China tackles problems in local exchanges

A special task force overseen by the China Securities Regulatory Commission (CSRC) is launching yet another nationwide cleanup campaign involving hundreds of over-the-counter (OTC) markets operated or supervised by local authorities that trade items as diverse as precious metals, wine and stamps. The CSRC said a resurgence of banned or illicit trading had forced authorities into yet another round of inspections to try to bring the exchanges under control. Market manipulation, illegal futures trading and the swindling of investors were just some of the activities highlighted in a December document that the task force filed with authorities, including the central bank and Ministry of Public Security, and that was seen by Caixin. Data presented at a meeting of the task force last month showed that more than 300 markets around the country were suspected of engaging in illegal activities.