Hotline launched to curb illicit bank operations

A whistleblowers' telephone hotline has been launched in Shanghai in an effort to clamp down on banking operations that breach regulations.

The China Banking Regulatory Commission Shanghai Supervision Bureau said on Monday that as many as 74 banks, and the city's Banking Association had signed up to the service.

Banks in Shanghai have been introducing increasing numbers of wealth management products over the past year, which have attracted balances of around 7 trillion yuan ($1.12 trillion), the commission said in a statement.

About 14 percent of China's wealth products were sold in Shanghai in 2012, but commission officials said cases of illicit operations, including selling unauthorized products, had been identified and that it was essential to strengthen effective management over financial institutions.

It added that banks in the city will aim to set up a long-term system to make tip offs of any wrong-doing easy for the public, including a reply service for anyone who uses the system.

Consumers may call 021 3865 0160 or 021 6828 6950 to report illicit operation of banks in Shanghai.