Regulators warn SOEs on illegal investments
3 August 2007
Two major government regulators warned state-owned enterprises against investing illegally in stocks and property, the Wall Street Journal reported. The State-owned Assets Supervision and Administration Commission, which supervises the 155 companies owned by the central government, said that state-owned firms should improve their reporting on overseas investments and investments in property, securities and insurance. The commission is also deciding the punishment for two companies that used bank loans to illegally invest in stocks and property. The companies, China Nuclear Engineering & Construction and China Shipping, were fined by the China Banking Regulatory Commission in June.