CDT(SZ:300344) 券商中国·2025-11-28 12:49Core Viewpoint - The China Securities Regulatory Commission (CSRC) has issued administrative penalties and market bans against Lifan Shuke Co., Ltd. for falsifying financial data in its periodic reports, marking a significant step in the crackdown on financial fraud in the capital market [1][3][6]. Summary by Sections Administrative Penalties - Lifan Shuke has been found to have inflated its revenue and costs for three consecutive years, violating securities laws. The CSRC plans to impose a fine of 10 million yuan on the company and a total of 30 million yuan on 10 responsible individuals [1][3]. Financial Data Manipulation - From 2021 to 2023, Lifan Shuke inflated its revenue by a total of 638 million yuan and costs by 628 million yuan through various fraudulent activities. The breakdown includes 280 million yuan in revenue and 277 million yuan in costs for 2021, 312 million yuan in revenue and 305 million yuan in costs for 2022, and 46 million yuan in revenue and 45 million yuan in costs for 2023 [3][4]. Regulatory Response - The CSRC has initiated an investigation into Zhongxing Caiguanghua Accounting Firm for failing to perform due diligence, indicating a shift towards holding intermediary institutions accountable alongside companies committing fraud [2][4]. Broader Implications - This case represents a growing trend in the capital market, with Lifan Shuke being the 14th company this year facing potential delisting due to serious violations. The increase in such cases is attributed to stricter regulations and a zero-tolerance policy towards financial fraud [6][7]. Systematic Approach to Fraud - The regulatory framework now includes a combination of administrative penalties, market bans, criminal referrals, delisting procedures, and accountability for intermediaries, creating a comprehensive deterrent against financial fraud [2][7]. Recommendations for Improvement - Experts suggest enhancing the accountability of intermediary institutions and establishing a more robust mechanism for investor compensation, as well as improving the connection between administrative enforcement and criminal justice to strengthen deterrence against financial fraud [5][7].