Journalist, market regulatory official confess to roles in alleged insider trading at Citic Securities
A Chinese financial journalist and a stock market regulatory official implicated in a probe into suspected insider trading at Citic Securities confessed on state television on Monday morning.
Their appearance came hours after a midnight announcement that both men and four executives of the brokerage, including managing director Xu Gang, were being formally held.
The six people, plus another four Citic Securities executives and a former staff of the China Securities Regulatory Commission (CSRC), the market watchdog, were “assisting police in their investigation” into a suspected insider trading case last week.
Xu and three others, including executive committee member Liu Wei, head of the company’s securities financing business Fang Qingli and company director Chen Rongjie, had been criminally detained for suspected insider trading, Xinhua reported.
Under Chinese law, “criminal detention” precedes a formal arrest.
