Shanghai shares regulator hands manager to police as indicator suffers worst decline in seven years
Official's spouse said to have traded shares as indicator suffers worst fall in seven years
An official with China's securities regulator was fired and handed to police for investigation of "duty crimes and violation of disciplinary rules" - abuses of power such as insider trading - just one day after the mainland's key stock indicator posted the worst weekly drop in seven years.
Li Zhiling, a division chief at the regulator's department of public offering supervision, was dismissed after her spouse was found to have illegally traded shares, the China Securities Regulatory Commission (CSRC) announced yesterday.
She was handed over to police to be investigated for abuse of power, it added.
The detention of Li, whose division approves refinancing deals by mainland-listed firms, happened as the CSRC struggled to maintain market stability, launching a series of campaigns to avoid a roller-coast ride that could trigger public chaos as retail investors piled up losses. The regulator didn't disclose details of alleged stock trading by Li's husband.
On the mainland, disciplinary rules stipulate that spouses of regulatory officials are barred from buying and selling shares.
Those who commit duty crimes including accepting bribes face imprisonment.
But the statement didn't specify the alleged wrongdoings Li had committed.
