Xi’s Purge of Xu Caihou: Pocketed $223M, Revealed Shocking Secrets Within Chinese Military

China Insider
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219 Video Views·Feb 25, 2025
Xu Caihou, once a powerful and prominent general in the military,
fell from grace due to Syria's corruption.
His tragic and humiliating death marked what many saw as President Xi Jinping's
final closing of the coffin on Xu's legacy.
Over 45 years in the military, Xu amassed tons of cash and jewelry,
building a sophisticated empire of corruption
that extended its influence across key sectors of the Chinese Communist Party.
But when Xi Jinping launched his crackdown on high-ranking officials,
Xu became the face of military corruption,
a symbol of the untouchable fortress that China's military once represented.
How did one of China's most feared generals end up penniless,
alone, and under surveillance in his final days?
Let's find out in the video today.
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Xu Caihou's Rise, A Kite in the Wind of China's Military
Known as the Northeast Tiger, Xu was a standout cadet at the Harbin Military Engineering Academy.
Born in 1943 to a poor family in Liaoning,
he was driven by an intense ambition to climb the ranks and rewrite his destiny.
By 1990, he had rocketed from a deputy regiment officer to a corps commander,
leveraging connections with powerful figures like Zhang Zemin and Hu Jintao along the way.
His rapid ascent wasn't just luck.
It was fueled by a powerful military mentor.
A brief post as director of the retiree office in the Jilin Military District in 1982
may have scored him valuable points with senior officials,
but 1992 marked his true turning point.
At this time, China held its 14th National Party Congress,
and the military was undergoing a shake-up after the Yang Brothers affair,
which led to the ousting of Yang Shankun and Yang Baibing.
Xu, then a political commissar of the 16th Army Group,
was called to Beijing to fill a leadership void
and appointed assistant to the director of the General Political Department,
effectively positioning himself in Beijing's inner circle.
With a boost from another senior military leader,
Xu joined the powerful Central Military Commission by 1999.
After the Communist Party's 16th National Congress, Xu's influence hit new heights.
He became secretary of the Secretariat, a Central Military Commission member,
and director of the General Political Department.
Together with another military heavyweight, Guo Boxiang,
Xu held control over nearly all military affairs.
Many believe Zhang Zemin was Xu's main backer,
helping Xu and Guo establish a loyal faction within the military.
This power allowed them to effectively sideline then-chairman Hu Jintao,
who had little influence for a decade.
With complete control over military appointments, dismissals,
and the transfer of top officers across the People's Liberation Army and armed police force,
Xu's confidence—and corruption—grew unchecked.
His level of corruption became infamous, described as beyond imagination.
The Communist Party's official report on Xu's crimes
noted his acceptance of bribes in extraordinarily large amounts,
sealing his reputation as one of China's most corrupt military leaders.
An Astonishing Scale of Corruption
Xu Caihou, one of China's notorious Four Tigers,
couldn't evade Xi Jinping's anti-corruption drive.
Investigators uncovered a staggering empire of wealth
Xu had built through bribery and abusive power.
Desperate to keep his secrets safe, Xu even plotted against General Liu Yuan,
the man who exposed him and schemed to crush other rivals.
But all his plotting was powerless against Xi's relentless crackdown.
As head of military personnel, Xu wielded his position like a business,
allegedly taking huge sums often funneled through family members
in exchange for military promotions.
A retired officer revealed Xu's price list—
In a speech now circulating online,
General Liu Yazhou, a high-ranking political commissar,
shared Xu's words at the moment of his downfall.
Xu reportedly admitted,
Guo Boxiang's corruption is far worse than mine,
and even confessed that among top military officials,
only two had refused to pay him off—
Liu Yuan, son of Liu Shaoqi, and Liu Yazhou himself.
Xu also propelled Gu Zhenshan's meteoric rise
to deputy director of the General Logistics Department,
giving him control over vast military assets—
land, real estate, and procurement contracts.
Their partnership wasn't just about power,
it was a thriving network of corruption.
They inflated military contracts,
turning the Logistics Department into a haven for influence-peddling,
fake deals, and money laundering.
Huge sums flowed into Gu and Xu's pockets,
as well as those of their inner circle.
Gu reportedly lavished Xu and his family with over 35 million yuan—
4.8 million USD—in bribes,
which included a prepaid bank card with 20 million yuan,
a luxury Mercedes-Benz,
and, incredibly, over 100 kilograms of gold stashed in the car.
Moreover, Gu Zhenshan brought military officers to Xu Caihou for career boosts.
He also bribed Xu Caihou with A-list singers,
actresses, and, shockingly, his own daughter, Gu Yanli,
when she was just 20.
It's almost unthinkable Xu behind closed doors with Gu's daughter
while Gu waited outside.
