What I post at valuebuddies. For anyone still vested and concerned:
Table4 show the penalty of recent cases, only about 26% of the studied53 cases lead to criminal prosecution.
A good read on the study of insider trading in China. There is another case of everbright security on bloomberg, can’t paste the link here.
I did a very quick scan on the long document.
The definition of insider and insider information can be vague and too broad.
YZJ has 3 charges, not all as announced by the news. ( lump with tai Li .. Yuan investment co)
1) insider trading
2) illegal profiting due to the harsh terms of contract ( is a ah long contract$)
3) hindering independent governance and operation of company.
Of the three, 1) is the one that is most difficult…
Personally, which shadow banking product is not on a long terms? (2)