The chairman of Jiahua Energy Co., Ltd., who was suspected of manipulating the market, was put on file for investigation and left

category:Finance
 The chairman of Jiahua Energy Co., Ltd., who was suspected of manipulating the market, was put on file for investigation and left


According to public information, Guan Jianzhong is the chairman of Zhejiang Jiahua energy and Chemical Co., Ltd., and the chairman and executive director of the board of directors of China Sanjiang Fine Chemical Co., Ltd. The latter is a Hong Kong listed company, which also announced that Guan Jianzhong had received an investigation notice issued by the China Securities Regulatory Commission.

According to the announcement of Jiahua energy, Guan Jianzhong is suspected of manipulating the securities market; in addition, according to a decision on administrative punishment disclosed by the CSRC in July, Guan Jianzhong was involved in an insider trading case.

According to the administrative punishment decision, on October 26, 2017, Jiahua energy issued the announcement on suspension of major matters, which disclosed the companys planned major matters. On December 26 of the same year, Jiahua energy issued the announcement of continued suspension of major asset restructuring, which disclosed that the company intends to purchase 100% equity of Meifu petrochemical in cash. The actual controller of Meifu Petrochemical is Guan Jianzhong, the actual controller of the company. This transaction constitutes a connected transaction. On January 25, 2018, Jiahua energy released the plan for major asset purchase and related party transactions, which disclosed the specific plan for Jiahua energy to acquire 100% equity of Meifu petrochemical.

Photo source: SFC website

Based on this, the CSRC believed that Yin Zhangweis behavior constituted insider trading, and decided to order Yin Zhangwei to deal with the illegally held securities in accordance with the law, confiscate any illegal income, and impose a fine of 300000 yuan on Yin Zhangwei.

Crack down on market manipulation and other illegal activities

Manipulating the market, creating false supply-demand relationship, destroying the pricing function of the market, misleading investors decision-making, and easily leading to systemic risks, have always been the key areas of supervision and law enforcement.

According to the CSRCs notice in recent years, the actual controllers of a number of listed companies have participated in market manipulation. The Hengkang medical case and the HTC new material case are all typical cases.

The case of Zhu Dehong and Shanghai Yongbang conspiring to manipulate Hongda new materials is the first case of punishing market manipulation by taking advantage of information advantage. Zhu Dehong, the actual controller of Hongda new materials, conspired with Shanghai Yongbang Investment Co., Ltd., a private placement organization, to manipulate the stock price of Hongda new material by utilizing the advantages of capital and information. Among them, Zhu Dehong is responsible for looking for the themes and hot spots of merger and acquisition, controlling the time point of relevant information disclosure, and providing transaction capital support. Shanghai Yongbang carries out transactions through continuous transactions and between accounts under its actual control. Less than a year after the crime, the investigation team of the Shenzhen Commissioners office successfully restored the full picture of a new type of case with multiple manipulation, multi share manipulation, insider trading, and over proportional shareholding. Although the manipulation operator lost money in trading, he was still fined a legal maximum of 3 million yuan, which effectively deterred listed companies and private institutions from using the name of market value management The chaos of story telling and stock price speculation.

The handling of cases in the first half of the year reported by the CSRC shows that the frequent occurrence of insider trading cases has been curbed to some extent, and there are still many cases of vicious market manipulation. In the first half of the year, the number of insider trading cases showed a downward trend, and there were still more unfair transactions using mergers and acquisitions and large fluctuations in performance. The number of loss avoiding insider trading cases increased year on year. From the perspective of market manipulation cases, the cases of actual controllers cooperating with market institutions to manipulate the stock price of the company occur from time to time. The actual controller of taiyiyun, a company listed on the new third board, was placed on file for investigation for raising the companys share price in order to meet the conditions of innovation level. The actual controller of a listed company is suspected of using hundreds of securities accounts to raise the share price and cooperate with the reduction of shares, making illegal profits of hundreds of millions of yuan. The CSRC stressed that the next step will fully implement the zero tolerance work requirements of the financial commission of the State Council on illegal behaviors in the capital market, resolutely crack down on major violations of laws and regulations such as financial fraud, vicious market manipulation and insider trading of listed companies, and comprehensively use multiple investigation of one case, administrative punishment, prohibition of market entry, compulsory delisting of major violations and criminal pursuit All round and three-dimensional accountability mechanisms, such as liability and civil compensation, effectively increase the cost of illegal activities, purify the market ecology, and protect the legitimate rights and interests of investors. Profit signs of lucky coffee: July has achieved overall profit and loss balance, CPI increased by 2.7% in July, pork price rose by 85.7%, counterattack musk? Bezos crazily cashes 50 billion bets on space technology source: China Securities Journal Editor in charge: Yang Bin_ NF4368

The handling of cases in the first half of the year reported by the CSRC shows that the frequent occurrence of insider trading cases has been curbed to some extent, and there are still many cases of vicious market manipulation. In the first half of the year, the number of insider trading cases showed a downward trend, and there were still more unfair transactions using mergers and acquisitions and large fluctuations in performance. The number of loss avoiding insider trading cases increased year on year. From the perspective of market manipulation cases, the cases of actual controllers cooperating with market institutions to manipulate the stock price of the company occur from time to time. The actual controller of taiyiyun, a company listed on the new third board, was placed on file for investigation for raising the companys share price in order to meet the conditions of innovation level. The actual controller of a listed company is suspected of using hundreds of securities accounts to raise the share price and cooperate with the reduction of shares, making illegal profits of hundreds of millions of yuan.

The CSRC stressed that the next step will fully implement the zero tolerance work requirements of the financial commission of the State Council on illegal behaviors in the capital market, resolutely crack down on major violations of laws and regulations such as financial fraud, vicious market manipulation and insider trading of listed companies, and comprehensively use multiple investigation of one case, administrative punishment, prohibition of market entry, compulsory delisting of major violations and criminal pursuit All round and three-dimensional accountability mechanisms, such as liability and civil compensation, effectively increase the cost of illegal activities, purify the market ecology, and protect the legitimate rights and interests of investors.