HK securities regulator says to crack down on "suspicious" asset disposals

HONG KONG, April 27 (Reuters) - Hong Kong plans to crack

down on overly-valued asset sales by listed companies in the

city, part of a move to clean up capital market activities in

the Asian financial hub, the top securities regulator said on


The Securities and Futures Commission (SFC) plans to step up

scrutiny of initial public offerings and listed companies, Chief

Executive Ashley Alder said, after recently taking a closer look

at IPOs in the small-cap Growth Enterprise Market (GEM) at the

Hong Kong stock exchange because of massive debut price spikes

during listings.

"We hope to tackle quite a longstanding and thorny problem

to do with unrealistic valuations used to support often quite

suspicious asset disposals by listed companies," Alder said

during a media luncheon.

(Reporting by Michelle Price; Writing by Elzio Barreto; Editing

by Muralikumar Anantharaman)