Recently, an administrative penalty decision issued by the China Securities Regulatory Commission has attracted widespread attention. During the period involved in the case, Zhan Xiang was an employee of a securities company. Because he was involved in the control of using other people’s securities accounts to hold and buy and sell stocks, he was ordered to deal with illegally held stocks in accordance with the law and imposed a fine of over 100 million yuan for the practitioners’ behavior of controlling the use of other people’s securities accounts.

Screenshot from: China Securities Regulatory Commission official website

At present, the reporter can no longer find Zhan Xiang’s practice information on the official website of the Securities Association.

According to the administrative penalty decision disclosed by the China Securities Regulatory Commission, from February 2018 to October 2024, Zhanxiang controlled the use of multiple other securities accounts to hold and buy and sell multiple stocks. It is worth mentioning that Zhan Xiang made statements and defense opinions such as the essence of the transactions in the relevant account is to buy and sell stocks on behalf of other people’s accounts, the investments involved in the case are not made by his own decisions and funds, and the relevant securities accounts have nothing to do with this case, and requested a reduction in the punishment.

In this regard, the CSRC believes that the evidence in the case is sufficient to prove that the relevant securities accounts are controlled and used by Zhanxiang and the corresponding funds are controlled and used by Zhanxiang, which is sufficient to determine that Zhanxiang constitutes illegal acts such as holding, buying and selling stocks, etc. The CSRC will not adopt relevant statements and defense opinions.

In the end, the China Securities Regulatory Commission ordered Zhan Xiang to deal with the illegally held stocks in accordance with the law and imposed a total of 159 million yuan in fines. In addition, given that Zhan Xiang controlled the use of multi-person securities accounts to hold and buy and sell stocks during his career, which lasted for a long time and was serious, he was also banned from the securities market for five years.