China Sets Cross-Agency Team to Stomp Illegal Activities in the Capital Market

Friday, 17-September-2021 20:00

A Chinese flag flies outside China's Securities Regulatory Commission (CSRC) Building.
Image : ANTARA/REUTERS/Tingshu Wang
A Chinese flag flies outside China's Securities Regulatory Commission (CSRC) Building.

SHANGHAI, NETRALNEWS.COM - China has set up a cross-agency team led by the country's securities watchdog to coordinate crackdown efforts against illegal activities in the capital market.

China's Securities Regulatory Commission (CSRC) said on Thursday (09/16/2021) that it recently held its first meeting with other team members, including the country's propaganda department, supreme court, supreme prosecutor, police, justice ministry, and finance ministry.

Cracking down on securities misconduct is critical to building open, transparent, and vibrant capital markets that serve high-quality economic growth, the CSRC said in a statement on its website.

China is seeking to funnel more household savings into equities and bonds to fund innovation and economic expansion amid ongoing China-US tensions and signs of slowing domestic growth.

The CSRC said the newly formed team would encourage better coordination between the central and local governments, and different regions of China, to better regulate the capital market.

The team will also increase penalties for violations, including book-cooking (an accounting trick to make a company's financial results look better than it really is), market manipulation and insider trading, while improving China's system to protect the interests of individual investors, as reported by Antara.

Reporter : turkhan
Editor : turkhan