触及三年红线 *ST长药步入强制退市通道，监管零容忍无例外

Core Viewpoint - The case of *ST Changyao highlights the severe regulatory environment in the capital market, where continuous financial fraud over three years has led to a lifetime ban for key individuals and an inevitable delisting process for the company [2][3][8]. Group 1: Company Overview - *ST Changyao, originally established in 2001 as Kangyue Technology, transitioned from a photovoltaic equipment manufacturer to a pharmaceutical company in 2020 after acquiring a majority stake in Hubei Changjiang Star Pharmaceutical Co., Ltd [4][5]. - The company reported significant financial irregularities, with a total of 7.33 billion yuan in inflated revenue and 1.68 billion yuan in inflated profits from 2021 to 2023 due to fraudulent activities by its subsidiaries [5][6]. Group 2: Regulatory Actions - The Shenzhen Stock Exchange has initiated a mandatory delisting process for *ST Changyao due to its continuous financial fraud, marking it as the 15th company to face such action in 2023, a record high [2][8]. - The regulatory response includes a fine of 10 million yuan for the company and a total of 31 million yuan in fines for 14 responsible individuals, with the former CEO facing a lifetime ban from the securities market [6][7]. Group 3: Broader Regulatory Trends - The case reflects a broader trend of "zero tolerance" towards financial fraud in the capital market, with new regulations stipulating that companies engaging in financial fraud for three consecutive years will face mandatory delisting [8][9]. - The regulatory framework is evolving to include not only administrative penalties but also civil and criminal liabilities, indicating a comprehensive approach to tackling financial misconduct [6][9]. Group 4: Investor Protection - The China Securities Regulatory Commission (CSRC) is enhancing investor protection mechanisms, requiring major shareholders and actual controllers of delisted companies to take proactive compensation measures [9]. - The implementation of new regulations aims to ensure that even after delisting, companies remain accountable for past fraudulent activities, reinforcing the message that financial misconduct will not be tolerated [9].