The CSRC said new Rules on Administrative Penalties for Illegal Securities
Transfer Cases use a dual metric—illegal transfer ratio plus monetary amount—to
calibrate penalty tiers within the broad fine range under the Securities Law.
Cases with a transfer ratio below 2% or an amount below 40 mln yuan are assigned
the lenient tier; cases with a transfer ratio above 5% and an amount above 500
mln yuan are assigned the severe tier; all other cases fall into the standard
tier. The rules also enumerate more than a dozen aggravating and mitigating
factors to standardize discretionary decisions and improve consistency and
transparency in similar cases.
