ADD(SH:603089) Zheng Quan Zhi Xing·2025-07-18 16:15Core Viewpoint - Zhejiang Zhengyu Industrial Co., Ltd. has not faced any penalties from regulatory authorities in the last five years, but it has received warnings related to performance forecasts and short-term trading violations by a former executive [1][2][5]. Regulatory Actions and Rectification - In the last five years, the company has not been penalized by regulatory authorities or exchanges [1]. - The company received a verbal warning for inaccurate performance forecasts, where the actual net profit for 2020 was reported at 4.34 million yuan, significantly lower than the forecast range of 10.08 million to 24.96 million yuan, representing a decrease of 57% to 83% [1][2]. - The warning was issued to the company and its then-chairman, general manager, board secretary, financial officer, and an independent director for failing to fulfill their duties as per the stock listing rules [2]. - The company has taken corrective measures by enhancing training on stock listing rules and improving internal management to prevent similar issues in the future [2][5]. - A warning letter was issued to the former vice president, Li Zhenhui, for short-term trading violations involving his spouse's trading activities, which included buying 106,300 shares and selling 109,200 shares within a six-month period, constituting a violation of the Securities Law [3][4]. - The short-term trading profits of 23,347 yuan were returned to the company, and Li Zhenhui resigned from his position on May 25, 2020 [4][5]. - The company has communicated these issues to its major shareholders and has emphasized the importance of compliance with securities laws among its executives [5].