CDT(SZ:300344) Zhong Guo Zheng Quan Bao·2026-02-14 13:09Core Viewpoint - *ST Lifan has been found guilty of significant financial misconduct, including inflated revenue and costs over three consecutive years, leading to severe penalties and potential delisting from the stock exchange [1][4]. Group 1: Financial Misconduct - *ST Lifan inflated its revenue and costs through agency business, financing trade, and false trade, resulting in false disclosures in annual reports from 2021 to 2023 [2][4]. - In 2021, the company inflated its revenue by 280 million yuan, accounting for 50.09% of that year's revenue, and inflated costs by 277 million yuan, which was 60.61% of the total costs [2]. - In 2022, the inflated revenue was 312 million yuan, representing 51.67% of the annual revenue, and inflated costs were 305 million yuan, or 53.54% of total costs [2]. - In 2023, the inflated revenue was 45.87 million yuan, making up 24.00% of that year's revenue, and inflated costs were 45.23 million yuan, which was 27.55% of total costs [2]. Group 2: Regulatory Actions - The Anhui Securities Regulatory Bureau has ordered *ST Lifan to correct its practices, issued a warning, and imposed a fine of 10 million yuan [3]. - The company has received a notice from the Shenzhen Stock Exchange regarding the potential termination of its stock listing due to the significant financial misconduct [4]. - The company has been warned about the risk of delisting, as the inflated revenue over two years exceeded 500 million yuan, which is more than 50% of the reported annual revenue for those years [4][5]. Group 3: Audit and Accountability - The accounting firm Zhongxing Caiguanghua has been placed under investigation for its role in the financial misconduct, indicating a broader accountability for the auditing process [6]. - The company plans to change its auditing firm to Younit Zhenqing Certified Public Accountants for the 2025 financial report, moving away from Zhongxing Caiguanghua [7]. - The 2024 internal control report from Zhongxing Caiguanghua received a negative opinion, highlighting ongoing issues with the company's financial practices [8].