At the beginning of November 'China's Carl Icahn', activist investor Xu Xiang was arrested on suspicions of "insider trading and other offenses,” according to a statement from the government's Xinhua News Agency.
Xu's fund, Zexi Fund No. 1 gained 323% for the year up to his arrest, while the Shanghai Composite has risen only 3% for the year, according to the New York Times.
Around the same time, officials detained Zhang Yun, the President of China's third largest bank, the Agricultural Bank of China, according to CNN. Both Xu and Zhang's arrests demonstrate that there's no financier too powerful to avoid the probe.
Yeah I would investigate a 323% gain when the market is only up by 3% too just to make sure things are on the up-and-up. I guess China's version of the SEC is going to work overtime to make sure these gains are real or not.