The municipal branch of one of China’s big four state-owned banks has incurred a significant fine from the local banking regulator after funds obtained via personal loans were used to invest in either stocks or property.
The Ningbo branch of China Construction Bank (CCB) has incurred a fine of 200,000 yuan (approx. USD$29,132.00) for breaching article 46 of the “People’s Republic of China Banking Sector Monitoring Administrative Law.”
According to an official announcement CCB’s Ningbo branch incurred the fine for allowing “personal loan funds to enter the stock market and real estate market in breach of regulations.”
The Ningbo banking regulator issued its ruling on the infraction on 25 July 2018.