On the evening of July 5, the listed company * ST steeI announced that according to the decision of Shenzhen Stock Exchange on suspending the listing of shares of Steyr Power Co., Ltd., the companys shares will be suspended from July 6, 2020.
According to the announcement, in 2020, the board of directors and management of the company will strive for the resumption of the listing of shares. The specific measures are as follows:
On the one hand, the company continues to actively communicate with creditors, hoping to obtain the understanding of creditors, and strive to reach a debt reconciliation scheme, so as to reduce the companys debt to a certain extent. On the other hand, the company actively refers to the successful cases of debt restructuring of other listed companies, combined with its own actual situation, does not rule out that it will start debt restructuring in the later stage, resolve the debt burden through judicial means, and ensure the normal operation of the company will not be affected.
3. Actively respond to the companys Litigation: the company establishes a special group headed by the chairman of the board of directors to carefully check and solve the litigation matters involved in the company, and the company sorts out the litigation materials it has mastered and timely discloses them to the public. At the same time, the company has hired professional lawyers to actively deal with the litigation and arbitration involved in the company, and will actively strive for the judgment in favor of the company and safeguard the legitimate interests of the company. For the pending litigation of the company, the company will continue to actively communicate with the relevant parties of the case and the competent court with the support of lawyers, so as to promote the settlement of relevant litigation matters as soon as possible and eliminate various potential impacts.
4. Strengthen the internal control management, strengthen the standardized operation of the company: after the new management team arrived in the company, it comprehensively sorted out the internal management system of the company, sorted out all aspects of the business process, implemented the separation mechanism of authorization, approval and implementation, strictly implemented the internal control system and other management systems, strengthened the companys financial management and seal use management One step is to standardize the approval, use, registration and filing process of seal use, standardize the external guarantee behavior, standardize the approval process of fund income and expenditure, and further strengthen the construction of internal management and internal control system.
*St. Stewarts financial fraud exposed
If we gamble with our lives, it must be the best. This is a well-known saying of Tang Wanxin.
With the fall of the hammer in 2006, Tang Wanxin also gradually disappeared from peoples vision. What made him return to the public view again was the investigation of the SFC on * ST steeI in June 2019.
Previously, * ST st disclosed that Shandong Yingda Steel Structure Co., Ltd. (hereinafter referred to as Yingda steel structure) is its controlling shareholder and Feng Wenjie is its actual controller. According to qixinbao, Feng Wenjie holds 51% of Yingda steel. As of the first quarter report of 2020, Yingda steel structure holds 3.62% equity of * ST steeI.
However, according to the investigation conducted by the CSRC, Feng Wenjie is only the face of stetai, and Tang Wanxin is the Li Zi of the Delong clan.
On the evening of June 3, an announcement of * ST steeI announced that the company was on the verge of delisting, but also revealed the truth that the company had been actually controlled and manipulated by the core members of Delong system such as Tang Wanxin for three consecutive years and its performance had been falsified for three years.
According to the announcement, after investigation, the facts suspected of violating the law, such as Steyr, included false records of relevant financial data in the annual reports of 2014, 2015 and 2016, and the disclosure to the actual controller of the company was not true.
On June 25, 2019, due to the companys suspected illegal information disclosure, Steyr was filed for investigation by China Securities Regulatory Commission.
According to the notice on administrative punishment and market ban issued by the CSRC on June 3, the penalty objects involved include 24 natural persons, including Liu Xiaojiang, who was the chairman of the board of directors of the company, in addition to Steyr, a listed company. In this long list, the names of Tang Wanxin, Tang Wanchuan and other core figures of the Delong system are particularly eye-catching. This is the first time that Tang Wanxin appeared in the official text of the capital market regulatory authorities since his imprisonment in 2006.
Notification reveals the fact that Tang Wanxin and others manipulate listed companies behind the scenes. Steyrs annual reports in 2014, 2015 and 2016 disclosed that Yingda steel structure was the controlling shareholder and Feng Wenjie was the actual controller. According to the investigation, from the end of 2013 to the end of 2017, Tang Wanxin, Zhang yeguang and Tang Wanchuan obtained the operation and management rights by leading the companys non-public offering, agreeing with investors on the income sharing, actually undertaking the performance compensation, and dispatching the management team to control the board of directors and the management. They are the actual controllers of Steyr.
