Chair of the China Research Group, Tom Tugendhat MP was joined by Desmond Shum for a conversation on Desmond's recent book Red Roulette: An Insider's Story of Wealth, Power, Corruption, and Vengeance in Today's China, a rare look at the inner workings of the Chinese Communist Party.

Desmond's journey as a successful businessman during China's boom period in the 2000s took him close to the nexus of power at the top of the Chinese Communist Party. After studying in the US and working in Hong Kong, he moved back to Beijing, where he married Whitney Duan. Whitney was close to Zhang Peili, the wife of Wen Jiabao (China's premier from 2003 to 2013).

The relationship gave Desmond insight into power, wealth and corruption across China in a period where its GDP was growing by 10% a year. Together, Desmond and Whitney leveraged their business and political connections to cut major business deals, pulling off the development of the largest air cargo logistics facility in China, the Beijing Airport Cargo Terminal.

In his book, Desmond argues that entrepreneurs felt the tightening of CCP control as early as 2008. But Desmond and Whitney experienced significant pressure in 2012 when the New York Times splashed on the ‘hidden riches’ of Wen family corruption, which implicated his wife Whitney. And after three years under Xi's rule, Shum decided to leave the country in 2015 and move to the UK.

Whitney disappeared in China in 2017. No one had heard from her for four years. But on the eve of Red Roulette's publication earlier this year, Desmond received a call from Whitney - who asked him not to publish the book.

The discussion includes Desmond's perspective on Xi's power base and the political slant of his anti-corruption campaign in 2012/13, how China's 'red aristocracy' controls the CCP and the situation in Hong Kong.

Further reading:

Buy the book: Red Roulette by Desmond Shum on Waterstones.
Red Roulette: It Sucks to be a Chinese Billionaire on ChinaTalk.

China's Economic Rise under Xi Jinping

Talks on ChinaBy China Research GroupApr 16, 2021