Zhongchang Marine involved in insider trading, senior official fined

Zhongchang Marine involved in insider trading, senior official fined

Shanghai: Shanghai-listed Zhongchang Marine has been found guilty of insider trading activity in a restructuring deal in 2014 and a senior official from the company’s parent group has been fined, according to an announcement made by Guangdong Securities Regulatory Commission.

Cai Xiaohua, general manager of Zhongchang Marine’s controlling shareholder Shanghai San Sheng Hong Ye Group, has been found trading stock of Zhongchang Marine illegally after learning relevant sensitiveinformation of a potential restructuring deal, which was planned by Zhongchang Marine in May 2014, and terminated in August.

Cai has been fined for RMB30,000 ($4,845) for the illegal activity.

Zhongchang Marine has estimated that it would suffer losses in two consecutive years and the stock of the company will also face a trading limit according to the local listing rules.

Jason Jiang

Jason worked for a number of logistics firms following his English degree, then switched this hands-on experience to writing and has since become one the most prolific writers on the diverse China logistics industry writing for a host of titles including Supply Chain Asia, Cargo Facts and Air Cargo Week. Jason’s access to the biggest shippers with business in China has proved an invaluable source of exclusives.

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