Watchdog must clamp down on insider trading

A person related to a former deputy general manager of China Southern Power Grid is suspected of taking advantage of inside information about the State-owned enterprise, having invested in the capricious Chinese stock market for eight years without losing a cent, the national audit authority revealed on Sunday. Comments:

The insider trading went on for eight years without being discovered by the China Securities Regulatory Commission, the watchdog that claims to be committed to maintaining good order in the stock market. The commission still has a long way to go to fulfill its responsibilities. The stock market is a zero-sum game, the illegal profits gained by the insider trader are the losses of other legal investors.

Beijing News, June 30