SEC Sues 6 Chinese Citizens For Insider Trading

Law360, New York (April 6, 2012, 7:25 PM EDT) -- The U.S. Securities and Exchange Commission went after six Chinese traders Wednesday for using inside knowledge to execute "highly profitable and highly suspicious" trades in China-based pork processor Zhongpin Inc. just before the CEO offered to buy outstanding shares at a premium.

The defendants, six named individuals and a limited liability company, traded heavily in Zhongpin shares and call options during the two weeks prior to Chairman and CEO Xianfu Zhu's March 27 announcement that he would buy outstanding stock at $13.50 per share, a 46...
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