CSRC to strengthen crackdown on listed company misconduct

The China Securities Regulatory Commission has strengthened its commitment to stringent crackdown on listed company misconduct, delivering a strong signal of heightening the cost of such illegal activities to further bolster investor morale.

Referring to the essence of market manipulations as "cheating" while insider trading as "stealing", Li Ming, head of the CSRC's enforcement bureau, said on Friday that the commission will precisely identify and strictly crack down on these illegal behaviors.

Li said the CSRC will closely monitor any listed company manipulating profits by abusing accounting policies and will rigorously punish any misuse of listed company guarantees, ensuring that those responsible are "left with nothing, both financially and personally".

Efforts will also be intensified to crack down on fraudulent listings, financial frauds and misuse of funds by major shareholders, Li said, adding that the severity of penalties will grow as more infringement cases are subject to the updated Securities Law.

Li made the remarks at a news conference held by the commission, following the commission unveiled as many as six administrative penalties on Thursday.

"We are fully aware that our work has yet to meet the expectations of investors. We will continue to strengthen supervision and enforcement, strive to improve the quality of listed companies and work diligently to create a reassuring environment for investors."