Core Viewpoint - The article discusses the upcoming court hearing for Zhongqingbao (300052) regarding investor claims due to false statements made in financial reports from 2019 to 2021, which resulted in inflated revenue and profits [1][2]. Summary by Sections Legal Proceedings - Zhongqingbao has received a subpoena, and the investor compensation case will be heard in Shenzhen Intermediate People's Court on October 28, 2025 [1]. - The law firm, led by attorney Xu Feng, is continuing to accept claims from other investors and has already filed several cases [1]. Financial Misconduct - From 2019 to 2021, Zhongqingbao's subsidiary, Shenzhen Baoteng Internet Technology Co., Ltd., engaged in fictitious business activities that inflated revenue and costs [1]. - Specific financial discrepancies include: - 2019: Revenue inflated by 33.61 million yuan (7.17% of reported revenue), costs inflated by 25.28 million yuan, and profit inflated by 8.33 million yuan (14.96% of reported profit) [2]. - 2020: Revenue inflated by 28.09 million yuan (9.56%), costs inflated by 21.11 million yuan, and profit inflated by 6.98 million yuan (5.45%) [2]. - 2021: Revenue inflated by 17.88 million yuan (5.03%), costs inflated by 25.09 million yuan, and profit reduced by 7.21 million yuan (13.17%) [2]. Investor Claims - Investors who purchased Zhongqingbao shares between January 4, 2024, and July 27, 2024, and sold or held them after July 27, 2024, are eligible to file claims [3]. - Additionally, investors who bought shares between March 27, 2020, and April 29, 2023, and sold or held them after April 29, 2023, can also initiate claims [3]. Related Cases - The article also mentions a similar case involving Huichen Co. (688500), where investors have already seen successful outcomes [3]. - Huichen Co. was found to have inflated revenue and profits through fictitious business dealings and improper revenue recognition, leading to false disclosures in their financial reports [4].
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