As the core members of the Delong system, Tang Wanxin and others once dominated the capital market. Through the mode of holding shares and sitting in the village, they rose rapidly in the 1990s and the beginning of this century. The industrial layout includes agriculture and animal husbandry, agricultural supermarket, tourism and other industries. In the financial field, they controlled financial institutions such as Jinxin trust, Deheng securities, Xinjiang financial leasing and many city merchants In the capital market, we will establish Xinjiang Tunhe, alloy stock, xiangtorch and other listed companies. In 2003, Delong system reached its peak and became a financial and industrial group with 120 billion yuan of assets. Tang Wanxin was also known as Chinas first intrepid village because of his ferocious style. However, the Delong capital chain broke down and collapsed in 2004.
In 2006, Tang Wanxin was sentenced to eight years imprisonment and a fine of 400000 yuan for the crime of illegally absorbing public deposits and manipulating securities trading prices. Tang Wanchuan was also sentenced in 2013 to two years and six months imprisonment with a three-year suspended sentence for the crime of manipulating the securities market. Zhang yeguang was once sentenced to four years imprisonment and a fine of 300000 yuan for the crime of illegally absorbing public deposits. According to his judgment, at the end of 2000, in order to cope with the cashing crisis in the entrusted financial management business of Jinxin trust, Zhang yeguang and Tang Wanxin in disguised form absorbed more than 43.7 billion yuan of public deposits, of which the outstanding balance was more than 16.7 billion yuan.
After he was released from prison, Tang Wanxin began to plan in 2012 to use his financial skills in Boying investment, the predecessor of Steyr, to carry out capital operations such as non-public issuance and purchase of assets. However, the biggest difference from his operation before he was in prison is that he chose to hide behind the scenes this time, and he could not find Tang Wanxins figure from the public information.
Government subsidies turn into operating income
The CSRC said: after investigation, the suspected illegal facts of * ST, Liu Xiaojiang and others are as follows: * in the annual reports of 2014, 2015 and 2016, there were false records in the relevant financial data.
It should be noted that the above financial fraud is related to government subsidies. By means of capital transfer and accounting packaging, * St. Stephanie turned part of government subsidies into main business income.
After investigation, through fictitious technology licensing business, * ST steaI used 100 million yuan allocated by Wujin national high tech Industrial Development Zone Management Committee (hereinafter referred to as Wujin high tech Zone Management Committee) as special support fund for * ST steaI diesel engine project, and obtained the exclusive technology license income of its subsidiary Steyr power (Jiangsu) Investment Co., Ltd. (hereinafter referred to as Jiangsu Steyr) em11 diesel engine proprietary technology license According to this, the operating revenue of 2014 was increased by 94.3396 million yuan, the total profit was increased by 94.3396 million yuan, and the net profit was increased by 70.7547 million yuan, which led to the disclosure of loss as profit in the 2014 annual report.
*St & s disclosed that the operating revenue of 2015 was 346.5752 million yuan, the total profit was - 204.9032 million yuan, and the net profit was - 194.9388 million yuan.
According to the investigation, * ST st st paid 80.5 million yuan of government reward payment payable by Wujin hi tech Zone Management Committee to other companies by changing the beneficiary of government award. *The above items were not disclosed in the 2015 annual report of St stetai, resulting in a virtual reduction of non operating income of RMB 80.5 million and a total of RMB 80.5 million of profit.
*St. Stephanie disclosed that the operating revenue of 2016 was 356 million yuan, the total profit was 76.8042 million yuan, and the net profit was 43.7478 million yuan.
According to investigation, * ST Steyr collected 200 million yuan of government incentive funds from Jiangsu Zhongguancun Science and Technology Industrial Park Management Committee through fictitious technology licensing business, and packaged it into three types of off road diesel engine technology license income of its subsidiary Jiangsu Steyr, which falsely increased the business income of 2016 by 188.6792 million yuan, after deducting relevant costs, the total virtual profit increased by 188.4772 million yuan, and the virtual increased net profit was 141357.7 As a result, the company disclosed the loss as profit in the 2016 annual report.
According to the investigation conducted by the CSRC, Tang Wanxin, Zhang yeguang and Tang Wanchuan, as the actual controllers of * ST, knew and concealed the information that should be disclosed, such as financial fraud related matters, and did not tell * st to disclose the above information.
According to the notice of administrative penalty and market ban, the CSRC intends to order St. Tai to make corrections, give a warning and impose a fine of 600000 yuan; Liu Xiaojiang and Wu Xiaobai will be given a warning and fined 300000 yuan respectively, and the securities market will be banned for 10 years. In addition, the SFC also intends to give warnings and fines to other violators.
Up to the latest data show that there are nearly 50000 shareholders behind the company. The market value is still 1.1 billion yuan. The share price has dropped 93% from its record high in 2015, and the market value has evaporated by 15 billion.
Source: China Fund News Editor in charge: Yang Bin_ NF4368