SHANGHAI, Nov 27: China Haitong Securities is under investigation by the country’s stock watchdog, two people with direct knowledge of the matter told Reuters today – a move that follows probes into two other domestic brokers.
Haitong is being investigated for alleged violations of securities regulations, according to the sources, who declined to be identified as they were not authorised to speak to the media on the matter.
The probe comes less than three months after the firm was fined 86 million yuan (13.5 million dollars) by the China Securities Regulatory Commission for breaching securities rules.
Haitong declined immediate comment on the issue, saying only that there would be a statement after the stock market close on Friday. Trading in Haitong’s shares was halted this morning.
Calls and emails to the commission from Reuters were not immediately answered. Haitong’s case comes on the heels of probes into CITIC Securities and Guosen Securities , two of China’s largest securities firms.
CITIC and Guosen said on Thursday in separate filings that the commission had launched investigations into alleged violations of securities supervision and management regulations. ($1 = 6.3924 Chinese yuan) (AGENCIES)
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