HONG KONG Feb 9 Shandong Molong Petroleum
Machinery Co Ltd said on Thursday China's
securities regulator was investigating its controlling
shareholder and chairman for suspected violations of securities
rules and regulations.
The China Securities Regulatory Commission was also
investigating Zhang En Rong as well as the company's deputy
chairman, Zhang Yun San, Shandong Molong said in a filing to the
Hong Kong stock exchange.
The pumps and petroleum machineries maker said it would urge
both executives to fully cooperate with the CSRC. It gave no
Zhang En Rong holds 43.49 percent of the Shenzhen-listed
shares, while Zhang Yun San owns 4.27 percent.
Zhang Yun San also holds 3.5 percent of the company's Hong
In December, the chairman of China's securities regulator,
Liu Shiyu, said the country's capital markets had seen a series
of "abnormal phenomena" lately, challenging the bottom line of
China's financial law and regulations.
(Reporting by Donny Kwok; Editing by Stephen Coates)