CIRC cracks the whip on Foresea Life

Illegal action results in heavy penalties, severe ban on chairman

China's insurance regulator on Friday imposed heavy penalties on Foresea Life Insurance Co and several executives including its chairman Yao Zhenhua for illegal investment.

The move came after Xiang Junbo, chairman of the China Insurance Regulatory Commission, pledged to punish speculative and illegal activities by the insurers as the regulator seeks to prevent the buildup of systemic risk in the industry.