To hide their colossal wealth,
Xu and Gu set up a web of fake accounts and offshore holdings.
Xu's family had 17 bank accounts across five national banks,
holding a staggering 335 million yuan—
about 54.8 million—with most accounts under aliases.
They had another 12 accounts in local banks with 430 million yuan—
over 65.9 million—
and even 10 accounts in foreign banks,
holding around 220 million yuan.
Xu's property empire was equally mind-blowing,
with villas in Beijing, Dalian, Jinan, and Zhuhai.
His wife owned over 20 properties,
his daughter held 15 more,
and they even had a 10-story rental building in Beijing.
When investigators raided Xu's 2,000-square-meter villa
on Fucheng Road in Beijing,
they found piles of cash in dollars, euros, and yuan.
The stacks were so massive that the cash-counting machines overheated and broke down,
forcing investigators to weigh the cash instead,
totaling over a ton.
At his villa in Jinan, they uncovered more treasures—
100 kilograms of jade,
200 kilograms of gemstones,
and antique paintings and calligraphy from the Tang dynasty.
Moving Xu's hoard of assets took 10 large military trucks.
Despite the rising anti-corruption storm within the military,
Xu's greed knew no limits.
Even in 2012, as the PLA closed in on Gu Junshan,
Xu brazenly accepted an additional 40 million yuan from him.
In the end, Gu's investigation became the final straw that brought down Xu Kaihou,
one of the most powerful men in China's military.
Following Xu Kaihou's arrest,
China's Oriental Daily shared an interview with General Liu Yizhou,
offering a rare glimpse into Xu's true character.
Liu didn't hold back, describing Xu as spineless—
a man who started his career carefully,
but slid into deep corruption and moral decay.
Xu set an unusual record in the military.
He served 50 years without a single official challenge or objection.
He was the only person to rise so high while maintaining this clean reputation.
Early on, when Xu first arrived in Beijing as deputy director of the general political department,
he was cautious in everything he did.
In Beijing's stifling summers, he only allowed himself an electric fan.
When someone offered him an air conditioner,
he politely refused, saying,
how could I?
Even the director doesn't have one.
But behind this humble front, Xu was a master of manipulation.
According to Dongxiang,
during a December 2011 meeting of the Central Military Commission,
General Liu Yuan boldly exposed Xu's corruption in front of the top brass.
Afterwards, Xu tried everything to win Liu's silence—
bribes, luxury gifts, even offering women—
but Liu wouldn't be bought.
When bribery failed, Xu allegedly resorted to plotting Liu's assassination,
attempting it four times, though Liu escaped each time.
Only after Xu's death did these dark secrets finally come to light,
revealing the depths of his deception and ambition.
A Lonely Death—Xu Kaihou's Final Chapter
After months in detention under investigation,
Xu Kaihou slipped into a coma in August 2014.
When he eventually woke up,
he struck a desperate bargain with authorities.
He would confess to using his power for personal gain
and even reveal the crimes of other top officials.
In return, he asked for medical treatment
and assurance that his wife and daughter would be spared.
On March 15, 2015,
with the scent of New Year's firecrackers still in the air,
Xu took his last breath on a hospital bed at Beijing's 301 Military Hospital.
Officials announced his death from bladder cancer,
freeing him from prosecution.
But in 2016, Hong Kong's Dongxiang magazine revealed a more shocking truth—
Xu had reportedly died from HIV-AIDS.
According to reports, Xu had tested positive for HIV
during his annual health check in July 2012,
with later tests confirming AIDS.
He was then transferred to Xiangshan Hospital for treatment,
where the hospital discreetly sourced HIV medications through foreign embassies.
Rumors suggest Xu contracted the virus from his mistress, Tang Can.
In 2015, Apple Daily reported that Tang had tested positive for HIV
while in a women's prison in Wuhan, Hubei Province.
Known as the common mistress of China's elite,
Tang had ties to high-ranking officials like Zhou Yongkang, Xu Kaihou, and Gu Jinshan.
Just a month before Tang's positive test,
Xu himself had succumbed to AIDS-related complications.
As he neared death, Xu requested one last meeting with his wife.
The Central Military Commission approved his wish after consulting Xi Jinping.
However, by then, Xu's face was so swollen and disfigured
that his wife was reportedly too horrified to visit.
The Wall Street Journal later noted that Xu Kaihou's death
closed the chapter on a potential military backlash to Xi Jinping's anti-corruption campaign.
His downfall had sparked anxiety among high-ranking military officials
who now saw the campaign as a threat.
Had Xu lived to stand trial, he, once a decorated general
and now expelled from the Chinese Communist Party,
might have used the courtroom as a stage to challenge Xi
or cast doubt on the charges against him.
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