Zheng Quan Zhi Xing·2025-09-04 16:20Core Viewpoint - The company, Remote Cable Co., Ltd., is responding to a second round of inquiry from the China Securities Regulatory Commission regarding its application for a specific stock issuance, addressing issues related to past violations of information disclosure regulations and ongoing investor lawsuits [1][3]. Group 1: Company Violations and Penalties - The company failed to timely disclose external guarantees, related party transactions, contingent liabilities, and significant lawsuits, resulting in a warning and a fine of 500,000 yuan from the Jiangsu Regulatory Bureau [3][21]. - The former actual controller of the company, Xia Jiantong, received a warning and a fine of 600,000 yuan for his involvement in these violations [3][21]. - The violations occurred between 2017 and 2019, and the company argues that they do not constitute recent illegal activities within the last three years [3][20]. Group 2: Investor Lawsuits - The company has received one investor lawsuit related to false statements, with the plaintiff seeking compensation of 221,842 yuan for economic losses incurred from purchasing the company's stock based on misleading information [5][20]. - The company has engaged a law firm to handle the lawsuit, which is currently in the evidence exchange phase [6][20]. - The company believes that the statute of limitations for potential claims has expired, as the relevant disclosure violations were publicly known by April 2019 [10][20]. Group 3: Financial Impact and Future Outlook - The company estimates that the maximum potential compensation amount related to the ongoing lawsuit could reach 16.82 million yuan, but asserts that this will not significantly impact its operations or financial status [20][19]. - The company has taken steps to rectify past violations and improve governance, with a new management team in place since the actual controller changed to the Wuxi State-owned Assets Supervision and Administration Commission [21][28]. - The company has reported steady growth in revenue and net profit since 2020, indicating a positive market image and operational stability [28].