On June 30 in Beijing CSRC chairman Wu Qing chaired a meeting to advance a
central-local coordinated enforcement system on capital-market accounting fraud.
Since the State Council General Office on July 5, 2024 forwarded the CSRC-led
opinion on strengthening comprehensive deterrence, central-local enforcement has
intensified. Authorities conducted three rounds of special actions: 247
accounting-fraud cases were investigated and handled, 156 administrative
penalties imposed, and RMB 9.051 billion in fines and forfeitures collected; 21
severely fraudulent companies were forcibly delisted. Regulators said sanctions
have been extended to parties that assisted fraud and administrative-criminal
enforcement coordination has been strengthened. Investor civil-remedy channels
were also expanded: authorities supported 84 civil suits; Zeda Yisheng and
Guangdao Digital made early investor payments totaling nearly RMB 500 million;
representative lawsuits in Jintongling, Meishang Ecology and Jinzhou Port have
shown major progress; responsible parties in Qingyue Technology publicly stated
they will pre-compensate eligible investors.
