The Paper's reporter Sun Mingwei
Another extraordinarily large "rat barn" case was pronounced.
According to a case information disclosed by the Judgment Documents Network on September 9, Jiang Ning, who once worked for Huabao Fund, was sentenced to five years in prison and fined 114 million yuan for using undisclosed information for trading. The case was tried by the Intermediate People's Court of Qingdao Municipality, Shandong Province, and the Qingdao Municipal People's Procuratorate initiated a public prosecution, and on June 10, 2019, it rendered the (2018) Lu 02 Xingchu No. 50 Criminal Judgment, and on September 21, 2019, the Shandong Provincial High People's Court finally rendered a judgment.
According to the judgment, Jiang Ning, female, Han ethnicity, born on January 20, 1971 in Suzhou, Jiangsu Province, master's degree in culture, formerly an executive partner of Shanghai Qingfeng Asset Management Center (General Partnership), lives in Jing'an District, Shanghai. He was criminally detained on March 15, 2017, and arrested on April 21, 2017, on suspicion of using undisclosed information for trading.
Illegal profit of 114 million yuan, with the husband to investigate
According to public information, Jiang Ning joined Huabao Fund in April 2010, began to serve as the manager of Huabao Industry Select Fund in July of the same year, and became the deputy director of investment since April 2012. On August 22, 2013, Jiang Ning left as the manager of Huabao Industry Select Fund. In September of the same year, he left his post as the general manager and chief investment officer of Shanghai Qingfeng Asset Management Center.
According to the judgment of the second instance, from July 3, 2010 to August 22, 2013, Jiang Ning served as the manager of the industry-select equity securities investment fund issued by Huabao Fund, and had the right to decide on the purchase and sale of shares by the fund.
During the period, Jiang Ning disclosed the investment information of the industry select fund obtained by taking advantage of his position to her husband Wang Mouyu and his father Jiang Mou, and Wang Mouyu, Jiang Mou and others controlled the use of other people's securities accounts, and used the information to buy and sell 188 identical stocks before, in the same period or slightly later than the industry selection fund, with a cumulative transaction amount of 2.996 billion yuan and an illegal profit of 114 million yuan.
Among them, Jiang X and Wang X Yu used Huang X's new securities account to buy and sell 89 identical stocks, with a cumulative transaction amount of 249 million yuan and illegal profits of 5.343 million yuan; Wang X Yu and others used 8 securities accounts such as Chen X, Luo X Xia, Yang X Zhen, Yan X Ru, Wang X, Yang X Ru, Hu Tianwen and Lin X Mei to buy and sell the same stocks, with a cumulative transaction amount of 2.747 billion yuan and an illegal profit of 108 million yuan.
After the incident, defendant Jiang Ning voluntarily surrendered and truthfully confessed the criminal facts that he informed his father Jiang mou of the investment information of the industry select fund to conduct stock trading. During the second-instance trial, the appellant Jiang Ning's relatives returned RMB33,562,509,720,000 in illegal gains to the Qingdao Intermediate People's Court on behalf of Jiang Ning, and paid a fine of RMB114 million.
According to jiang Ning's own account in the first-instance judgment, during his tenure of office, his father would sometimes ask him if he had good stocks, and he would recommend a few to him, sometimes afraid that he would not have a good memory, and would also write the name of the stock on paper to him. The stocks he recommended to his father were Dozens of stocks such as Yasha Shares, Gold Mantis, Bishuiyuan, BlueFocus, Kang, Dahua Shares, and Goertek Acoustics. Sometimes his father is not in good health, or when he goes out on a trip, he will give Huang Mou1 account to Wang Mouyu to operate on his behalf. The fund it is responsible for buying and selling stocks needs to issue instructions to the trading department through the computer, and it has decision-making power and no trading rights. The company equipped him with assistants Shen Mou and Lou Hongqiang to assist him in completing the investment. The assistant mainly assists him to complete the investment, and when he travels, he will entrust the assistant to issue trading instructions, and the assistant will also do research to recommend stocks to him. The laptop that the company distributes to it is carried home every day from work for receiving emails for research. Wang Sometimes uses this computer.
In addition, during Jiang Ning's tenure, in addition to Wang Mouyu's presence when he recommended stocks to his father at home, he would usually talk about stocks with Wang Mouyu, mainly talking about some fundamentals and the large market, and sometimes when he came back from a business trip, he would also talk to him about some of the situation of the research company, and when he felt that the research company was good, he would say that he was ready to buy something, but he would not tell him about the specific situation of the fund he managed to buy and sell stocks. Wang Mouyu himself does not have a stock account, but he once recommended stocks to Wang Mou1 and sometimes helped Wang Mouyu trade. It has not recommended stocks to Wang Mouyu. In July 2016, Wang Mouyu told him that the family's 10 million yuan was lent to Wang Mou1 to Chen Mou1's account as stocks.
