On October 16, five A-share listed companies announced on the same day that they or their shareholders had received an "Administrative Penalty Decision" or an "Advance Notice of Administrative Penalty" from securities regulatory authorities on that date.
Three listed companies were fined a combined 15 million yuan, while 18 responsible individuals including shareholders and executives of the five listed companies were (proposed to be) fined a combined 37 million yuan.
Among them, Jiakang Technology (ST Jiakang, 301117.SZ) engaged in financial fraud for four consecutive years from 2019 to 2022; the company was fined 6 million yuan, and four responsible individuals including the controlling couple were fined a combined 8.5 million yuan.
Guangnong Sugar Industry (*ST Guangtang, 000911.SZ) was fined 4 million yuan for financial fraud from 2023 to 2024, with five responsible individuals fined a combined 5.3 million yuan.
Xindongli (*ST Dongli, 300152.SZ) disclosed information containing false records and major omissions; the company was fined 5 million yuan, and five responsible individuals were fined a combined 20.8 million yuan, with two of them receiving a 4-year securities market ban.
The controlling shareholder of Tigermed (300347.SZ) and its concert parties failed to timely disclose the "Simplified Equity Change Report," and each was fined 500,000 yuan.
In addition, Guangxin Co. (603599.SH) announced on October 16 that its controlling shareholder and actual controller were suspected of violations related to information disclosure of shareholding changes, and the Anhui Securities Regulatory Bureau planned to impose fines of 1 million yuan and 400,000 yuan respectively.
On the same day, Lianmei Holding (600167.SH) announced that due to suspected failure to submit relevant reports or fulfill information disclosure obligations as required, the CSRC decided to open an investigation into the company and its four shareholders. According to the shareholders' self-inspection, this investigation involves matters related to the possible existence of concerted action relationships among them.
Jiakang Technology: Four Consecutive Years of Financial Fraud
According to the CSRC's "Administrative Penalty Decision," in 2019, 2021, and 2022, Jiakang Technology signed multiple scientific research contracts or electronic product procurement contracts with a certain client and recognized revenue in advance when the conditions for revenue recognition were not met. In 2020, Jiakang Technology inserted itself into an ongoing purchase and sales business chain between two other companies, and the relevant transactions lacked commercial substance. These two illegal acts caused Jiakang Technology's operating revenue from 2019 to 2022 to be inflated by 20.156 million yuan, understated by 6.8765 million yuan, inflated by 28.0338 million yuan, and understated by 25.6247 million yuan, respectively, accounting for 15.39%, 3.61%, 8.85%, and 9.51% of the absolute value of disclosed operating revenue for the respective periods; total profit was inflated by 16.1384 million yuan, understated by 15.696 million yuan, inflated by 18.0393 million yuan, and understated by 16.3445 million yuan, respectively, accounting for 44.02%, 25.80%, 16.95%, and 24.43% of the absolute value of disclosed total profit for the respective periods.
The CSRC determined that the 2019 and 2020 financial data in Jiakang Technology's disclosed "Prospectus" and the contents of its 2021 and 2022 annual reports contained false records. The CSRC decided to order Jiakang Technology to make corrections, issue a warning, and impose a fine of 6 million yuan; issue a warning to Wang Jin (one of the actual controllers, then chairman and general manager) and impose a fine of 3 million yuan; issue warnings to Zhu Weihua (then director and deputy general manager) and Liu Xu (then financial director) and impose fines of 2 million yuan each; and issue a warning to Yin Mingjun (one of the actual controllers, then director, board secretary, and deputy general manager) and impose a fine of 1.5 million yuan. Jiakang Technology's 2025 annual report shows that Wang Jin (female) and Yin Mingjun (male) are husband and wife.
Guangnong Sugar Industry: Financial Fraud from 2023 to 2024
According to the "Administrative Penalty Decision" of the Guangxi Securities Regulatory Bureau, Guangnong Sugar Industry's wholly-owned subsidiary Nanning Yun'ou Logistics Co., Ltd. (hereinafter referred to as "Yun'ou Logistics") engaged in the following acts: recognizing part of transportation and warehousing business revenue across periods; recognizing revenue without actual delivery of goods, and failing to make retrospective adjustments after the business terminated. This caused false records in Guangnong Sugar Industry's 2023 and 2024 annual reports: in 2023, operating revenue was inflated by 23.5516 million yuan and total profit was inflated by 20.1954 million yuan, accounting for 0.70% and 119.20% of the disclosed amounts for the period, respectively; in 2024, operating revenue was understated by 24.0795 million yuan and total profit was inflated by 18.6933 million yuan, accounting for 0.74% and 72.50% of the disclosed amounts for the period, respectively.
