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Shanghai dissolves graft-stricken agencies

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Shanghai will dissolve two of its most corruption-troubled government agencies as part of a sweeping institutional reform that will reduce the number of departments from 56 to 44, local media reported.

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The government will scrap the Shanghai Labour and Social Security Bureau, which was at the centre of a 2006 scandal involving the misuse of pension funds.

The former head of the bureau, Zhu Junyi , was jailed for 18 years and more than 20 government and state company officials were implicated, including the city's former Communist Party chief, Chen Liangyu .

The bureau will be replaced by a new body, the Shanghai Human Resources and Social Security Bureau, through a merger with the Shanghai Personnel Bureau.

Another troubled body, the Shanghai Housing, Land and Resource Administration, will be replaced by the Shanghai Housing Guarantee and Housing Management Administration.

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However, the responsibility for land-related matters will fall to the new Shanghai Urban Planning, Land and Resource Administration, which the city will create from the old Shanghai Urban Planning Administration.

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