The Shanghai and Shenzhen stock exchanges late on Friday posted separate statements on their websites detailing the rules, saying the move would improve market compliance and enhance the quality of listed companies.

Changsheng was found in July to have falsified data and sold ineffective vaccines, sparking public outrage and prompting the Shenzhen stock exchange to slap it with a "special treatment" risk alert, which is a step towards delisting. It has also been ordered to pay 9.1 billion yuan ($1.31 billion) in fines.

Under the new rules, the Shenzhen stock exchange said it has started delisting proceedings against Changsheng. The company's shares surged this week, which the exchange said indicated speculative activity.

China has previously delisted firms for breaching disclosure rules. In 2016, the Shanghai stock exchange cancelled the listing of Zhuhai Boyuan Investment for breach of disclosure rules.

($1 = 6.9367 Chinese yuan renminbi)

(Reporting by Brenda Goh; Editing by Shri Navaratnam)