Chinese man arrested for 'spreading rumors' about stock market during economic crisis

Amid China's persistent stock market gyrations and economic challenges, law enforcement in the southwestern province of Sichuan has arrested a 30-year-old man for spreading rumours about the stock market.

The Chengdu resident, identified as Wang, allegedly used information sourced from foreign media to create false narratives about China's securities financing policy. This arrest is part of a broader crackdown on activities perceived to undermine the country's fragile economic recovery.

The Ministry of Public Security's Bureau of Network Security Protection revealed that Wang tampered with a page published by a foreign news organization, crafting misleading information "based on subjective assumptions and the pursuit of mental stimulation". 

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The fake news was disseminated on various online platforms, seriously disrupting the stable operation of the securities market, misleading investors, and damaging the online public opinion environment, according to a statement on the ministry's public WeChat account.

The authorities did not disclose the specific content of the rumours or the companies implicated in the false information. Local securities regulators in Sichuan collaborated in the investigation, emphasizing the serious consequences of spreading misinformation in a sensitive economic climate.

Wang's arrest is indicative of a broader governmental effort to curb online rumours and maintain political security and social stability. As China grapples with an extended stock market slump, the government has implemented various measures to enhance the business environment, protect the private sector, and counter negative narratives surrounding the economy.

While the briefing did not specify potential penalties for Wang, citing legal texts, it mentioned the possibility of up to 10 days in detention and fines.

China has witnessed a growing trend of law enforcement targeting individuals spreading economic "rumours." 

In a similar vein, securities regulators in Gansu recently fined an internet user for fabricating information about futures trading, underscoring the government's commitment to tackling misinformation.

As China experiences a resurgence in its economy, officials from key agencies, including the Ministry of State Security, have pledged to proactively protect financial stability and monitor risks in the sector.