(CFP)

Wei Zhe, CEO of the business-to-business (B2B) division of Alibaba Group, resigned because of a rise in fraudulent sales. Lu Zhaoxi, the current CEO of Alibaba's unlisted online retailer Taobao.com, will succeed Wei in the position.

Li Xuhui, COO of the B2B division, also resigned for the same reason. Wei and Li were not directly involved in the frauds but took responsibility for a "systemic breakdown in the company's culture of integrity," said Alibaba. Alibaba is China's largest e-commerce group.

An internal investigation conducted by the group discovered more than 1,000 fraud cases in 2009 and 2010. One hundred of its sales representatives, out of a sales workforce of 5,000, were fired for involvement in the scam.

Wei, 41, graduated with a bachelor's degree in International Business Management from Shanghai International Studies University in 1993. He joined Alibaba Group in November 2006 as the president of its B2B division and also served as executive vice president of Alibaba Group.