Problem postings (5)

Caution urged

Experts have also raised questions over the manner in which listed companies and their executives post information on social media, and Pan is not the only public figure to have posted sensitive information about listed companies.

"The issue was not so obvious when social media was less popular, but now public figures should be more careful when talking about listed companies," said Li from ChinaVenture.

On November 30, Li Chuyuan, chairman of Guangzhou Baiyunshan Pharmaceutical Co, announced a restructuring plan for the company on his Weibo, two days ahead of the official announcement.

Shi Yuzhu, chairman of online game developer Giant Interactive, posted a message concerning China Minsheng Bank on August 24, 2011. Shi mentioned in his Weibo post that Minsheng, in which he is a shareholder, was the "only important private bank in China."

Shares in Minsheng rose 6.47 percent that day after Shi's post.

"People should not post comments on individual stocks if they do not have a securities certificate. Especially with those public figures who have many followers, their remarks could easily mislead investors," said Huang.

Li from ChinaVenture noted that it is not easy for the authorities to draw up detailed regulations for the matter, but they could "communicate with executives of listed firms about acting with caution when talking about such information."

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