Tianshan Textile Restructuring Party Executives Involved In Insider Trading Arrested

From investigation to filing to the current arrest, it lasted for seven months.

China Securities Regulatory Commission announced on the 17 day, during Tianshan textile planning a major asset restructuring in July 2009, restructuring party executives Yao Rongjiang and others suspected of insider trading, leaked insider.

The Tianshan textile company, whose profitability is not good, has undergone insider trading during the restructuring period.

The SFC informed that the administrative investigation found that in July 2009, Tianshan textile planning asset restructuring, Xinjiang Katie investment limited liability company (hereinafter referred to as Katie investment) general manager Yao Rongjiang and deputy general manager of the company and asset management department Cao Gejun as insider information insider.

Before the suspension of Tianshan textile stocks in July 23rd, Yao Rongjiang leaked the restructuring information to Wang, who bought more than 100 shares of Tianshan textile stock through its multiple securities accounts.

Meanwhile, Cao Ge leaked the restructuring information to Chen, who used his and his relatives' accounts to buy Tianshan textile stocks in large quantities.

Even if it bought at the highest price in July 22, 2009, 1 million shares of Tianshan textile

At the same time, the SFC initially identified that Yao Rongjiang, Cao Ge and others had reached the standard of filing lawsuits, so they pferred the case to the public security organ for criminal responsibility.

It is understood that the public security organs have filed for investigation, and have now submitted to the people's Procuratorate the arrest of suspects, including Yao Rongjiang, Cao Ge and Wang, who are suspected of insider trading and disclosing insider information.

It is understood that Tianshan textile began to stop trading in July 23, 2009 due to major asset restructuring, and the restructuring plan was announced in June 18, 2010 and resumed.

The reorganization will pform Tianshan textile from a woolen mill to a high premium mineral resource company.

The closing price of the last trading day before the Tianshan textile suspension was 6.57 yuan in July 22nd, or 10.05% on that day.

After the resumption, Tianshan textile also put 5 "one" trading limit in 14 trading days.

The cumulative increase was as high as 84.63%, and rushed to the highest level of 17.68 yuan in September 1st this year.

The increase has been 153.27% before the suspension.

As of yesterday's close, Tianshan textile stock price was 14.65 yuan.

According to the information released by the securities and Futures Commission, seven or 82 months of this year handled 22 insider trading leads, accounting for 68% of the total leads; 19 cases of insider trading were filed, accounting for 54% of the total number of insider trading cases; 25 cases of insider trading cases were completed.

From 1 to August this year, 14 individuals and 2 institutions were given administrative penalties, and the inspection departments pferred 14 cases of public security organs suspected of insider trading.

The head of the SFC's relevant departments indicated that insider trading, especially insider trading in the process of mergers and acquisitions of listed companies, is the key point for the SFC to closely monitor and crack down.

In the near future, the SFC has concentrated its efforts on investigating and dealing with insider trading cases, strengthened cooperation with the Ministry of public security, and pferred the public security organs to the public security organs for criminal responsibility.

In the future, monitoring and cracking down on insider trading will continue to grow.

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It is also difficult to build a mineral resource into a sparrow.

The public information of Tianshan textile shows that the company's main textile and apparel industry has formed a complete chain of research and breeding from sheep and goats, preliminary processing of raw wool and raw wool, spinning to knitted sweater, sales and after-sales service.

In June 2010, Tianshan textile announced a major asset restructuring plan to invest 123 million shares in Xinjiang, Katie mining investment Limited by Share Ltd and Qinghai snow Technology Co., Ltd., and buy 75% stake in Xinjiang West Mining Co., Ltd.

After the completion of the paction, the main business of the company will increase the development, production and sales of non-ferrous metal mineral resources.

The company said that due to its current main assets, the first mining section of the Loess Slope in Hami, Xinjiang, the mining industry in 2010 and 2011 will not be profitable in 2010 and 2011. According to the evaluation report, the total profit in 2012 was 71 million 10 thousand and 700 yuan in the year.

That is to say, after the reorganization of Tianshan textile, it will not be possible until 2012 to produce economic benefits.

At the same time, Tianshan textile is also faced with risks such as large initial investment in engineering construction funds, unable to achieve the expected mining scale technology, natural conditions constraints, unable to obtain the necessary administrative license for production and operation, and safety production and operation.

Tianshan textile semi annual report shows that in 2010 1-6, the company achieved net profit of 2 million 786 thousand yuan, down 3.45% from the same period last year.

In the first half of this year, the company's operating income was 122 million yuan, an increase of 4.35% over the same period, and the earnings per share were 0.0077 yuan, down 3.75% compared to the same period last year.

It is understood that at present, in the textile industry, only the brand clothing of the listed companies can be developed, and the textile manufacturing companies, the profitability of the deteriorating, nearly 2/3 of the enterprises are loss.

Some analysts believe that after the reorganization of Tianshan textile, the single wool textile industry has been pformed into a diversified business.

There are few successful cases of diversified companies, and the profitability of the original textile and garment business is weak. It is difficult for a sparrow to turn into a Phoenix by putting in a bit of mineral resources.