LNGF(SZ:002717) Xin Lang Cai Jing·2025-12-18 14:23Core Viewpoint - Lingnan Ecological Cultural Tourism Co., Ltd. has been convicted of bid-rigging, resulting in a fine of 600,000 RMB and prison sentences for two employees [1][10]. Group 1: Legal Issues - The company was found guilty of bid-rigging, with a fine of 600,000 RMB imposed by the Henan Province Tangyin County People's Court [4][5]. - Two employees from the company's subsidiary were sentenced to ten months in prison, with one receiving a fine of 30,000 RMB and the other 25,000 RMB [4][5]. - The case originated from a bidding process for a project worth 96.2265 million RMB, where the employees failed to comply with legal bidding procedures [4][16]. Group 2: Company Response and Compliance - The company believes that this legal issue does not trigger mandatory delisting under the Shenzhen Stock Exchange rules [2][11]. - Lingnan plans to enhance compliance training for its board members and management to prevent future legal issues [2][11]. Group 3: Financial Performance - For the first three quarters of the year, the company reported total revenue of 253 million RMB, a significant decrease of 68.75% year-on-year [9][22]. - The net profit attributable to shareholders was a loss of 206.23 million RMB, reflecting a 23.34% increase in losses compared to the previous year [9][22]. - The company's total assets decreased by 5.16% to approximately 13.62 billion RMB, while equity attributable to shareholders fell by 19.37% [22].