On November 13, 2025, Zhejiang Tony Electronic Co., Ltd. (referred to as ST Tony, stock code: 603595) announced the "Notice on Receiving the Administrative Penalty Decision from the Zhejiang Regulatory Bureau of the China Securities Regulatory Commission."
The Zhejiang Securities Regulatory Bureau of the CSRC found that ST Tony was involved in the following violations: 1. **Delayed Disclosure of Major Contract Progress**: On January 9, 2023, ST Tony's subsidiary, Huzhou Tony Semiconductor Technology Co., Ltd., signed a procurement contract with Guangdong Tianyu Semiconductor Co., Ltd., agreeing to deliver 135,000 6-inch silicon carbide substrates monthly from May to December 2023, with a total contract value of 675 million yuan, accounting for 51.84% of the company's latest audited main business revenue. However, by October 2023, only 6.74% of the contract had been fulfilled, and the company failed to disclose the delay until January 6, 2024.
2. **False Records in 2022 Annual Report and 2023 Interim Report**: - Misclassifying defective crystals as inventory instead of R&D expenses, understating costs and inflating profits. - Failing to account for raw materials purchased with funds advanced by related parties, leading to underreported R&D expenses and operating costs. - Inadequate provision for inventory impairment, resulting in overstated profits.
As a result, the company inflated total profits by 38.77 million yuan in its 2022 annual report and 72.28 million yuan in its 2023 interim report, representing 38.63% and 70.95% of the disclosed amounts, respectively.
The Zhejiang Securities Regulatory Bureau imposed warnings and fines on ST Tony and its responsible personnel.
Previously, on April 26, 2025, ST Tony announced receiving a formal investigation notice from the CSRC, followed by a preliminary penalty notice on October 30, 2025.
Under the Civil Code, Securities Law, and judicial interpretations on false statement compensation, investors who suffered losses due to such violations may claim damages, including investment differentials, commissions, stamp duties, and interest losses.
Lawyer Song Yixin of Shanghai Hanlian Law Firm is representing affected investors who purchased ST Tony securities between March 11, 2023, and January 5, 2024, and held or sold them after January 6, 2024.
**Key Notes for Investors**: 1. Claim eligibility is subject to final adjustments based on CSRC penalties and court rulings. 2. Direct lawsuits without administrative penalties carry higher risks of failure. 3. Delisting or bankruptcy proceedings may affect litigation timelines but not eligibility. 4. Required documents for claims include ID copies, securities account confirmation, and transaction records.
(Professional legal analysis provided by Shanghai Hanlian Law Firm.)
