manipulation in Shenzhen Mutual Fund
Two stock analysts were fined a
combined 760,000 yuan (US$115,500) for manipulating
share prices by releasing false recommendations and
company news to the public, China's top securities
However, it was unclear how much money,
Deng Xiaobo, an analyst with a mutual fund in Shenzhen,
and Deng Xiyuan, who works for Guangzhou-based Wanlian
Securities, earned through their actions. The clients
they represented lost nearly 4.34 million yuan combined.
Deng Xiaobo was fined 330,000 yuan while
Deng Xiyuan was slapped with a 430,000 yuan fine.
From January 10, 2008 to July 8, 2008,
the two published 36 articles on some major business
websites recommending stocks they had already bought
for their clients. After the articles were released,
they waited for the share prices to rise to sell at
a profit, according to the China Securities Regulatory
The CSRC did not explain how the clients
China bans stock analysts from trading
shares with their own accounts.