Securities Times reporter Tang Qiang

　　Another case of market manipulation.

On the evening of June 6, Shangwei (603333) announced that the actual controller, Li Guangsheng, has been detained by the Huzhou Public Security Bureau on suspicion of manipulating the securities and futures markets.

In order to eradicate the malignant tumor of A-share market manipulation, the regulators have repeatedly expressed their stance on cracking down on vicious violations of laws and regulations such as market manipulation with a stricter and faster "zero tolerance".

Before Li Guangsheng of Shangwei Co., Ltd., there were also many cases of suspected manipulation of the securities market, and some people have already paid the price for it.

　　Been questioned many times for changes

　　According to the company's data, Li Guangsheng was born in 1973. He used to be the chairman of Chongqing Xinbu Investment Co., Ltd. and is currently the chairman of Shangwei Co., Ltd.

　　However, based on the current information, it is not yet possible to determine the details of the case involved in Li Guangsheng, nor whether the case involves Sunway itself.

　　Since 2021, Sunway's stock trading has experienced abnormal fluctuations many times, during which the stock price has risen from about 4.5 yuan/share to 13.88 yuan/share; therefore, Li Guangsheng has also responded to the inquiry letter 5 times. The times are January 19 and March 16, 2022.

　　Specifically, on March 8 and March 9, 2021, the share price of Sunwell shares continued to rise by the limit, and then the share price gradually rose, from 5.4 yuan per share to more than 7 yuan per share; on October 15, 2021, and On the 19th, the stock continued to plummet, and the stock price fell back to around 5 yuan per share; but in just one month, Sunway shares rose by about 30% on November 24, 25 and 26 of the same year, and the stock price was close to 10. Yuan/share.

In 2022, the share price of Sunway shares has approached 14 yuan per share, but after hitting 13.88 yuan per share on January 17, it immediately turned around and the stock price returned to within 9 yuan; on March 11, the stock rose by the limit in late trading. , sounded a new round of rising charge, and the stock price once again exceeded 11 yuan per share in the month.

　　In the face of the 5 stock trading changes of Sunway, Li Guangsheng gave a similar reply: "As the controlling shareholder and actual controller of the company, as of now, there has been no major issue affecting the abnormal fluctuation of the company's stock trading price. Other major information that should be disclosed but not disclosed, including but not limited to major asset restructuring, share issuance, acquisition of listed companies, debt restructuring, business restructuring, asset divestiture and asset injection, etc.

　　Time goes back to November 5, 2021, Sunway shares announced that Li Guangsheng intends to transfer the 68,227,900 shares of Sunway Shares (accounting for 13.20% of the current total share capital of the listed company) held by him by agreement transfer in two times. For Leshan High Investment, the transfer price of the two transactions was 7.03 yuan per share, and the total transfer price was about 480 million yuan.

　　According to the data, Leshan High-Tech Investment was established in 2001 with a registered capital of 5 billion yuan. Its business scope includes construction projects and river sand mining.

At present, Leshan State-owned Assets Investment and Operation (Group) Co., Ltd. holds 100% of the shares of Leshan High Investment, and the actual controller is Leshan State-owned Assets Supervision and Administration Commission.

Through two equity transactions, Leshan High Investment held a total of 68.2279 million shares of Sunway, accounting for 10.98% of the total share capital of the listed company.

　　On January 24, 2022, the transfer registration of the equity transaction between Li Guangsheng and Leshan High-tech Investment was completed. After the above equity changes were completed, Li Guangsheng also directly held 87.7216 million shares of Sunway, accounting for 14.11% of the company's current total share capital.

However, Li Guangsheng owns the voting rights corresponding to 146 million shares of Sunway through entrustment of voting rights, accounting for 23.42% of the current total share capital of the listed company; thus, the total number of shares Li Guangsheng has voting rights in Sunway is 233 million, accounting for 233 million shares of the company. At present, 37.53% of the total share capital, Li Guangsheng is still the controlling shareholder and actual controller of the listed company.

　　Zeng was in danger and was ordered to take charge of the overall situation

　　According to the latest announcement of Sunway, because chairman Li Guangsheng is temporarily unable to perform his duties normally, as recommended by more than half of the directors of the listed company, while Li Guangsheng is unable to perform his duties as chairman, Fang Yong, a director of Sunway, will temporarily perform the duties of chairman on his behalf.

　　Sunway Co., Ltd. further pointed out that the listed company has made proper arrangements for relevant matters. At present, the company's production and operation are not affected, and all work is carried out in an orderly manner.

The board of directors and management of Sunway Co., Ltd. will strengthen operation management to ensure the normal operation of the listed company's business activities, and will continue to pay attention to the progress of the above matters, and strictly comply with the requirements of relevant laws and regulations, and timely perform information disclosure obligations.

