(Photo : China Everbright Bank)

August 30^th, according to latest reports from CCTV financial channel, China Securities Regulatory Commission (CSRC) issues a punishment decision to Chinese broker Everbright Securities for its insider trading.

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CSRC confirmed the "fat-finger trades" of Everbright Securities on August 16^th as insider trading. CSRC also announces that the four decision-making executives Xu Haoming, Yang Chizhong, Shen Shiguan and Yang Jianbo will be banned from undertaking securities business for all their lives. Furthermore, CSRC will confiscate Everbright Securities' illegal profits of 87.21 million yuan, plus, impose a fine of 5 times of the illegal profits, which means a total of 523.28 million yuan.

A briefing of the four executives barred by CSRC:

Xu Haoming, Master of Business Administration, was the former president and director of Everbright Securities. He graduated from Shanghai University of Finance in1988. Previously, Xu worked in Bank of Communications. Later, Xu followed an executive and changed his job to Everbright Securities.

Shen Shiguang, director of Everbright Securities, with a degree of Master in Dongbei University of Finance and Economics, is the former general manager of the finance department and accounting department in Everbright Securities.

Yang Chizhong, with a Master degree, is the former secretary of Everbright Securities' president. He was once a general manager of the investment department in Everbright Securities.

Yang Jianbo, bachelor of economics in Shanghai University of Finance and Economics, PhD of finance in University of Manchester, is the first researcher among Chinese financial economists to use GARCH model in applied financial econometrics. After 2006, Yang was engaged in developing structured products for Everbright Securities. Later, Yang Jianbo was invited by China Securities Regulatory Commission to become one of the four initiators in drafting Chinese OTC derivative transaction reporting rules.

Mei Jian, Master of Business Administration, is the former secretary for the board of directors, office director of Everbright Securities. Though he was not on the list of being banned from undertaking securities business for all life by CSRC. He was ordered to correct his mistakes and will be fined 200 thousand yuan.