(Yicai) Feb. 5 -- The People’s Bank of China has fined six credit rating agencies, including the Chinese arm of US’ S&P Global Ratings, for a total of CNY34.5 million (USD4.8 million) over multiple rule violations.
S&P China and its director of rating and analysis at the time of violations, an executive surnamed Eastham, received warnings and fines of CNY2.2 million and CNY30,000 (USD290,000 and USD4,170), respectively, for having failed to conduct credit rating business by statutory rating procedures and rules and submit reports to regulatory authorities as required, as well as violating the principle of consistency, the PBOC announced on Feb. 2.
China Chengxin International Credit Rating received the highest fine, amounting to CNY7.7 million, for failing to complete the filing process as required and conduct credit rating business according to statutory rating procedures and rules and for violating independence requirements, consistency principles, and personnel management obligations. The company’s two vice presidents were also fined CNY130,000 (USD18,074) and CNY30,000.
China Lianhe Credit Rating was fined CNY7.4 million for failing to complete the filing process as required, conduct credit rating business by statutory rating procedures and rules, and disclose information as required or disclosure of false information, as well as for violating independence requirements, consistency principles, and personnel management obligations. Its president received a warning and a fine of CNY270,000.
The three other rating agencies -- Shanghai Brilliance Credit Rating and Investors Services, CSCI Pengyuan, and Fareast Credit -- were fined CNY7.3 million, CNY6 million, and CNY4 million, respectively.
Editor: Futura Costaglione