Henan Holds Second Governance Training for 83 Listed Firms, Warns on Insider Trading

Henan held its second corporate governance and insider-trading warning training session in Zhengzhou on August 6. More than 260 participants from 83 listed companies attended, including actual controllers, controlling shareholders, directors and senior executives. The training focused on the corporate governance special action, interpreting requirements on regulating the conduct of 'dual controllers' (actual controllers and controlling shareholders), the performance of duties by independent directors and audit committees, the qualifications and conduct of board secretaries, and the public nomination of independent directors by investor protection institutions. Typical cases were used to examine the boundaries and responsibilities of directors and senior executives in fulfilling their duties. The responsible official of the Henan Securities Regulatory Bureau summarized the development achievements and compliance issues of listed companies in the region over the past two years and set out requirements for strict supervision and a zero-tolerance approach. Heads of relevant departments gave lectures on the newly revised Corporate Governance Guidelines for Listed Companies, the head of the rights enforcement affairs department of the China Securities Investor Services Center introduced the work of publicly nominating independent directors and related case studies, and a professor from Zhengzhou University lectured on corporate governance. The training gave particular attention to amendments to the judicial interpretation on criminal cases involving insider trading and arranged an insider-trading warning education exhibition. Going forward, tiered training for directors and senior executives of listed companies will be organized, with an expanded curriculum and improved quality.