It remains unclear why Chairman Jin Baofang was detained, but the company said its operations will not be affected. The Paper, a Chinese state-owned media outlet, reported that Jin's detention might be connected to the fall of Liu Baohua, the formal deputy director of the National Energy Administration, which has also been under investigation by the anti-corruption authorities since mid-October.
Jin Baofang – the founder, chairman and general manager of Shenzhen-listed China PV module manufacturer, JA Solar – was detained last week by the authorities in Pingdu, Shandong province, in relation to a criminal investigation.
JA Solar was told about the move by the Pingdu Supervisory Committee on Friday and it made an official announcement to the Shenzhen Stock Exchange on Monday. “(This) will not have a significant impact on the company's daily production and operations, which are ensured by its perfect governance structure and internal control mechanism,” said JA Solar.
Supervisory committees are government administrative departments to fight corruption among public officials or those that work in connection with the public sector. They combine several previous anti-corruption offices from different departments and work closely with the Chinese Communist Party.
The detentions of individuals by the supervisory committees may last no longer than three months, but an extension of another three months can be secured in special cases. Currently, it is not known now when Jin will be released or formally indicted. The Chinese government did not provide any additional details on the matter.
The Paper, a media outlet is owned by state-run Shanghai United Media Group, reported on Tuesday that the detention of Jin might be related to the fall of Liu Baohua, the formal deputy director of China National Energy Administration, which has been under investigation by the Chinese anti-corruption authorities since mid-October.
JA Solar's shares fell by around 24.8% from Friday to Tuesday evening.
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