(Yicai Global) May 7 -- The China Securities Regulatory Commission is investigating V V Food & Beverage for suspected illegal information disclosure, the Xuzhou, Jiangsu province-based agricultural product maker announced today.

It replied to a Shenzhen Stock Exchange inquiry letter on March 25, saying that its major shareholder V V Group had illegally embezzled CNY944 million (USD133 million) of its funds last year, as a self-audit by the company discovered. The company provided no further details.

Its shares [SHA:600300] were down 2.13 percent at mid-morning at CNY3.21 (45 US cents).

Editor: Ben Armour