Financial fraud once alarmed the Ministry of Foreign Affairs that the companys personnel involved were sentenced to prison.

category:Finance
 Financial fraud once alarmed the Ministry of Foreign Affairs that the companys personnel involved were sentenced to prison.


Earlier, Jabbert was forced to withdraw from the Shenzhen Stock Exchange after the Ministry of Foreign Affairs was shocked by cross-border financial fraud. Before the suspension, just experienced 27 word-for-word stop.

The accused was sentenced to nine monthsimprisonment

Sept. 10, * ST Baxter announced that the company received a letter from the actual controller, Lu Yong, on Sept. 9, 2019.

After the investigation filed by Yancheng Public Security Bureau, the Peoples Procuratorate of Yancheng City of Jiangsu Province filed a public prosecution in April 2019 to the Intermediate Peoples Court of Yancheng City of Jiangsu Province. The defendants were Lu Yong and Li Masong, accusing Lu Yong and Li Masong of violating regulations and disclosing important information. The Intermediate Peoples Court of Yancheng City of Jiangsu Province recently opened a court session. The case was heard.

The Intermediate Peoples Court of Yancheng City, Jiangsu Province, has made a criminal judgment. After the courts trial, it is considered that, in light of the facts, circumstances and degree of social harm of the crime in this case, the final judgment is as follows: 1. According to the provisions of the Criminal Law of the Peoples Republic of China.

(1) The defendant, Lu Yong, was sentenced to nine monthsimprisonment, one years probation and a fine of RMB 150,000 for the crime of violating regulations and disclosing important information.

(2) The defendant, Li Masong, was sentenced to six monthsimprisonment, one years probation and a fine of RMB 100,000 for the crime of violating regulations and disclosing important information.

The above judgment has taken legal effect.

Zeng falsely increased profits by 260 million yuan

Why on earth did Lu Yong violate the rules and regulations?

Things will start in 2015.

Abbott Information Disclosure Illegal Case is a cross-border financial fraud case of listed companies with bad nature investigated and dealt with by the Securities Regulatory Commission.

According to the website of the Securities Regulatory Commission, from September 2015 to September 2016, through fictitious overseas projects, fictitious international trade and domestic trade, Abbott accumulated about 580 million yuan of false business income and nearly 260 million yuan of false profit, of which the false profit in 2015 accounted for about 73% of the total profits of the current period, and the false profit in 2016 accounted for about 11% of the total profits of the current period. u3002 The above financial data are published through the annual report of Abbott in 2015, the semi-annual report in 2016 and the three quarterly reports in 2016.

Subsequently, Abbott corrected the accounting errors in the companys annual reports for 2015 and 2016. Among them, the adjusted revenue of Abbott in 2015 was 444 million yuan, more than half of the 926 million yuan before the adjustment, and the net profit of shareholders belonging to listed companies was 669 million yuan after the adjustment, compared with 266 million yuan before the adjustment.

Falsification of letters from Pakistani dignitaries alarmed the Ministry of Foreign Affairs

The 20-square-meter cottage has built a billion false accounts!

Even more alarming, the fraud of Abbotts overseas projects has attracted the attention of the Ministry of Foreign Affairs.

Abbott previously claimed that the urban rapid transit line project in Muertan, Pakistan, is progressing smoothly, with revenue exceeding 200 million yuan and total sales of 21.8% in 2015.

However, this so-called Pakistan project is fictional.

In September 2017, Geng Shuang, a spokesman for the Ministry of Foreign Affairs, disclosed that after investigation by the SFC and relevant Pakistani authorities, the letter issued by Jabat concerning Pakistani politicians was forged, and no evidence was found that Jabat had economic relations and financial exchanges with any companies and individuals in Pakistan.

Lets see how Jabbert faked it.

The company, headquartered in Yancheng, Jiangsu Province, claims to be the first A-share listed company in the metal roofing system industry, according to its official website. It is such a globalized comprehensive construction finance technology service enterprise that has been exposed to an astonishing fraud scandal - forging letters from Pakistani politicians to fabricate the companys business projects. According to the annual report of the year of listing, in 2015, Jabat achieved revenue of over 200 million yuan, accounting for 21.8% of the total annual sales, through the urban express bus line project in Muertan, Pakistan.

It is understood that the owner of the Muertan project in Pakistan is Muertan Development Agency, which invests more than $350 million in the construction of urban rapid transit lines. However, after a thorough investigation by the regulatory authorities, the Muertan Development Agency and Abbott did not have any economic relations and financial exchanges. At that time, the letters and construction contracts issued by the company concerning Pakistani politicians were forged. That is to say, this large multinational order is totally unreal.

So the question arises. Where does the money come from?

Jabat staged a scene of building materials being exported to Pakistan and receiving remittances. But the remittance came not from Pakistan, but from companies controlled by Abbott itself and some other companies in China.

In order to make the plot more authentic and credible, Abbott forged a false export contract for construction materials with foreign companies, transported goods declared for export to Angola to Hong Kong, and then transported the materials back through a third-party company. In this way, it achieved the illusion that the overseas projects were under construction.