The Guangxi Securities Regulatory Bureau decided to order Guangnong Sugar Industry to make corrections, issue a warning, and impose a fine of 4 million yuan; and issue warnings to Luo Yingping (then chairman of Guangnong Sugar Industry), Liu Ning (then director and general manager), Huang Yi (then director and chief accountant), Zhou Xinhua (then deputy general manager), and Mo Qinglian (then chairman and general manager of Yun'ou Logistics), imposing fines of 2 million yuan, 1.1 million yuan, 800,000 yuan, 700,000 yuan, and 700,000 yuan, respectively.
Xindongli: False Records and Major Omissions in Information Disclosure
According to the "Administrative Penalty Decision" issued by the Hebei Securities Regulatory Bureau as disclosed by Xindongli on October 16, on September 30, 2020, Xindongli disclosed an announcement about establishing an environmental protection industry investment fund through outbound investment, stating that it planned to use 150 million yuan of its own funds to jointly invest with Nuobei Fund to establish an environmental protection industry investment fund, that Nuobei Fund had no related-party relationship with the company, and that this investment did not constitute a related-party transaction. Thereafter, Xindongli signed the "Puyi Shijiazhuang Equity Investment Fund Management Center (Limited Partnership) Partnership Agreement" with Nuobei Fund, Xindongli transferred 140 million yuan of investment funds to Puyi Fund, and Puyi Fund completed filing.
The Hebei Securities Regulatory Bureau determined that during the period involved, Xindongli and Nuobei Fund were jointly controlled by Mao Fengli, Nuobei Fund was a related person of Xindongli, and the act of Xindongli and Nuobei Fund jointly investing to establish Puyi Fund constituted a related-party transaction. The announcement disclosed by Xindongli on September 30, 2020 contained false records. In addition, in its 2020 annual report, 2021 semi-annual report, and 2021 annual report, Xindongli failed to disclose its related-party relationship with Nuobei Fund and also failed to disclose that the above transaction was a related-party transaction, and these periodic reports contained major omissions.
The Hebei Securities Regulatory Bureau decided to order Xindongli to make corrections, issue a warning, and impose a fine of 5 million yuan; and issue warnings to Mao Fengli (then actual controller), Mao Junliang (then chairman), Cheng Fangfang (then general manager and board secretary), Zhang Meng (then financial director), and Zong Ran (then board secretary), imposing fines of 8 million yuan, 4 million yuan, 3.6 million yuan, 3.2 million yuan, and 2 million yuan, respectively. In view of the serious circumstances of the violations by Mao Junliang and Cheng Fangfang, it was decided to impose a 4-year securities market ban on them.
Tigermed: Simplified Equity Change Report Disclosed Nearly 7 Years Late
The Zhejiang Securities Regulatory Bureau found that on September 20, 2019, the cumulative change in the proportion of voting shares issued by Tigermed held in total by the company's controlling shareholder Ye Xiaoping and his concert party Cao Xiaochun reached 5%, but the "Simplified Equity Change Report" was not disclosed in a timely manner and was only supplemented and disclosed on May 12, 2026. The Zhejiang Securities Regulatory Bureau determined that the above acts by Ye Xiaoping and Cao Xiaochun constituted information disclosure violations and decided to issue warnings to Ye Xiaoping and Cao Xiaochun and impose a fine of 1 million yuan, including a fine of 500,000 yuan on Ye Xiaoping and a fine of 500,000 yuan on Cao Xiaochun.
Tigermed's official website shows that Ye Xiaoping and Cao Xiaochun are co-founders of Tigermed. Ye Xiaoping serves as chairman; Cao Xiaochun serves as director and chair of the executive committee, and has been selected multiple times for the "Forbes China Top 100 Businesswomen."
Guangxin Co.: Controlling Shareholder Suspected of Information Disclosure Violations in Shareholding Changes
On October 16, the controlling shareholder of Guangxin Co., Anhui Guangxin Group Co., Ltd. (hereinafter referred to as "Guangxin Group"), received an "Advance Notice of Administrative Penalty" issued by the Anhui Securities Regulatory Bureau. After investigation, as of July 21, 2021, the concert parties Guangxin Group, Huang Jinxiang (the actual controller of Guangxin Group and Guangxin Co., then executive director of Guangxin Group and chairman and general manager of Guangxin Co.), and others held a total of 222.7537 million shares of "Guangxin Co.," with a shareholding ratio of 47.94%. From August 10, 2021 to June 20, 2023, due to active reductions by Guangxin Group, Huang Jinxiang, and others as well as exchangeable bond conversions and other reasons, the shareholding ratio of Guangxin Group and its concert parties fell to 41.63%, a decrease of 6.31%. On June 15, 2023, when the block trade by Guangxin Group caused the total shareholding ratio of the concert parties to decrease by 5%, Guangxin Group failed to fulfill its reporting and announcement obligations in accordance with the law. The Anhui Securities Regulatory Bureau planned to order Guangxin Group to make corrections, issue a warning, and impose a fine of 1 million yuan; and issue a warning to Huang Jinxiang and impose a fine of 400,000 yuan.
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