Investors who have suffered losses can register their claims on the relevant investor protection platform.
A securities misrepresentation case involving Yuancheng Gold has seen investors obtain a favorable first-instance court ruling, establishing a judicial precedent for similar claims. Even if the company is subsequently delisted, its associated liabilities do not automatically vanish. For eligible investors who incurred losses due to the company's information disclosure issues, the existence of this judgment is expected to generally enhance the efficiency of pursuing compensation claims through legal channels, though the outcome will still depend on the specific facts of each case and court proceedings.
On November 5, 2024, Yuancheng Gold announced that it had received a "Decision on Administrative Penalty" from the Shandong Regulatory Bureau of the China Securities Regulatory Commission. The decision confirmed that the company had engaged in illegal activities related to information disclosure, primarily involving false records in its 2021 semi-annual report and 2021 annual report.
Regulatory investigations found that the company's 2021 semi-annual report falsely inflated operating revenue by 36.689 million yuan and operating costs by the same amount. These figures accounted for 37.48% of the disclosed operating revenue and 39.38% of the disclosed operating costs for that period, respectively. This disclosure failed to truthfully and accurately reflect the company's operational status and was therefore deemed a violation of information disclosure regulations.
Furthermore, the company's 2021 annual report also contained false records. Regulators determined that the company falsely inflated operating revenue by 64.9518 million yuan and operating costs by the same amount, representing 28.86% and 29.73% of the disclosed figures for the period, respectively. Additionally, the company inflated profits by 521,000 yuan, constituting 15.27% of the disclosed total profit, leading to inaccuracies in the financial information presented in the annual report.
The lawful, truthful, accurate, and complete disclosure of information by listed companies is a fundamental safeguard for investors' right to be informed. When a listed company faces administrative penalties for information disclosure violations, investors who suffer investment losses due to related misrepresentations may seek civil compensation through legal means, provided they meet the conditions stipulated in judicial interpretations. Investors who meet the following criteria are eligible to participate in the claim: those who purchased shares between August 27, 2021, and April 22, 2024, and sold them after April 23, 2024, or continue to hold them at a loss.
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