BEIJING, April 20 China's insurance regulator on
Thursday called on insurance companies to strengthen supervision
of operations and investment activities and correct market
Financial regulators have moved aggressively in recent weeks
to tackle risk in China's financial system by issuing a slew of
regulations and notices.
The China Insurance Regulatory Commission (CIRC) cautioned
insurance firms to effectively close regulatory loopholes in the
latest risk notice published on its website late on Thursday.
In recent years, some insurers have taken sizable stakes in
market-listed companies, often funded by the issuance of
high-yield, short-term universal life insurance and other
Thursday's notice cautioned insurers to maintain strict
controls to prevent illicit activities, and pay particular
attention to the illegal use of funds, falsified shareholder
investment, and corporate governance failures.
(Reporting by Matthew Miller; Editing by Clarence Fernandez)