Chen Liangyu, secretary of the Shanghai Municipal Committee of Communist Party of China (CPC), has been sacked for his involvement in a social security fund scandal.
Chen was also suspended from the posts of member of the Political Bureau of the CPC Central Committee and member of the CPC Central Committee.
Shanghai Mayor Han Zheng has been appointed the acting secretary of the Shanghai Municipal Committee of the CPC by the CPC Central Committee.
The Political Bureau of the CPC Central Committee convened a meeting on Sunday and discussed a preliminary investigation report on Chen's problems, which was tabled by the the CPC Central Commission for Discipline Inspection.
The CPC Central Commission for Discipline Inspection is investigating Chen's case.
According to the preliminary investigation, Chen was also involved in other discipline violations, such as helping to further the economic interests for illegal entrepreneurs, protecting his staff who severely violated laws and discipline, furthering the interests of family members by taking advantage of his official posts.
The CPC Central Committee held that its investigation into Chen and his subsequent punishment demonstrated the CPC's resolution to build a clean Party and to fight corruption.
Whenever an official violated discipline and laws, regardless of name or rank, he or she would be severely punished, according to the committee.
The CPC Central Committee stressed that all Party members, especially senior cadres, must have a clear awareness of the far-reaching, complex and arduous nature of the fight against corruption, and urged them to maintain propriety in their lives, authority, social status and personal interests.
It reminded them to focus on improving their performance, to guard against temptation and to persist in stringent self-discipline.
Party committees at all levels should strengthen the education and management of cadres, tighten restrictions and supervision of authority, and promote a better party performance, clean and honest government, and the fight against graft, it said.
The CPC Central Committee believed it could effectively curb corruption under its leadership with Hu Jintao as general secretary and with joint efforts of all Party members and the public.
It is also confident of improving the general atmosphere in the Party and society and boosting the construction of socialism with Chinese characteristics further ahead.
Chen was born in October 1946 in Ningbo city, east China's Zhejiang Province. He graduated from the Architecture Department of the People's Liberation Army (PLA) Institute of Logistics Engineering where he had majored in architecture. He joined the CPC in April 1980.
He assumed the posts of Secretary of the Shanghai Municipal Committee of the CPC and member of the Political Bureau of the CPC Central Committee in 2002.
Han Zheng, born in 1954, is a native of Cixi, east China's Zhejiang Province. He joined the CPC in 1979 and was a delegate at the 14th and 15th CPC National Congresses, and a member of the 16th CPC Central Committee.
Han was elected as deputy party chief of Shanghai in May 2002 and became mayor of Shanghai in February 2003.