CDT(SZ:300344) Xin Lang Cai Jing·2025-11-30 11:33Core Viewpoint - The investigation into ST Lifan's financial fraud case has led to the formal investigation of the accounting firm Zhongxing Caiguanghua by the China Securities Regulatory Commission (CSRC), marking a significant case in the A-share market where both the listed company and its intermediary are being penalized simultaneously [1][2]. Group 1: Financial Fraud Details - From 2021 to 2023, Lifan Shuke inflated its revenue by 638 million yuan and costs by 628 million yuan through various fraudulent activities [2]. - In 2021, the inflated revenue and costs were 280 million yuan and 277 million yuan, respectively; in 2022, they were 312 million yuan and 305 million yuan; and in 2023, they were 46 million yuan and 45 million yuan [2]. - The Anhui Securities Regulatory Bureau plans to impose a fine of 10 million yuan on Lifan Shuke and a total of 30 million yuan on 10 responsible individuals [2]. Group 2: Impact on Accounting Firm - Zhongxing Caiguanghua, established in 1983, ranks 29th among 105 accounting firms in the latest evaluation, with a revenue of 131.37 million yuan and 805 registered accountants [3]. - The firm has faced multiple regulatory penalties in the past for failing to exercise due diligence in audits, including a fine of 9.25 million yuan related to a previous case [3]. Group 3: Regulatory Environment and Industry Response - The case highlights systemic risks in the auditing industry due to conflicts of interest and regulatory lag, prompting calls for a shift from individual case penalties to institutional prevention measures [4]. - Experts suggest enhancing regulatory and punitive measures, improving audit independence, and promoting information sharing and public oversight to strengthen accountability in the auditing sector [4][5]. - In 2024, the CSRC plans to hold various intermediary institutions accountable for negligence, with a total of 673 million yuan in fines imposed on multiple firms [5].