Yuancheng(SH:603388) Xin Lang Cai Jing·2025-12-03 07:32Core Viewpoint - The company *ST Yuancheng is set to be delisted from the Shanghai Stock Exchange on December 5, 2025, due to a continuous market capitalization drop below 500 million yuan for 20 consecutive trading days, triggered by serious financial fraud allegations [1][7]. Group 1: Delisting Decision - *ST Yuancheng received the delisting notice from the Shanghai Stock Exchange on November 28, 2025, after failing to meet market capitalization requirements [1][7]. - The company has been under scrutiny since October 2023 for suspected major violations leading to mandatory delisting [1][7]. - Unlike most delisted companies, *ST Yuancheng will not have a delisting transition period and will directly transfer to the National Equities Exchange and Quotations system [1][7]. Group 2: Financial Fraud Scandal - The company has been found to have engaged in systematic financial fraud over three years, from 2020 to 2022, under the direction of its chairman and actual controller, Zhu Changren [3][9]. - The fraudulent activities included inflating project costs and revenues, resulting in a total inflated operating cost of 158 million yuan, operating income of 209 million yuan, and total profit of 50.46 million yuan [3][9]. - The fraudulent financial data led to a deceptive private placement in 2022, raising 285 million yuan based on false financial statements [3][9]. - The China Securities Regulatory Commission plans to impose a fine of 37.45 million yuan on the company and a total of 42 million yuan on five responsible individuals, including a 10-year market ban for Zhu Changren [3][9]. Group 3: Investor Rights Protection - Investors who suffered losses due to the company's false statements are encouraged to pursue legal action against the company and responsible individuals [4][11]. - Hundreds of investors have already registered for compensation claims, which are being processed in the courts [4][11]. - Eligible investors can claim compensation if they purchased shares between April 15, 2021, and January 30, 2024, or between April 29, 2023, and April 27, 2024, and sold or still hold shares at a loss after specified dates [5][6][11].