Reporter Xie Ruolin

　　Trainee reporter Mao Yirong

　　Capital market supervision continues to have “thorny teeth”.

According to statistics from a reporter from Securities Daily, at least 11 local securities regulatory bureaus have successively announced this year’s first administrative penalty decisions (hereinafter referred to as “fines”).

At the same time, many securities regulatory bureaus issued multiple fines.

　　Judging from the content of the fines, they mostly focus on information disclosure violations, insider trading, etc.

In addition, securities violations in special fields such as borrowing other people's securities accounts to engage in securities transactions, illegal stock trading by securities practitioners, and violations of private equity regulations will also be punished.

　　Lu Dingliang, a partner lawyer at Beijing Jingshi Law Firm, told a reporter from Securities Daily: "This sends a signal that the regulatory authorities will adopt a 'zero tolerance' attitude and strictly crack down on illegal activities related to the capital market in accordance with the law. By strengthening penalties, illegal activities will be improved." costs, and use three-dimensional punishment to enhance the deterrent effect of law enforcement, thereby further maintaining the healthy and stable development of the securities market, protecting the legitimate rights and interests of investors, enhancing the trust and participation of market participants, and ensuring market fairness, justice and transparency."

　　Strict crackdown on illegal stock trading by securities practitioners

　　The first administrative penalty decision issued this year by the Shenzhen Securities Regulatory Bureau points to the illegal trading of stocks by securities practitioners.

The fine showed that the party involved, Han, had obtained a general securities qualification and was a securities investment consulting video producer. The Shenzhen Securities Regulatory Bureau ordered Han to deal with the illegally held stocks in accordance with the law and imposed a fine of 30,000 yuan.

　　"Securities practitioners have certain information advantages and can access a large amount of public or non-public information such as company financial information, industry information, policy changes, etc. Strictly cracking down on illegal stock buying and selling by securities practitioners can effectively protect the interests of investors, prevent market manipulation, and prevent Insider trading and prevention of conflicts of interest." Lu Dingliang said.

　　It is a basic requirement of the Securities Law that securities practitioners are not allowed to buy or sell stocks.

Previously, on February 9, the China Securities Regulatory Commission announced that it would adhere to "zero tolerance" law enforcement and focus on dealing with multiple employees' illegal stock trading.

Data shows that from 2019 to 2023, the China Securities Regulatory Commission investigated and handled a total of 67 cases of illegal stock trading by employees, and imposed administrative penalties on 139 people. It strives to build a long-term mechanism for "dare not, cannot, and do not want" illegal stock trading.

　　Lu Dingliang said: “Punishments such as confiscation, lifetime ban from the securities market, and transfer to judicial authorities for suspected insider trading, identifying unsuitable candidates, issuing supervisory interviews, and issuing warning letters to relevant employees for illegal stock trading fully reflect the comprehensive strengthening of the Enforce the law and regulate the 'thorny' trend."

　　Heavily fined for using other people’s accounts to trade stocks

　　The first administrative penalty decision of 2024 posted on the official website of the Guangdong Securities Regulatory Bureau refers to the act of borrowing other people’s accounts to engage in securities transactions.

The fine showed that the party involved, Xie Moudi, borrowed multiple securities accounts to engage in securities transactions, and agreed with the account provider to contribute capital in a one-to-two ratio. During the borrowing period, the total securities transactions amounted to 3.577 billion yuan.

Xie Moudi was ordered to make corrections, given a warning, and fined 400,000 yuan.

　　The first administrative penalty decision this year published by the Inner Mongolia Securities Regulatory Bureau’s official website also points to the violation of borrowing other people’s accounts to engage in securities transactions.

The party involved, Sun Wenbiao, borrowed the Galaxy Securities account of "Zhang" and the Founder Securities account of "Di Mouping" to engage in securities transactions.

The party involved, Sun Wenbiao, was ordered to make corrections, given a warning, and fined 500,000 yuan.

　　The new Securities Law, which came into effect on March 1, 2020, stipulates that no unit or individual may lend its own securities account or borrow the securities account of others to engage in securities transactions in violation of regulations.

The new securities law strengthens the requirements for real-name accounts and expands the scope of regulatory entities.

　　Talking about the dangers of borrowing other people's accounts, Lu Ruozheng, a lawyer at Beijing Huicheng Law Firm, told a reporter from Securities Daily: "Borrowing other people's accounts to engage in securities transactions may encourage private capital allocation behavior, and may also lead to market manipulation and interfere with other investors. The decision-making endangers the normal operating order of the securities market and affects the functioning of the securities market."

　　For ordinary investors, lending securities accounts may also face administrative penalties.

Lu Ruozheng suggested that investors should open securities accounts in accordance with the real-name system requirements, pay attention to changing passwords regularly, and strengthen account security settings.

At the same time, avoid lending securities accounts to avoid getting into civil disputes and losing funds.

(Securities Daily)