Liron Shi (Shi Lirong)

2016: Departure from the job of the head of ZTE

At the beginning of April, 2016 ZTE announced Shi Lirong resignation from a post of the CEO and the president of the company after six years of the management. Change of the head can be connected with the American sanctions inflicted on the Chinese producer of telecommunication equipment.

According to the The Wall Street Journal (WSJ) edition with reference to the statement made for the Shenzhen stock exchange on which shares of the company are traded Shi Liron's place was taken by the technical director of ZTE Zhao Xianming. He is appointed the new chairman of the board of directors instead of the 75-year-old founder of the company Hou Weigui.

ZTE dismissed the head Shi Liron because of sanctions of the USA

Shi Liron left leadership team of ZTE, but will remain in board as the nonexecutive director.

Besides, ZTE was announced departure of executive vice presidents by Tian Wenguo and Qiu Weizhao. The company did not state a reason for leaving of top managers, however WSJ, most likely, knows of it.

The internal document of ZTE dated 2011 according to which Tian Wenguo and Qiu Weizhao were responsible for creation of schemes with false firms through which the company delivered to Iran products using the American technologies in circumvention of sanctions of the USA got to the editorial office of the edition.

Because of this incident at the beginning of March, 2016 the Ministry of Commerce of the USA inflicted trade sanctions on ZTE and prohibited the American suppliers to sell to the Chinese company the equipment and the software. Two weeks later after this statement the American authorities agreed to transfer entry into force of restrictions of activity of ZTE in the United States till June 30, 2016 thanks to the consent of the company to cooperate.

According to WSJ, resignation of the heads involved in the organization of trade with Iran bypassing a sanctions regime was one of conditions of a delay of the American sanctions against ZTE.^[1]

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