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Citadel Securities pays $97m in China trading settlement

Citadel Securities has agreed to pay almost $100m to Chinese authorities in a settlement over alleged trading rule violations, ending a probe launched five years ago in the middle of a stock market rout.

The China Securities Regulatory Commission said on Monday it had agreed settlements with four local institutional investors and Citadel Securities, the market maker controlled by US hedge fund billionaire Ken Griffin. The regulator has now lifted a suspension on a Citadel Securities trading account imposed in 2015, according to a person familiar with the details.

The CSRC said the penalties were “based on differing circumstances, such as the amount of money made through the suspected illegal acts”, without providing further details on the alleged violations. Citadel’s Rmb670m ($97m) settlement is more than 40 times the combined Rmb15.2m paid by the four domestic groups.

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