Core Points - *ST Hengli has filed a lawsuit against Shenzhen Xutai Accounting Firm for over 38 million yuan in damages due to the firm's failure to conduct the audit in a timely manner, which resulted in the company being unable to disclose its annual report on time [1][4] - The company has faced regulatory scrutiny and has received a notice of termination of listing from the Shenzhen Stock Exchange due to the delay in disclosing its annual report [5] Group 1: Legal Action - The lawsuit was initiated after *ST Hengli received a court notice acknowledging the case against Xutai Accounting Firm and its partners for infringement [1] - The company claims that the accounting firm did not follow the agreed timeline and procedures for the audit, leading to significant financial losses [1][4] - *ST Hengli alleges that the accounting firm exhibited negligence and unprofessional conduct, including the use of unqualified personnel for the audit [3] Group 2: Financial Impact - The delay in the annual report has resulted in a market value loss exceeding 38 million yuan as of April 30, 2025 [1][4] - The company reported a revenue of 70.06 million yuan for the first three quarters of 2024, marking an 18.31% year-on-year increase, but also a significant net loss of 16.21 million yuan [6] - The company anticipates a potential financial delisting scenario if the final annual report shows revenue below 300 million yuan [6] Group 3: Management Changes - Two senior executives have resigned from their positions, citing personal reasons, amidst the ongoing issues with the audit and financial reporting [6] - The company’s main business operations are divided among three subsidiaries, focusing on automotive parts, investment, and trade [6]