Yu Kai, who was alleged stock market manipulation case hearing in June of this year, is currently being further considered. Commission finds that Yu Kai, who is suspected to constitute a “criminal” sin stock market manipulation, in April 2010 transferred the case to the public security organs. From filing to transfer public relations agencies, less than six months.
Yu Kai is just the recent release of the Commission more than one case of stock market manipulation. The capital market regulatory authorities to intensify the crackdown of illegal activities, is to implement Guo on the “zero tolerance of insider trading,” the best interpretation.
Published articles recommended stocks, stock trading profits
Yu Kai parties registered for the Securities Association of China, engaged in the investment advisory business practitioners. Specifications in accordance with industry practitioners, securities practitioners can not speculation.
However, this seems more than Kay is a quick way of making money. Through his “first purchase of securities, the latter recommended to the public, and then sell securities” to manipulate the market, six months nearly 40 million yuan of illegal profits.
May 2009 to December, Yu Kai, who wrote the article after the 84 recommended shares passed to Bai Jiemin, and by the Bai Jiemin Jubilee Dafeng investment in their own name, in the East Fortune, Sina.com, the gold line , financial and panoramic nets five financial websites.
Meanwhile, Yu Kai and other use of 35 securities accounts, the article published in the recommended stocks before the recommended 32 stocks to buy and sell in the article published soon after, the cumulative transactions amounting to 4.17 billion yuan, profit of $ 3959 million.
Previously, from February 2008 to March 2009, Yu Kai, who used the same way 53 times the transaction, the transaction value 1.063 billion yuan, 14.66 million yuan of illegal profits.
It is doubtful accounts of these transactions, and investment with the Jubilee release issued Dafeng article recommended stocks high correlation between the rise of the exchange concerned, in October 2009, the Commission record for audit.
Commission official says: Yu Kai’s main operating practices and “grab a hat,” similar to the pre-buy stocks, sell recommended stocks after the release article.
Oriental Electronics, for example, at 7:15 p.m. on May 25, 2009 minutes, the other two gold online network has signed for the Jubilee website Dafeng investment, Bai Jiemin of recommended stocks article “ultra low-cost smart grid concept blowout upcoming “Recommended” Dongfang Electronics. ”
Article published the same day, Yu Kai, who operate the account group buy “Dongfang Electronics,” about 620 million shares, the amount of 28 million yuan to buy, sell all the next day, amount sold 31 million yuan, profit 300 million, net earn 10%.
“The fact is I Kay and Bai Jiemin” play two-man “: Yukai Li with the formal advisory body (Jubilee Dafeng), on the surface, Jubilee Dafeng advocate in the foreground, in fact, the actual controller is more than Kai, the article he wrote , sly but also his command of trading in the stock. “relevant person in charge of the Commission to summarize a case characteristics. “Although the same as the ‘grab a hat’, but I take the firewall Kay measures are not responsible for the recommended action, responsible for buying and selling stocks is not recommended.”
“The modus operandi of a certain degree of secrecy and deceptive, retail investors are able to detect.”
A profit model, a professional team of the division of labor
It is understood that more than collusion Kay, who perform their duties. Choose from a responsible media, hair articles, selected stocks, funds raised, to find the account, select the trading time, and so on, has a specific division, has formed a set of profit model.
“Team”, the Yu Kai is the main person in charge, Baijie Min Yu Kai, who is playing the stock market’s behavior to provide assistance to publish the article recommended stocks, and individual fixed charges of $ 15 million.
I also organize Luocui Xu Kai, Cai Shu, who wrote the article recommended stocks, other securities analyst in the name of several financial websites in the public accounts recommended buying the stock in advance, to attract investors into the market.
As years of securities practitioners, Yu Kai in stock selection, trading and how to grasp the point in time quite experience. He selected stocks generally have two types: one fit hot market, and second, low-cost of restructuring is expected to ST shares.
“From the operating practices, the general holding period is a day or two the first day to buy, sell the next day.” SFC responsible person.
Kay control over the securities account, capital account are constantly changing, in a region with a period of time, you change to another area, in order to conceal shaped track, to avoid regulation. “The Commission official says investigators in the process of handling cases and found that his use of large numbers of foreign accounts.
“Most financial transactions are online transactions, but also large inter-regional transfer of funds, investors have been in constant movement, in Transfer, man-made time, space, split, trying to increase regulatory costs.” Commission official says ,
It is reported that before the Commission record for audit, Kay has worked for more than two companies, once each in 2008, 2009, due to market manipulation, stock analysts in the TV show misleading statements issued by the Commission administrative penalties and other illegal activities.
Therefore, “he has a strong anti-investigative capacity, but also good at replacing by changing phone numbers, replace the stock account, place of work, etc. to avoid the whereabouts of an attempt to increase the difficulty of the investigation.”
Commission finds that Kay and others over alleged illegal acts of the “Securities Act” the relevant provisions of the securities market manipulation, was also suspected constitute a “criminal” stock market manipulation provisions of the crime. Commission according to the law in April 2010 transferred the case to the public security organs; October 2010, the public security organ has concluded its investigation, transferred to the Procuratorate for examination and prosecution; June 2011, the court hearing the case.
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