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Chen Shijie, 63, has tendered his resignation as chairman to the association, an insider told the newspaper yesterday.

"The association is holding a meeting to discuss the problem with his son. He may have sought illegal profits for his son in some property projects," the insider said.

Chen is also the vice chairman of the China Real Estate Association. He used to be the Party secretary of the Shanghai construction management committee which is in charge of the city's property market, and a member of the standing committee of Shanghai People's Congress.

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When a newspaper reporter called Chen yesterday, a young man picked up the phone and said Chen wanted to take a break to handle family issues, not to be questioned.

Yin Guoyuan, the former deputy director of the Shanghai housing, land and resources administrative bureau, is also under investigation, an unnamed official with the Shanghai municipal government confirmed last week.

Yin had allegedly failed to account satisfactorily for his immense wealth, according to local sources. His wife is also being questioned.

Shanghai launched an anti-corruption campaign last August with investigations into the misuse of the city's pension fund, which has already implicated many government officials and company executives. Former Shanghai Party Secretary Chen Liangyu was dismissed in September.

(For more biz stories, please visit Industry Updates)