Wang Xiujie. [File Photo: Xinhua]

Police in northeast China confirmed on Wednesday that they have arrested a self-styled stock market prophet and Internet celebrity on charges of accumulating wealth by illegal means.

Wang Xiujie, or "Daitou Dage 777", was so famous in China that his blog on stock market investments received more than 30 million hits, as people rushed to cash in on the bull market.

Daitou Dage, Chinese for "senior big brother", was a hero of the common people in a classic Chinese kung fu novel.

Wang started to share his experience of the stock market in February and claimed more than 90 percent of his share predictions were correct, calling himself the "patron saint" of individual investors.

Many people -- the exact number is still unknown -- allegedly paid him for market tips and advice. Sources with the police in Jilin Province said the amount of money involved was "huge".

The sources said he was arrested for carrying on an illegal investment business via the Internet. More details of how Wang operated are expected to be made public when the police conclude their investigation,

Wang, a native of Changchun, capital of Jilin, said on his blog that he was born in 1972, and worked in a securities company in Shanghai from 1992.

With more than 30 million hits, Wang's blog took over the title of "number one blog in China" at the expense of famous actress Xu Jinglei. The last article on Wang's blog was published on July 1.

Media reports said that Wang has gained more than 13 million yuan by offering tips for individual investors.

Chinese law prohibits the provision of securities consultancy services without approval by the China Securities Regulatory Commission.

Liu Liang, a lawyer in Jilin, told New Express that Wang Xiujie is facing the possibility of a jail sentence and a huge fine.

Jin Ying, a Beijing housewife who often visited Wang's blog, said "I thought he was a great man by offering free stock market information. Now it seem he is the one who really benefits from his tips."

China's stock markets experienced a spectacular bull run in the first half of 2007, when up to 300,000 new A share accounts were opened daily.  However, it slowed in the wake of a series of government measures last month amid fears of overheating. In June the main stock index recorded its biggest monthly drop since May 2005.