(Yicai Global) July 7 -- Soho China’s stock price fell after the property developer announced today that Chief Financial Officer Ni Kuiyang is under investigation for alleged insider trading in the company's shares.

Shares of Soho [HKG: 0410] closed down 2.8 percent at HKD1.40 (18 US cents) apiece, after earlier declining by as much as 3.5 percent.

The Beijing-based company said none of its other directors or senior executives are being investigated or were aware of the suspected insider trading. Meanwhile, full cooperation is being given to the relevant authorities, it added.

Pending completion of the investigation, Ni will not carry out her duties as CFO and the role will be filled temporarily by the company's chief financial director. Soho said the investigation would have no material impact on its business operations.

Founded in 1995, Soho has become one of China’s most prominent developers, having built numerous high-end commercial properties in the city centers of Beijing and Shanghai. But since the end of last year, its subsidiaries have received fines amounting to nearly CNY200 million (USD29.83 million) for imposing unauthorized electricity charges on tenants.

In addition, the company reported a net loss of about CNY131 million last year, the first in nearly a decade, due to a one-time tax expense of CNY439 million. In March, it announced plans to sell some prime properties in Beijing and Shanghai at a 30 percent discount in order to pay off its debts.

Editor: Tom Litting