　　According to the data, Star Cable was established in July 2003 by Li Guangyuan, who was only 28 years old. The output value in the first year of establishment reached 200 million yuan.

More than five years later, the output value of Star Cable has grown to more than 2 billion yuan. In 2012, the company landed on the Shanghai Stock Exchange and became a "star" in the cable industry.

　　But only one year after the listing, Li Guangyuan was involved in the Guo Yongxiang case.

In October 2013, the board of directors of Star Cable decided to remove Li Guangyuan from the positions of director, chairman and member of the professional committee of the second board of directors.

Affected by the above-mentioned cases, the performance of Star Cable plummeted, and many sales channels were forced to be interrupted.

In 2013, the net profit of Star Cable decreased from 83 million yuan in 2012 to 6.47 million yuan; in 2014, the company's net profit turned from profit to loss, with a loss of 69.2 million yuan.

　　In this context, Li Guangyuan's brother Li Guangsheng was ordered in danger. Li Guangyuan transferred 10% of the company's equity to Li Guangsheng twice, and entrusted him with 15% of the shareholder rights to exercise on his behalf.

In July 2015, Li Guangsheng entered the board of directors of Star Cable and was successfully elected as the chairman, and Star Cable officially entered the era of Li Guangsheng.

　　Before the above-mentioned equity transfer, the actual controller of Star Cable was Li Guangyuan, who held 250 million shares of the company, accounting for 47.98%.

According to the announcement on June 29, 2018, on June 20, Li Guangyuan had signed the "Equity Transfer Agreement" with Li Guangsheng and Sheng Yewu, respectively, to clear the warehouse and exit the position of the actual controller of Star Cable, and Li Guangsheng became the new actual controller.

The above-mentioned equity transfer prices were both 5.22 yuan per share. Li Guangsheng and Shengye generals paid 543 million yuan and 760 million yuan respectively, and the total equity transaction price reached 1.3 billion yuan.

　　Under the management of Li Guangsheng, Star Cable turned losses into profits year-on-year in 2015, achieving a net profit of 3.3028 million yuan.

In November 2018, Star Cable began to actively exert its efforts in the capital market, intending to reshape the image of the listed company, and renamed the listed company "Shangwei Shares".

From 2017 to 2019, Sunway's operating income was 914 million yuan, 1.575 billion yuan and 2.034 billion yuan, respectively, and the net profit reached 16.8832 million yuan, 57.9768 million yuan and 104 million yuan respectively.

　　Li Guangsheng once pointed out that the company's renaming is aimed at promoting the brand upgrading strategy. By 2022, Sunway will achieve sales revenue of 10 billion yuan and enter a 10 billion enterprise.

At the same time, Sunway's employees' comprehensive income will be doubled, becoming a "domestic leading, international first-class" cable company, and moving forward towards the goal of being a leader in the special cable industry.

　　Manipulating the market is not uncommon

　　In the A-share market, Li Guangsheng of Sunway Co., Ltd. is not an isolated case, and it is not uncommon to be suspected of manipulating the securities market.

　　Recently, on the evening of March 11, 2022, Shengxing Co., Ltd. issued an announcement that due to suspected securities market manipulation, Lin Yongxian, one of the actual controllers and chairman of the listed company, received a notice of filing from the China Securities Regulatory Commission.

　　According to public information, Lin Yongxian, born in 1961 (61 years old), is the vice chairman of the 7th Committee of the Metal Container Committee of China Packaging Federation and the vice chairman of the 6th Council of the Fuzhou Foreign Investment Enterprise Association.

October 2007 to September 2010.

Lin Yongxian served as the general manager and chairman of Shengxing (Fujian) Group Co., Ltd.

Since September 2010, Lin Yongxian has served as the chairman and legal representative of Shengxing Co., Ltd.

　　It should be pointed out that during the period from November 10 to November 30, 2021, in the absence of any obvious good news, the share price of Shengxing shares suddenly and continuously increased, and the share price increased by 53.26% in 15 trading days. The turnover reached 4.58 billion yuan.

However, at that time, Shengxing Co., Ltd. made it clear that the filing was a special investigation on Lin Yongxian's involvement in the above-mentioned matters, which had nothing to do with the listed company and would not have a significant impact on the company's daily business activities.

　　On August 7, 2020, Jiahua Energy issued an announcement that because the actual controller and chairman Guan Jianzhong was suspected of manipulating the securities market, the China Securities Regulatory Commission decided to file a case for investigation; on the evening of October 29, 2020, Zhuoyi Technology announced, It was learned from the Ningbo Public Security Bureau that the actual controller of the company, Xia Chuanwu, was arrested on October 28, 2020 by the Ningbo Public Security Bureau on suspicion of the crime of manipulating the securities market.

In March 2021, the factor company accrued an impairment of 350 million yuan to 400 million yuan, and Zhuoyi Technology significantly revised down its 2020 annual results, from a previously estimated loss of 135 million to 170 million yuan, revised to an estimated 2020 net profit loss of 5.2 100 million to 620 million yuan.

