In less than a week, there have been 10 "appearances", and A-share insider trading is concentrated on "catching rats"

Insider trading, as the focus of supervision, continues to be cracked down.

The first financial reporter noted that since the beginning of this year, the regulator has issued a total of 44 fines involving insider trading. Since December, there have been at least 10 administrative penalties or investigations related to insider trading, involving listed companies such as Hengrun Co., Ltd., Paislin, Xingmin Zhitong, Gehua Cable, *ST Heke, Stellar Technology, Menova, Zowee Technology, Anglikang, and Solton Development.

On December 5, Hengrun Co., Ltd. announced that Chairman Cheng Lixin was detained by the branch directly under the Changzhou Municipal Public Security Bureau on suspicion of insider trading. Subsequently, the two listed companies of Xingmin Zhitong and *ST and Branch also announced that the actual controller Zhao Feng was filed by the CSRC on suspicion of insider trading.

According to industry insiders, at the end of the year, the regulator's crackdown on insider trading and other securities market violations has gradually become stricter, reflecting the regulator's "zero tolerance" attitude towards relevant violations of laws and regulations. Investors should also pay attention to risk prevention and be wary of abnormal rises and falls.

The company's share price generally suffered

On December 5, Hengrun Co., Ltd. announced that the company received a notice that Cheng Lixin was criminally detained by the branch directly under the Changzhou Municipal Public Security Bureau on suspicion of insider trading. On the same day, the company learned that Zhang Yaya, the general manager of its holding subsidiary, Runliuchi, was assisting in the investigation. The specific circumstances of the case are yet to be further investigated by the public security organs.

On the same day, Xingmin Zhitong, *ST and Ke announced at the same time that Zhao Feng, the actual controller, received a notice of filing from the Securities Regulatory Commission on November 24. Because he was suspected of insider trading, in accordance with relevant laws and regulations, the CSRC decided to file a case against Zhao Feng.

Affected by this, Hengrun shares, Xingmin Zhitong, *ST and Ke all recorded declines on December 6. Hengrun shares closed the fall limit throughout the day, and the sealed orders exceeded 339,100 hands. Xingmin Zhitong opened at 6.78 yuan / share on the 6th, and then fell rapidly, closing at 6.31 yuan / share, down 5.68%. * ST Heke fell 0.58% on the 6th, and the stock price closed at 11.91 yuan / share.

Hengrun shares, *ST and branch were "sold" before the announcement on December 5, Hengrun shares closed the fall limit on the same day, and the total market value shrank to 14.9 billion yuan;*ST and branch closed down 1.07% on the 5th.

Affected by the punishment or filing, the stock prices of the above-mentioned "insider trading" stocks that were punished or filed this month generally suffered a setback, and Zowee Technology fell by more than 9% this month, and Menova, Paislin, etc. all fell to varying degrees.

(As of the close of trading on December 6, the stock price performance of A-share listed companies that have been filed or punished for the month)

Insider trading cases are frequent

According to the reporter's incomplete statistics, since the beginning of this year, there have been at least 44 fines involving insider trading issued by the regulatory system. Since December, there have been at least 10 administrative penalties or cases involving insider trading.

Just this month, the securities regulatory bureaus of Inner Mongolia, Fujian, Jilin and other places issued fines to a number of listed companies and related personnel on suspicion of insider trading. On December 6, the Inner Mongolia Securities Regulatory Bureau disclosed that Zhao Yongfang, then deputy director of the Party and Mass Work Department of Gehua Cable, was fined more than 800,000 yuan for suspected insider trading.

On December 4, the Fujian Securities Regulatory Bureau also disclosed that Zhang, the ex-wife of Yao, chairman of Menova, made an illegal profit of 11 million yuan from buying the company's shares, and was fined twice as much as he was suspected of insider trading, with a total confiscation fine of more than 30 million yuan.

