SHANGHAI Feb 25 China's insurance industry
regulator said on Saturday that it would restrict Evergrande
Life's stock trading activities for one year after
accusing the insurance subsidiary of conglomerate China
Evergrande Group of having engaged in irregular
The China Insurance Regulatory Commission (CIRC) said in a
statement on its website that it would restrict the insurer's
share trading and ban two senior officials at the firm from the
industry for between three and five years.
Beijing is prosecuting a sector-wide crackdown on what the
CIRC says are risky activities by some aggressive insurers,
particularly those that engage in stock market speculation.
In a separate case on Friday the regulator said that it had
banned Yao Zhenhua, chairman of rival Foresea Life, from the
insurance business for 10 years, accusing him of breaching
regulations in its use of insurance funds.
The CIRC said inspection teams sent into Evergrande Life in
December had identified a number of issues, including irregular
stock investment activity and weak internal controls.
Reuters could not immediately reach Evergrande Life outside
regular business hours.
In recent months CIRC has repeatedly vowed to crack down on
some "barbaric" insurance players to prevent the sector becoming
a "club of the rich" or a "hideout for financial titans".
In Decmber last year the CIRC had already suspended
Evergrande Life from making equity investments for engaging in
speculative and frequent high-volume trading.
(Reporting by Adam Jourdan; Editing by Greg Mahlich)