(Yicai Global) May 10 -- Chinese regulators are introducing a professional reputation system partly accessible to the public that will do background checks on the 350,000 employees of securities firms in the country, Securities Times reported today.

The new system will keep a record of the brokers’ identities and the companies they work for, according to a document drafted by the Securities Association of China. It will include personal identification data, bonuses, any law violations, credit defaults as well demotions, dismissals and other internal company penalties.

“With this system, you can know a person’s past performance when recruiting,” an industry insider said.

Part of the database is directly accessible by the public, but there is another section that is restricted. An individual can directly search for his own file on the database. Securities firms need to first submit an application before they can access the system.

The background check system is the result of recent calls by the country’s cabinet and securities regulator to construct a market-oriented mechanism that will share integrity- and reputation-based data.

The database will be launched once official procedures are completed, the report said.

Editor: Kim Taylor