Investors affected by the case can register their claims on the Sina Investor Rights Protection Platform.
The securities misrepresentation lawsuit against Zhejiang Founder Motor Limited Company (Stock Code: 002196) is progressing steadily.
Li Jian, a lawyer from Zhejiang Yufeng Law Firm who has successfully represented investors in over 130 listed company cases, stated that the claim period for Founder Motor may expire in six months, but affected investors can still file lawsuits.
The case dates back to February 5, 2024, when Founder Motor announced receiving a "Administrative Penalty Decision" from the Zhejiang Regulatory Bureau. The investigation revealed two violations: unreasonable accounting estimates for "warranty fees" and inappropriate expansion of goodwill-related asset groups for Shanghai Haineng. These actions led to inflated profits totaling 78.43 million yuan in 2018, 5.96 million yuan in 2019, 17.92 million yuan in 2020, and 2.31 million yuan in 2021, while 2022 profits were understated by 86.98 million yuan.
As a result, Zhejiang regulators imposed a 4 million yuan fine on Founder Motor and issued warnings and fines to responsible individuals.
Under China's judicial interpretations on securities misrepresentation, affected investors can claim compensation for investment losses, commissions, and stamp duty.
Li Jian noted that his firm has filed multiple batches of claims. Eligible investors are those who purchased Founder Motor shares between April 29, 2019 and June 26, 2023, and held them at market close on June 26, 2023. The final compensation amount will be determined by the court.
Claimants need to provide securities account information, transaction records (from April 2019 onward), and contact details.
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