China’s fight against corruption continues. This time, the target is an official at an agency overseeing the country’s red-hot equities market, which has rallied to seven-year highs recently as the country’s retail investor scooped up shares in the hopes of turning a profit.
Li Zhiling, head of a department that supervises public offerings at China Securities Regulatory Commission, has been handed over to the police on allegations of abuse of power including insider trading, according to the South China Morning Post.
She is the second official at the powerful Chinese government agency that oversees and regulates the country’s securities market to be charged in seven months, SCMP said.
According to another report from Caixin, Li was dismissed after her husband was found to have traded equities, a violation of an internal regulation that prohibits employees and their families from investing in stocks. Li and her husband have been the subject of an investigation for more than a year, Caixin said.
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