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Stock Guru Nabbed for Illegal Consulting
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A man, called "Daitou Dage" (meaning leading brother) by Internet peers, has been taken into custody by the authorities of public security in Jilin Province, northeast China. This man does not have any qualification for investment consulting business; however, by setting up a QQ group, a chatting terminal, on the internet to offer advice in stock investment, he recruited a large number of "members" who were willing to pay for his investment advice and in this way he grossed over 7 million yuan. Without permission from the China Securities Regulatory Commission (CSRC), his business is illegal.

 

With the Chinese securities market booming, the investment advisory business is growing rapidly. Not properly regulated by sound rules, this business has some loopholes that are used by amateurs like "Daitou Dage." The relevant government departments should not only supervise the business and punish illegal acts according to laws, but also make and issue advisory service standards and rules as soon as possible.

 

For more details, please read the full story in Chinese. (http://www.china-cbn.com/s/n/000007/20070712/000000072797.shtml)

 

(China.org.cn July 12 2007)

 

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