THE Shanghai Stock Exchange and an arm of the China Securities Regulatory Commission (CSRC) are verifying information related to the purchase of shares of Bank of Beijing Co. by a vice president of the bank shortly before the public announcement of a market-moving deal last week, according to a CSRC spokesman.

    Spokesman Deng Ge told reporters Friday that the Beijing branch of the securities regulator and the stock exchange are looking into the matter and that if regulatory violations are uncovered, the CSRC will take action. There was no elaboration on the possible action.

    Bank of Beijing Co., a mid-sized lender, said late Thursday that the purchase of 30,000 of the bank’s shares two days by Zhao Ruian, a vice president, ahead of an announcement Wednesday of a cooperation deal with smartphone maker Xiaomi Inc. was not insider trading.

    The bank said that Zhao did not have information about plans to cooperate with Xiaomi in mobile payments and sales of wealth management and insurance products.

    The bank also said that Zhao submitted an application to purchase shares Feb. 13.

    Bank of Beijing said previously that Zhao had bought 30,000 of the bank’s share at 7.38 yuan (US$1.21) each Monday, bringing his total holdings in the bank to 90,000.

    The stock rose its 10 percent limit Wednesday — the day the deal was announced. The shares closed at 7.84 yuan Friday, down 4 percent.

    (SD-Agencies)