract with a Japanese shipbuilder to supply two cargo ships to Foremost, according to a report by a Chinese news media company.
In 2018, employees at Ms. Chao's office helped edit chapters from a biography of Mr. Chao, even though one of the staff acknowledged that the publication did not have a D.O.T.-specific nexus, the inspector general said. report saidAfter helping to edit the book, Ms. Chao's associates built a marketing strategy that directed journalists to "build Dr. Chao on, ”And other organizations such as Columbia University and the shipping industry publication Lloyd's List to promote her family.
Steven G. Bradbury, who was General Counsel for the Transportation Department at the time, told investigators that he "was aware of the subject," said the family book the agency's staff had been working on: " 39;but it wouldn't be appropriate for the secretary to direct subordinates to work on these publications. "