Dong Zhengqing's insider trading

Dong Zhengqing and Guangfa insider trading case, since the middle and late April of 2006, the share price of "S Yanbian Road (10.55, 0.00, 0.00%, bar)" has been soaring continuously. On June 2 of that year, S Yanbian Road admitted that GF Securities borrowed from the backdoor. Subsequently, the media questioned that some insiders took the opportunity to make profits. The regulatory authorities found that Dong Zhengqing, president of GF Securities, and others were suspected of insider trading in the above process. In May, 2007, the CSRC transferred the clue that relevant personnel were suspected of economic crimes during the backdoor listing of GF Securities to the Ministry of Public Security. At the beginning of June, the public security organs of Guangdong Province filed a case for investigation; On July 19, the public security organs arrested Dong Zhengqing and others suspected of insider trading and leaking inside information. Subsequently, the case was handed over to the judicial organs.

In May 2008, the procuratorate prosecuted the case. According to Caijing, Dong Zhengqing admitted that he took advantage of his position during his detention to inform his brother Dong Dewei in advance of the news that GF Securities borrowed Yanbian Highway. Dong Dewei invested tens of millions of yuan in Yanbian Highway and made a profit of more than 40 million yuan. At the same time, Dong Zhengqing's college classmate Zhao Shuya also made a profit of 1 10,000 yuan. 1993, Dong Zhengqing entered the securities department of Guangfa Bank, the predecessor of Guangfa Securities, which was established only two years ago, and was promoted from the manager of investment banking department to the president. He once led the team "northward" to develop business, and expanded Guangfa's business to the whole country, creating a distribution method of "full subscription and refund of the balance" that has been prevailing in the industry at present. During his tenure as vice president, he led the expansion of GF Securities in different places and acquired several business departments to realize the large-scale development of GF Securities. In his strategic concept of internationalization of GF Securities, backdoor listing is the most critical step, and he will be jailed for this step.