China’s securities regulators punished 19 institutional investors over issues related to listing on its tech-focused STAR Market in Shanghai.
A joint probe between the Securities Association of China (SAC) and the Shanghai Stock Exchange focused on STAR IPOs exposed issues with 19 institutional investors, according to a statement.
Issues included weak internal controls, inadequate rationale for price setting, non-compliance with stipulated procedures and improper storage of working papers.
Regulatory Punishment
Although the regulator did not name the institutional investors being punished, it did state the profile of some violators and the punishment issued.
One insurer has been temporarily banned from participating in institutional IPO subscriptions, according to the statement.
Eight fund houses and one asset manager have also been barred from the share placement market for a month.