On December 2, the Jilin Securities Regulatory Bureau disclosed that Hu Jianping, the wife of Ni, the general manager of Paislin, was confiscated of 41,200 yuan of illegal gains and fined 500,000 yuan for suspected insider trading. On the same day, the Xiamen Securities Regulatory Bureau also disclosed a fine, which showed that Wu, the original shareholder of Kerui Biotech, and Xu, who had an uncle and nephew, were confiscated of 521,400 yuan of illegal income, and the two were fined 913,500 yuan and 658,900 yuan respectively. The Shenzhen Securities Regulatory Bureau also issued three fines in one go on the same day, all of which pointed to the insider trading case of Solton Development, and the persons involved involved directors and nominal directors.

From the perspective of the punishment targets, it involves the actual controllers, shareholders, directors, supervisors and their spouses, relatives and other key insiders of the listed company. In addition, there are also related persons of brokerage and investment banks who have been punished. At the beginning of the year, the ex-wife of the person in charge of a project of China Securities Construction Investment received a fine from the Beijing Securities Regulatory Bureau on suspicion of insider trading.

From the perspective of case types, mergers and acquisitions are the "hardest hit areas" for suspected insider trading. A number of cases show that mergers and acquisitions involve a large number of complex personnel, showing the characteristics of collusion and nest cases, and the phenomenon of borrowing accounts to carry out insider trading is the most common. Some of the cases involve directors of listed companies who are aware of the company's upcoming major restructuring and sell their shares for a profit after information disclosure.

A securities lawyer in Beijing told reporters that insider trading has the characteristics of strong concealment and difficulty in identification, and its criminal cost is low, but the expected benefits are huge. Insider trading actors use inside information to conduct transactions, violating the principle of openness, harming the fairness of market transactions, and infringing on the legitimate rights and interests of investors.

Be wary of stocks that rise and fall sharply

Insider trading, also known as insider trading and insider trading, refers to the behavior of insiders of insider information of securities transactions and persons who illegally obtain insider information to engage in securities transactions in order to obtain benefits or reduce losses. Because of its greater harm to the market, it has continued to receive regulatory attention in recent years.

Focusing on cracking down on insider trading-related behaviors, the China Securities Regulatory Commission has also spoken out many times this year. In June this year, Yi Huiman, chairman of the China Securities Regulatory Commission, said that he would continue to strengthen the monitoring and supervision of market trading behavior, resolutely crack down on insider trading, market manipulation and other violations of laws and regulations, and effectively maintain a benign and healthy market order and ecology. In November, the China Securities Regulatory Commission (CSRC) again proposed that market participants strictly abide by laws and regulations on insider trading and market manipulation in order to maintain the fairness and stability of the market.

In September, the Supreme Court also stated that it would continue to do a good job in improving the system of judicial rules in the capital market and hearing relevant cases, conduct in-depth research on the civil liability issues of insider trading and market manipulation, and issue relevant judicial interpretations in a timely manner.

According to the lawyer, the regulator's crackdown on insider trading and other violations of laws and regulations in the securities market has gradually become stricter, reflecting the regulator's "zero tolerance" attitude towards relevant violations of laws and regulations.

Investors should also be vigilant and learn to recognize signs of insider trading, according to industry insiders. "We must be wary of 'big rises' and 'big falls' stocks. A staff member of a local supervision bureau told reporters that investors should establish the concept of long-term investment and avoid stepping on thunder due to the pursuit of short-term interests.

The above-mentioned stocks of listed companies suspected of insider trading have all shown signs of abnormal sharp rises and falls in different periods. Taking Hengrun shares as an example, the latest round of the stock started in late October, from October 23 to October 26, recorded four consecutive boards, four consecutive trading days of cumulative gains of 46.39%, as of October 26 closing, Hengrun shares stock price-earnings ratio (TTM) reached 216.73, the same period Shenwan wind power parts industry price-earnings ratio (TTM) of 49.85. Entering November, the company's share price continued to rise, and on November 8, the highest price of the year was 54.92 yuan / share, but the stock closed down on the same day, down 5.34%.