On the evening of March 13, Lierda announced that the company, along with its Chairman Ye Wenguang and General Manager Chen Kai, had received a "Case Filing Notice" from the China Securities Regulatory Commission (CSRC) on the same day. The CSRC decided to open an investigation into the company and relevant personnel due to suspected violations of information disclosure laws.
Lierda, which listed on the Beijing Stock Exchange in February 2023, is a high-tech enterprise in the Internet of Things sector. Just three years after its listing, the company and its core management have been simultaneously placed under regulatory investigation, drawing market attention to its corporate governance and information disclosure practices.
The company's announcement did not disclose specific details of the investigation. Lierda stated it would actively cooperate with the regulatory authorities and fulfill its information disclosure obligations promptly based on progress. The specifics of the case remain to be further verified by regulators.
Key factor to watch
Notably, just over a month before the investigation, Lierda issued a correction announcement for prior accounting errors on January 30, 2026. The company retroactively adjusted financial data from 2019 to 2023, affecting items such as operating revenue, period expenses, non-operating income, and capital reserves. Given these recent accounting corrections, the regulatory probe is likely to focus on the accuracy of the company's financial information disclosures. If violations are confirmed, the company and its responsible personnel may face regulatory penalties.
Following the announcement of the investigation, Lierda's stock price fell on the first trading day of March 16, with an intraday decline exceeding 24%. Lawyer Liu Peng from Shanghai Huzi Law Firm indicated that the preliminary claim conditions are for investors who purchased Lierda shares on or before March 13, 2026, and sold or held them after that date, incurring losses. These investors may be eligible for future claims.
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