CHINA’S securities watchdog Friday publicly criticized Ke Bilang, a board director of textile firm Shanghai Worldbest for selling his shares in the company during his tenure.

　In an announcement, the China Securities Regulatory Commission (CSRC) said the 73-year old Singaporean violated regulations by selling more than 5.86 million of his hard currency B shares in Worldbest while he was a director at the Shanghai-listed firm.

　The CSRC’s citation of Ke is believed to be the first public criticism of a foreign official at a Chinese listed company and signals that the market regulator has tightened its crackdown on market irregularities.The CSRC ordered Worldbest “to rectify the mistake, improve its internal management control and make changes to the membership of its board of directors within two months.”

　According to China’s securities regulations, company directors, supervisors and high-level managers are not allowed to sell their shares while they hold positions in the comopany.

　Annual reports from Worldbest showed Ke bought 4.91 million Worldbest’s B shares in 1996 and was appointed a director in December 1996. He was the firm’s seventh largest shareholder with nearly 5.9 million shares at the end of 1999.

　But he had reduced his shares to 2.08 million by the end of 2000.Worldbest said in its mid-year report dated July 26 that Ke has submitted his resignation to the board and didn’t attend the board meeting to review the 2002 interim results.

　The report, however, didn’t say whether the resignation has been accepted. Worldbest’s A and B shares in Shanghai were suspended from trade Friday due to a shareholders meeting.