Abbott has also committed an illegal act of forging a billion yuan of false accounts through false purchases. What is more surprising is that a series of illegal activities, such as fake purchasing and forging 1 billion yuan of false accounts, were carried out in a 20-square-meter cottage in Shanghai. When the inspectors investigated, they found that there was only one accountant and an assistant who did not understand accounting in the shop, but he operated six major suppliers of Abbott and four accounting firms.

Listed 10 years ago

Today, 27 words fall to a halt and wait for delisting.

Data show that Yabat landed on the Shenzhen Stock Exchange in December 2009.

The semi-annual report of 2019 shows that Jabat realized business income from January to June this year and net profit of shareholders belonging to listed companies from 24.55 million yuan to 24.33 million yuan, down 90.29% and 494.81% from the same period last year.

The latest announcement shows that there is a serious risk of illegal and compulsory delisting in the companys stock market. The details are as follows:

On April 7, 2017, the company received the Notice of Investigation from the China Securities Regulatory Commission (hereinafter referred to as the China Securities Regulatory Commission), which was filed for investigation on suspicion of illegal disclosure of information.

On May 12, 2017, the company received the China Securities Regulatory Commissions Advance Notice of Administrative Penalties and Market Imprisonment.

On December 15, 2017, the company received the Decision on Administrative Punishment from CSRC.

On July 4, 2018, the company received a small and medium-sized board letter No. 5 from Shenzhen Stock Exchange concerning the transfer of suspected criminal cases of Jiangsu Yabaite Science and Technology Co., Ltd. to public security organs by the CSRC. The company was transferred by the CSRC on suspicion of constituting a crime of violating regulations to disclose or not to disclose important information. Police.

On the evening of July 5, 2018, the Shenzhen Stock Exchange announced that it had officially launched a compulsory delisting mechanism for the company, and that there was a risk of suspension and termination of the listing of the companys shares.

In the 30 trading days that the Shenzhen Stock Exchange subsequently gave, Yabats share price has fallen for 27 consecutive words since July 6, 2018. Its share price has fallen from 5 yuan per share to 1.25 yuan per share, a drop of 75%. In the last three trading days, Yabat recorded two stops and one stop, and its share price has been set at 1.31 yuan per share closing on August 16, 2018. Compared with the beginning of July, the decline was 74%, and the market value evaporated by 2.8 billion yuan. It has been suspended since then.

On November 16, 2018, the Shenzhen Stock Exchange issued the Notice Concerning Publication (hereinafter referred to as Notice). The company will continue to suspend its trading until the Peoples Court makes a guilty judgment on the company and comes into force. The new regulations will determine whether it constitutes a major illegal forced delisting situation.

In the latest announcement of the companys stock market on September 6, Jabbert said that the company will continue to suspend its trading until the peoples court makes a guilty judgment on the company and takes effect, and then judges whether it constitutes a serious illegal forced delisting according to the new regulations.

There are also 35,000 shareholders

Investor claims have won the first instance

Up to now, there are 35,000 shareholders in the company.

It is reported that the Jabat Investor Claim case, which has been represented by lawyers, has received the first instance victory judgment. The court ruled that Abbott would compensate investors for their total losses, including investment differences, commissions, stamp taxes and interest losses.

At the same time, the SFC has investigated the suspected violations of laws and regulations by Yabat intermediaries and their employees. Jinyuan Securities, an independent financial advisory agency, and Zhonghua Accounting Firm, an auditing institution, are suspected of issuing certificates containing false contents, which will be dealt with seriously according to law.

The responsibility of intermediaries is unavoidable

It is noteworthy that on December 20, 2017, the SFC punishment decision was issued less than a month, and the executives involved resigned collectively. In 2018, Dong Miaozhen, Securities Representative Yu Haoran, Finance Director Zhuang Dongying, Supervisor Zhu Wu and Director Zhou Zhigang submitted resignation reports one after another. In March this year, the director and deputy general manager Yu Tao resigned.

In the view of investors, the relevant intermediaries should also be jointly and severally liable for Yabats forgery.

According to the public information, the independent financial advisory body Jinyuan Securities and auditing agency Zhonghua Accounting Firm of Abbott are suspected of issuing certification documents containing false contents.

Specific penalties, in August this year, Jinyuan Securities was no penalty three: the SFCs decision on administrative penalties shows that Jinyuan Securities failed to fulfill its duties diligently while serving as an independent financial adviser to Yabats backdoor listing, resulting in false records in the continuous supervision opinions and verification opinions issued and special verification reports. In response, the SFC decided to confiscate the proceeds of Jinyuan securities business of 10 million yuan and impose a fine of 30 million yuan. It warned the two then managing directors of the Headquarters of Jinyuan Securities Investment Bank who were directly responsible and imposed a fine of 100,000 yuan respectively.

In May this year, the SFC imposed penalties on Zhonghua Accounting Firm and the signatory accountants of Yabats 2015 auditing report. It ordered Zhonghua Accounting Firm to rectify, confiscate its business income of 540,000 yuan, confiscate illegal income of 120,000 yuan, and impose a total fine of 174,000 yuan. Sun Yong and Gu Jie, the signatory accountants, were warned and fined 80,000 yuan respectively.