The Chinese banking regulator has slapped over a dozen lenders with a slew of fines for regulatory infractions, focusing in particular upon wealth management operations.
15 Chinese banks incurred a total of 17 fines worth 7.5339 million yuan according to an official announcement made on 14 March, with three fines for infractions involving wealth management funds.
Bank of Hankou (汉口银行股份有限公司) received a fine of 300,000 yuan for investing wealth management funds in the shares of non-listed enterprises, while China Everbright Bank’s Jingzhou branch also incurred a fine of 300,000 yuan for channelling wealth management funds to projects via asset management plans in breach of regulations.
The Hubei province branch of China Development Bank received a fine of 200,000 yuan for failure to properly inspect project capital sources, leading to borrowers using wealth management funds as project capital.
China’s banking authorities fined the Wuhan branch of Ping An Bank 500,000 yuan for providing loans to personal affiliates, as well as confiscated 133,853.19 yuan in illegal proceeds.
The Guangdong province branch and the Guangzhou city Panyu district branch of Bank of China received fines of 500,000 yuan and 1 million yuan respectively, for severe breach of prudential operating regulations in their credit operations.
The Guangdong province branch and the Guangzhou Baiyun district branch of Bank of Communications each incurred fines of 400,000 yuan for severe breach o prudential operating regulations in their credit operations.