　　In October 2020, *ST Zhongqian was suspected of illegal information disclosure, and the China Securities Regulatory Commission decided to file a case against the company; in December of the same year, the China Securities Regulatory Commission opened a case against the actual controller of *ST China, Yang Zhihui, for alleged manipulation of the securities market. At the same time, Yang Zhizhi announced that he resigned from all positions in listed companies such as the director and general manager of *ST China Potential.

　　Half a year later (May 2021), *ST Zhongqian received the "Advance Notice of Administrative Penalty" issued by the Guangdong Securities Regulatory Bureau.

The Guangdong Securities Regulatory Bureau believes that the company's 2019 annual report contains false records due to inflated operating profits and failure to disclose daily operating related transactions as required, which is suspected of violating the relevant provisions of the "Securities Law"; it is planned to order China Diversity to make corrections and give a warning , and imposed a fine of 3.5 million yuan.

Zhang Shun and Yang Zhizhi were warned and fined 2 million yuan respectively.

　　On June 6, 2021, Sansheng Co., Ltd. also received a notification from the family of Pan Xianwen, the controlling shareholder and actual controller, that Pan Xianwen was suspected of manipulating the securities market and was subject to compulsory criminal detention by the Chongqing Public Security Bureau.

In 2021, *ST Jinzhou and Hansen Pharmaceutical issued announcements in September and October respectively. The actual controller of Jinzhou, Zhu Yaowen, and the actual controller of Hansen, Liu Lingan, were suspected of securities market manipulation. The China Securities Regulatory Commission decided to file a case against them. .

　　Regulators crack down

　　Manipulating the securities market is also an illegal and criminal act severely cracked down by the regulatory authorities.

　　On September 24, 2021, the China Securities Regulatory Commission announced the major progress of three market manipulation cases, and relevant personnel suspected of manipulating the stock prices of “Nanling Civil Explosion”, “Jinchuang Group” and “Haozhi Electromechanical” have been arrested and brought to justice. , including Ye Fei who broke the news that Zhongyuan Home was suspected of manipulating the stock price.

Gao Li, a spokesperson for the China Securities Regulatory Commission, said that the market manipulation case investigated and handled this time reflects the gray-black interest chain that colludes with each other, such as manipulating gangs, asset allocation intermediaries, market brokers, and "black mouths" in the stock market. "The key types of violations to be cracked down.

　　On the evening of September 27, 2021, Jinchuang Group announced that the company received a notice from Ge Yaohong, director and general manager, and Hu Limin, director, deputy general manager, and chief financial officer. Notice of Filing a Case", the China Securities Regulatory Commission decided to file a case against the two due to suspected securities market manipulation.

　　In May last year, Haozhi Electromechanical became the focus of attention from all walks of life due to Ye Fei's report on "pseudo market value management".

Afterwards, the Shenzhen Stock Exchange immediately issued a letter of concern to Haozhi Electromechanical, asking for verification of market value management and debt repayment.

　　After that, on September 24 of the same year, Tang Xiuqing’s 9 million shares of Haozhi Electromechanical were frozen. Person, vice chairman and general manager Tang Xiuqing and the company's director, deputy general manager, secretary of the board of directors, and chief financial officer Xiao Yonglin were placed under residential surveillance at a designated location by the Jinhua Public Security Bureau on suspicion of manipulating the securities and futures markets.

On the evenings of January 22 and February 16, 2022, Haozhi Electromechanical announced separately that Xiao Yonglin and Tang Xiuqing received the "Decision on Bail Pending Trial" issued by the Jinhua Public Security Bureau, and decided to release them on bail pending trial.

　　To eradicate the tumor of A-share market manipulation and eliminate the residual bad habit of “being a squatter” in the market, while issuing fines and warning letters, the regulators have already expressed their position many times, and crack down on vicious violations of laws and regulations such as market manipulation in a strict and swift manner.

　　Previously, Li Chao, vice chairman of the China Securities Regulatory Commission, publicly stated that he would continue to improve the legal basis of the capital market, and severely and quickly crack down on vicious violations of laws and regulations, such as fraudulent issuance, financial fraud, and market manipulation in the name of market value management, allowing those who do bad things. People pay a heavy price.

　　Indeed, some have already paid the price.

In May 2019, Wang Yue, the controlling shareholder and actual controller of Yingying Network, was criminally detained by the Shanghai Public Security Bureau on suspicion of manipulating the securities market.

On December 25, 2020, Kaiying Network announced that the incident happened. According to the Shanghai No. 1 Intermediate People's Court, the judgment was as follows: Defendant Wang Yue committed the crime of manipulating the securities market and was sentenced to 5 years and 6 months in prison and a fine. RMB 10 million.