China stock probes send shivers through investment community - Yahoo Finance: "One manager at a major fund - part of the "national team" of investors and brokerages charged with buying stocks to revive prices – said a friend, also an executive at a large fund, was recently summoned for a meeting with regulators, along with all other mutual funds that had engaged in short-selling activity.
"If I don't come back, look after my wife," his friend told him, handing the manager his home telephone number.
China has unleashed a volley of measures to try to prop up its stock markets that have fallen around 40 percent since mid-June, pushing domestic brokerages and fund managers to buy up shares and banning investors with large stakes from selling their holdings for six months.
The authorities' meddling has unnerved many investors, leaving them questioning China's commitment to liberalising its capital markets and the long-term future of the country's stock markets themselves.
Adding to those concerns is the fact that authorities have also been probing investment funds' trading strategies, looking into whether they have been engaging in alleged "malicious" short-selling or market manipulation.
On Monday, Bloomberg reported that Li Yifei, the China chairwoman of Man Group Plc, one of the world's largest hedge funds, had been taken into custody to help with inquiries."
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