Prosecutors launch probe into unusual stock moves

ISTANBUL

Istanbul Chief Public Prosecutor's Office has taken action following reports of unusual price fluctuations in the stock exchange, state-run Anadolu Agency has reported.

The prosecutor's office initiated an investigation against those responsible for reliability, creating and spreading misleading news that cause unusual price and volume fluctuations.

The investigation will continue along with the probe of the Capital Markets Board (SPK).

The SPK announced on Feb. 21 about the investigation into the unusual price movements in Borsa Istanbul.

The transactions of all institutions are being reviewed by both the SPK and Borsa Istanbul, the board said in a statement.

The investigation aims to identify any deliberate and misleading news that may have caused unusual price and volume movements, the statement furthered.

“Criminal and/or administrative steps will be taken against any actions and transactions that disrupt the functioning of the capital market in a secure, transparent and stable manner,” it added.

Meanwhile, Borsa Istanbul announced that the up-tick rule in short-selling transactions will be valid for one day during the session dated Feb. 24.

It noted that equities that can be subject to short selling can be sold short at a price higher than the last transaction price of the instrument.

In case the last realized price of the instrument is higher than the previous price, the short sale transaction can be made at the last price level, it said.