Internet chat rooms are being targeted as a source of possible stock market manipulation in a crackdown by securities chiefs.
Authorities believe some Web sites that allow users to exchange market tips and gossip are being used to spread rumours and affect share prices.
Under proposals, likely to be implemented in April, the Securities and Futures Commission will propose operators of the sites be held responsible for the content and record the identity of those who use them. 'When the manipulators know the SFC can trace them easily, they will not dare to spread unfounded rumours on the Net,' said Barbara Shiu, commission senior director.
Chat room operators would have to remove 'suspicious news' and tell the commission of rumours related to possible manipulation. Operators would have to post warnings on the sites about the risks of relying on information from chat rooms.
Ms Shiu said the move would bring Hong Kong into line with rules in the United States and Australia.
The US Securities and Exchanges Commission has charged several people in cases related to chat rooms.