Investors who have suffered losses can register their claims through the relevant platform.
On the evening of March 16, 2026, Hunan Copote Science Technology Co.,Ltd. (600476) announced that it had received a formal investigation notice from the China Securities Regulatory Commission (CSRC). The CSRC decided to initiate an investigation into the company due to suspected violations of information disclosure laws and regulations, pursuant to the Securities Law and the Administrative Punishment Law.
Legal counsel has indicated that the investor compensation claim process for Hunan Copote Science Technology Co.,Ltd. has now commenced. The preliminary eligibility criteria for claims have been established. Investors who purchased the company's stock between April 30, 2024, and January 31, 2026, and subsequently sold or continued to hold the stock after January 31, 2026, can now initiate claims.
In a separate development on March 16, 2026, a new investor compensation lawsuit against East Group Co.,Ltd. (300376), represented by the same legal counsel, was accepted by the Guangzhou Intermediate People's Court. Previous related cases have already resulted in some investors receiving compensation, with favorable court rulings for plaintiffs in earlier stages.
For the case against East Group Co.,Ltd., some claims have been resolved through settlement, with compensation already paid. The legal team is concurrently advancing the filing of subsequent cases and continues to accept mandates from other eligible investors.
On the evening of December 31, 2024, East Group Co.,Ltd. announced it had received an "Administrative Penalty Decision" from the CSRC. The investigation found the company committed the following violations:
1. The company inflated operating revenue, operating costs, and total profit through fictitious trade businesses. 2. The company inflated operating revenue and operating costs through procurement agency businesses and other agency businesses that possessed financing characteristics. 3. The company inflated operating revenue and operating costs through data center integration businesses that possessed financing characteristics.
In summary, by engaging in these fake trade businesses, financing-related procurement agency businesses, agency businesses, and data center integration activities that lacked commercial substance, the company inflated its operating revenue, operating costs, and total profit. This led to false records in the annual reports disclosed by East Group Co.,Ltd. from 2017 to 2021.
Based on prior successful investor rulings, legal counsel advises that investors who purchased East Group Co.,Ltd. stock between March 15, 2018, and May 12, 2023, and sold or held the stock after May 12, 2023, may still be eligible to initiate claims.
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