Core Viewpoint - The company, Guorong Securities, is facing significant regulatory scrutiny due to repeated violations in its bond underwriting business, particularly related to the same project involving Sanding Holdings Group. This has led to penalties and potential impacts on its classification evaluation, which could affect its operational capabilities in the competitive bond underwriting market [1][2][5][12]. Group 1: Regulatory Penalties - Guorong Securities has recently received three penalties related to its Yiwu Xinke Road branch, followed by a warning letter from the Zhejiang Securities Regulatory Bureau concerning its bond underwriting business [2][12]. - This is the second time Guorong Securities has faced penalties for the same bond project with Sanding Holdings, with previous violations dating back to 2019 for failing to supervise the use of raised funds and information disclosure [5][6]. Group 2: Compliance Issues - The company has been criticized for its inadequate compliance system in bond business, particularly in due diligence and report verification, which has led to regulatory actions [5][12]. - Historical issues include the fraudulent issuance of bonds based on inflated financial statements from 2016-2017, resulting in significant defaults and the eventual bankruptcy of Sanding Holdings [6][12]. Group 3: Impact on Business Operations - Regulatory penalties result in a deduction of 0.5 points in the company's classification evaluation, which could significantly impact its business qualifications and operational advantages in the bond underwriting market [12][13]. - The company is required to submit a rectification report within ten working days, and the effectiveness of its corrective measures remains to be seen, posing a challenge for similar mid-sized securities firms balancing business expansion and compliance [13].