Adds particulars, background
Adds particulars, background
BEIJING, Nov 15 (Reuters) – China securities regulator mentioned on Friday that CEFC Shanghai Securities Co, a part of conglomerate CEFC China Vitality Co Ltd, has been taken over by state-owned Guotai Junan Securities Co as a result of irregularities.
Guotai Junan will administer the enterprise of CEFC Shanghai Securities for not than 12 months, the China Securities Regulatory Fee (CSRC) mentioned.
The motion is not going to have an effect on different securities corporations, the CSRC mentioned in a separate assertion.
“The brokerage arm has provided unlawful loans for its mum or dad CEFC Shanghai Worldwide Group and related events, (and) carried out unlawful asset administration enterprise,” the CSRC mentioned. “Indicators on its threat management confirmed that the agency is not able to working a securities enterprise.”
CEFC Shanghai Securities is banned from enterprise operations beginning Nov.15, the CSRC mentioned, whereas the property of its purchasers stay…