The testimony of Jiang Ning's husband, Wang Mouyu, also shows that during Jiang Ning's tenure, she often discussed stocks with her at home, said some stocks that she was optimistic about, and talked about the research, research, and views on individual stocks. Jiang Ning often goes home with the details of the positions of the industry select fund on the day, and he can see and communicate with Jiang Ning why the company will buy a certain stock. When Jiang Ning went on a business trip to investigate, he would ask her which company she was going to. After returning from the investigation, he will also exchange research with Jiang Ning. Jiang Ning often takes home the company's computers and materials, which can be viewed, including the details of their company's fund positions, and has not avoided it.
During his tenure, Jiang Ning revealed to him the stock information of the industry's select funds, and he also used these stock information to conduct stock trading, from which he obtained economic benefits. The way to obtain the information of the industry's selected funds is that Jiang Ning recommended stocks to Jiang Mou1 orally or written on paper, the second is the details of the funds held by Jiang Ning on the day and the exchange with Jiang Ning, and the third is the information exchanged with Jiang Ning after he went to other places for business trips, and he also followed Jiang Ning to the listed company to investigate.
"I want to accumulate wealth by speculating in stocks, because Jiang Ning is a manager in a fund company and has this convenient condition." Wang Mouyu said that through these accounts, he earned about 100 million.
The sentence in the second instance was commuted to five years' imprisonment
After the verdict was pronounced, Jiang Ning was not satisfied and appealed. During the second-instance trial, Jiang's relatives returned 33,562,509,720 yuan of illegal gains to the court on behalf of Jiang, and paid a fine of 114 million yuan.
The Higher People's Court of Shandong Province ascertained that in order to circumvent the stipulation that Jiang's immediate family members could not engage in securities transactions, Jiang and Wang opened securities accounts in the names of Huang and Chen respectively, and Wang and others also controlled and used the securities accounts and funds of Yang Mouzhen, Luo Mouxia and other 7 people through over-the-counter capital allocation, and engaged in securities transactions for profit.
The Shandong Provincial High People's Court found that during the period involved in the case, in accordance with the customary standards for determining the convergence transaction time of the "first five and the last two" industries, a large number of stocks were frequently traded in the 9 securities accounts involved in the case, and the convergence rate of stocks traded with the industry's selected funds reached an average of about 80%, and the individual accounts were as high as 90%. Before and after Jiang took office, the trading volume, trading frequency and convergence rate of the 9 securities accounts involved in the case were obviously low, and some accounts were even 0. Jiang's behavior is consistent with explicitly and implicitly implying that others are engaged in relevant trading activities.
In addition, the Shandong Provincial Higher People's Court also held that, in accordance with industry identification practice, the time criterion for determining that the account group involved in the case was a convergence transaction was all the same-direction stock transactions that occurred within the first five trading days and the next two trading days of the industry's select fund's independent trading of stocks, and transactions outside this range were not considered crimes, and the execution of trading orders, whether single or mixed, did not affect the determination of convergence transactions.
At the same time, with regard to the grounds of appeal and defense opinions put forward by appellant Jiang Ning and his defender that "Jiang Ning's conduct constitutes voluntary surrender", upon investigation, the original judgment fully expounded the reasons why the appellant Jiang Ning's conduct did not constitute voluntary surrender, and the Shandong Provincial High People's Court approved it.
In the end, the Shandong Provincial Higher People's Court found in the second instance that the appellant Jiang's conduct constituted the crime of using undisclosed information for trading. In view of the fact that he took the initiative to come to the case after the case occurred, truthfully confessed some of the facts of the crime, during the second-instance trial, his relatives returned part of the illegal gains on their behalf, paid all the fines, and could be given a lenient punishment as appropriate in accordance with law, and the defender's defense opinion requesting a lighter punishment for the appellant Jiang was established. The original judgment found that the facts were clear, the evidence was credible and sufficient, the conviction was accurate, and the trial procedures were lawful, but the sentence was improper, and it was corrected. It was decided to revoke the main sentence and sentence part of the original sentence, and the appellant Jiang Mou committed the crime of using undisclosed information for trading and was sentenced to five years' imprisonment.
Editor-in-Charge: It's Winter
Proofreader: Liu Wei