"The major shareholders of listed companies collude with private placement to reduce their holdings" and manipulate the stock price through this behavior, which violates the provisions of Article 77 of the Securities Law, confiscates illegal income and fines, and manipulates the securities market and causes losses to investors. The actor shall be liable for compensation according to law. For example, private equity institutions receive large shareholders to reduce their shares through block transactions, and do not manipulate the stock price in subsequent operations, which does not constitute the above-mentioned illegal acts.

Whether it constitutes a criminal act depends on the judgment conditions for manipulating stock prices:

A. The number of shares in circulation holding or actually controlling the securities individually or in collusion reaches more than 30% of the total number of shares actually in circulation of the securities, and the number of shares jointly or continuously traded in the securities for 20 consecutive trading days reaches more than 30% of the total turnover of the securities in the same period;

B colluding with others to trade securities with each other according to the time, price and method agreed in advance, and the cumulative turnover of the securities within 20 consecutive trading days reaches more than 20% of the total turnover of the securities or futures contracts in the same period.

Anyone suspected of any of the above circumstances shall be prosecuted.

Manipulating securities is illegal and criminal. According to Article 182 of the Criminal Law, the crime of manipulating the securities and futures market refers to the crime of concentrating capital advantages, holding shares or holding positions or using information advantages to jointly or continuously buy and sell securities and futures, colluding with others to buy and sell futures contracts, manipulating the trading volume and price of the securities and futures market, creating false appearances in the securities and futures market, and inducing or causing investment.