CSRC probes Hundsun amid securities financing regulation

BEIJING - The China Securities Regulatory Commission (CSRC) said it visited the premise of Hundsun Technologies Inc on Monday over public concerns that its financing service may be unlawful.

The Hangzhou-based financial software company provides its HOMS system to assist over-the-counter share financing, a kind of leverage that can magnify both gains and losses.

In a very brief statement, the CSRC said the investigation was "looking for clues", without any elaboration.

Hundsun said HOMS is just a "technical tool" for private funds, and called suggestions that the system triggered chaos in China's stock market over the past weeks "very much biased and unprofessional."