Source: CCTV news client
Recently, the Shanghai police successfully detected a compound case of illegal over-the-counter capital allocation, manipulation of the securities market, and bribery of non-state employees. The criminal suspect bought through the asset management project manager to cooperate with the locking of positions, reduce the circulating stock plate; use the shareholding advantage to buy and sell falsely, continuous trading, and raise the stock price; open an over-the-counter capital allocation platform to illegally make profits. In the end, the police smashed 4 criminal gangs of trading transactions, cooperative locking, over-the-counter capital allocation, and software development, arrested more than 50 criminal suspects, and seized more than 100 computers and bank cards used in crimes.
Over-the-counter leveraged trading was lucrative
Police notice: In December 2020, when investigating a fraud case, the Shanghai Pudong police found that criminal suspect Li had registered an asset management company in Shanghai to obtain illegal benefits, purchased an unapproved securities trading software developed from criminal suspect Xu and others, with functions such as securities trading, sub-position management, and liquidation commission, and agreed to allocate one-ten-thousandth of the transaction amount of all sub-accounts to Xu and others. After that, Li Mou solicited investors through the introduction of friends and the group advertising information on the chat software, and used the software involved in the case to illegally provide securities allocation services with leverage ratios ranging from 3 to 10 times, and charged monthly interest on capital allocation ranging from 1.1% to 1.6% and handling fees ranging from 3 to 10,000 per transaction. As of the time of the case, the illegal profit was more than 2 million yuan.
In accordance with the relevant laws and regulations, those who illegally engage in securities business without the approval of the relevant competent departments of the State are suspected of illegal business operations. OTC capital allocation companies use illegal securities trading software to lend funds to investors, realize leveraged transactions of investors and charge interest and transaction fees, seriously disrupt the order of the securities market and cause great harm to the vital interests of investors.
Trading pulls up stock prices for illegal profits
In fact, since September 2019, Li has not been satisfied with the illegal benefits brought about by the over-the-counter capital allocation service fee, and has the idea of using a large number of securities accounts to manipulate the securities market for profit by relying on its funds and shareholding advantages. Li instructed the company's manager Qiu mou to set up a trading team of more than 10 people, rented a number of houses, and rented more than 500 securities accounts from others, using more than 70 computers, successively concentrating capital advantages and shareholding advantages to continuously buy and sell 3 individual stocks, creating the illusion that the 3 stocks had a huge trading volume, inducing investors to enter the market, thereby raising the stock trading price. During this period, the floating profit of Li's gang exceeded 200 million yuan.
In accordance with the provisions of relevant laws and regulations, if, alone or in collusion, concentrate capital advantages, shareholding or position advantages to continuously buy and sell, manipulate the securities market, or conduct securities transactions between accounts under their own actual control, or take themselves as the trading object, buy and sell futures contracts, manipulate the securities market, and affect the price of securities transactions or the volume of securities transactions, they are suspected of manipulating the securities market.
Buy through the asset management project manager to cooperate with the manipulation of the lock-up position
Not only that, the criminal suspect Li and others hooked up through the introduction of others, got acquainted with a certain asset management product manager Yang Mou, and discussed that in the form of paying more than 1.9 million yuan of benefit fees, Yang used the convenience of his position to use the asset management product securities account controlled by yang to buy and hold more than 673,000 shares of a stock for a total of 30 million yuan in accordance with the prior agreement with Li, helping Li lock the stock. The so-called hedging refers to buying and holding a stock in the open market and not selling it within the agreed time. Li's behavior is to achieve the purpose of reducing the circulation of only individual stocks and manipulating the market with less of his own funds. Asset management project managers violate professional ethics and use their positions to facilitate the use of managed funds to lock stocks for private gain for criminals, and their behavior will mislead shareholders into investing, and eventually may suffer property losses.
According to the relevant laws and regulations of the state, the staff of a company, enterprise or other unit who takes advantage of his position to illegally accept property from others and seek benefits for others is suspected of the crime of accepting bribes by non-state workers.
At present, the public security organs have transferred more than 50 criminal suspects, including Li Mou, to the procuratorial organs for examination and prosecution on suspicion of manipulating the securities market and illegal business operations, and Yang mou has been transferred to the procuratorial organs for review and prosecution for the crime of accepting bribes from non-state workers. (Reporter Yu Xiang, Zhou Zheng)