Lawyer Yuming Bao tendered his resignation as an independent director of ZTE on Friday as news of sexual assault allegations rocketed around the country.
Bao, 48, a corporate lawyer, was accused of raping a girl over a number of years after she came to stay with him at the age of 14.
The young woman, now 18, said she had gone to the police on several occasions but they turned her away.
She said Bao forced her to view child pornography and had installed a surveillance camera to ensure she could not leave.
ZTE chairman Li Zixue said the company was concerned about the news reports. He said ZTE had verified that Bao was under investigation by the public security services.
Bao, who has denied the allegations, was also forced to resign his post as vice president of oil services company Yantai Jereh last week.
He was elected a board member in June 2018 as ZTE cleaned house after being caught carrying out unauthorized trade with Iran.
The company fired its senior management team and 14 board members and paid a hefty fine for breaching the terms of its settlement with the FTC over the illicit exports.
According to Bao's biography, he has served as senior legal adviser to multinational enterprises including Cisco and News Corp.
— Robert Clark, Contributing Editor, special to Light Reading