THE securities regulator yesterday slapped a record 5.5 billion yuan (US$870.87 million) fine on a company for share price manipulation, Shanghai Securities News reported.

The penalty on Bei Ba Dao Group, announced by the China Securities Regulatory Commission (CSRC) at a press briefing, underscores the government’s determination to root out misbehavior in the stock market.

Bei Ba Dao, based in China’s southern city of Xiamen, pocketed illegal profit worth 945 million yuan by manipulating share prices of newly listed companies such as Jiangsu Zhangjiagang Rural Commercial Bank Co., Jiangsu Jiangyin Rural Commercial Bank Co. and Huasi Holding Co., the newspaper said, citing the CSRC.

Bei Ba Dao is China’s largest privately owned operator of railway cargo cars, according to news reports.

Starting June, China’s A shares will be included in MSCI Inc.’s emerging market index, projecting the market into global limelight.

The CSRC has been making efforts to clean up the stock market, introducing tougher market oversight and more severe punishment for illegal trading in recent years. (SD-Agencies)