Under the strong supervision situation, many actual controllers of listed companies have been punished during the year. According to the statistics of “Economic Information Daily” reporters, as of June 9, a total of 44 listed companies’ actual controllers have been punished for violations, and 6 listed companies’ actual controllers have been investigated by the Securities Regulatory Commission. In addition, many companies have disclosed actual control Announcement of criminal penalties for individuals, and the reasons include suspected short-term trading, insider trading, letter violations, etc. Since the beginning of this year, supervision has frequently mentioned cracking down on market violations, and supervision of actual controllers of listed companies has become a top priority. Industry insiders pointed out that the actual controller has a huge impact on listed companies. Strengthening the supervision of the actual controller will have a leveraging effect on corporate governance and the degree of regulation, while effectively protecting the rights and interests of small and medium investors.
Intensive fines for actual controllers of listed companies
Since June 7th, the number of listed companies in which actual controllers have been investigated and detained has reached 6 .
On June 9, *ST Lions issued an announcement stating that one of the company’s actual controllers and chairman Chen Lewu received from the China Securities Regulatory Commission on June 7. Guangxi Supervision Bureau “Administrative Penalty Decision”. Prior to this, on January 13, Chen Lewu had also been investigated by the China Securities Regulatory Commission for allegedly leaking inside information.
On the same day, ST Zhongchang announced that Chen Jianming, the actual controller of the company, had recently received the Securities Regulatory Commission’s “Market Prohibition Decision” for reasons including controlling the use of 101 securities accounts , Taking advantage of capital and shareholding advantages to continuously and centrally trade “Zhongchang Data”, affecting its transaction price, etc. ST Huayi’s announcement also showed that on June 8, the company and related parties received the “Administrative Penalty Decision” and “Market Prohibition Decision” from the Zhejiang Regulatory Bureau of the China Securities Regulatory Commission. Fucheng shares announced on June 8 that Li Fucheng, the actual controller of the company, received a notice of investigation by the Securities Regulatory Commission.
In addition to administrative penalties and market bans, some actual controllers of listed companies have been criminally detained by relevant departments for manipulation of the securities market and use of entrusted assets. . On the evening of June 7, Hongda announced that it had received a letter from Sichuan Hongda Industrial, the controlling shareholder that day, that Liu Canglong, the actual controller of Hongda, was recently taken criminal detention by the Chengdu Public Security Bureau on suspicion of breaching trust in the use of entrusted property. On the evening of June 6, Sansheng issued an announcement that Pan Xianwen, the company’s controlling shareholder and actual controller, was taken criminal detention by Chongqing Public Security Bureau on June 1, 2021 for being suspected of manipulating the securities market.
This is also reflected in the capital market. On June 7, the announcement on the actual accuser’s detention was issued the following day.Saint shares plunged 9.94%; on June 8, Hongda shares and Fucheng shares fell more than 5% after the announcement. On June 9, *ST Lions closed down 0.53%.
In fact, there are not a few cases where actual controllers of listed companies have been punished by supervision during the year. According to the statistics of Fung Huashun, a reporter from the Economic Information Daily showed that as of June 9th, a total of 44 listed companies’ actual controllers had been punished for violations of regulations during the year, and 6 listed companies’ actual controllers were investigated by the China Securities Regulatory Commission. The reasons include suspected short-term trading and insider information. Violation of transaction and information disclosure, etc. In addition, many companies disclosed the criminal punishment announcements of the actual controller: Huamin shares actual controller Lu Jianzhi was detained on suspicion of accepting bribes; Zangge Holding’s actual controller Xiao Yongming was criminally detained by the Qinghai Provincial Public Security Bureau on suspicion of illegal mining Compulsory measures: Zhou Dehong, the controlling shareholder, actual controller and chairman of Baoli International, was taken by the prosecutors to take compulsory criminal detention measures on suspicion of bribery by the unit.
The Securities Regulatory Commission has repeatedly advocated to strengthen the supervision of actual controllers
Since the beginning of this year, the supervisory authorities have frequently mentioned cracking down on market violations. The supervision of the controller has become a top priority.
The China Securities Regulatory Commission stated in the “Reply to Proposal No. 3070 of the Third Session of the Thirteenth CPPCC National Committee” on February 26 that the actual controller was The company has an important influence and is a “key minority” in the company’s standardized and honest operation. It is of great significance to strengthen the legal responsibility of the actual controller.
On May 22, Yi Huiman, Chairman of the China Securities Regulatory Commission, stated at the Seventh General Meeting of the Securities Industry Association of China that it is necessary to further optimize the equity structure based on the previous work , Clarify the qualifications of shareholders, regulate shareholder behavior, and ensure that shareholders are not absent, in a good position, and are not offside. According to the principle of “substance is more important than form”, the supervisory department will strengthen shareholder penetration management and strengthen the supervision of actual controllers.
On May 16, the China Securities Regulatory Commission issued a document stating that it will continue to maintain a “zero tolerance” attitude towards illegal market manipulations and other violations, and will crack down on those who act recklessly and evade supervision. All kinds of market manipulation behaviors will be thoroughly investigated and punished by public security organs in accordance with the law for listed companies and actual controllers, private equity funds, public equity funds and other related institutions and individuals that engage in or participate in them.
Fu Lichun, an economist and founding partner of Yuntai Capital, told the reporter of “Economic Information Daily” that the actual controller has a huge impact on listed companies and should deal with the company’s small and medium shareholders. Investor wealthTo fulfill more obligations and responsibilities, but at present, many actual controllers have not completed such a role change, lack responsibilities for small and medium investors, and are not standardized enough in some practices. In addition, the current restrictions on actual controllers of listed companies are still relatively indirect, and their compulsory influence is not sufficient. As a result, there have been some cases of actual controllers damaging the rights and interests of small and medium investors.
In Fu Lichun’s view, with the tightening of supervision and the gradual improvement of relevant laws and regulations, listed companies have gradually matured, and the actual controllers of listed companies will be further restricted and regulated. Will become a big trend. Putting the focus of supervision on the actual controller can also greatly improve the corporate governance status and the degree of standardization. At the same time, strengthening the supervision of actual controllers can also have a leveraging effect on the company as a whole, and the policy will be more efficient, thereby effectively protecting the rights and interests of small and medium investors.
(The original title is “Zero Tolerance” Severely Cracking Down on Violations of Laws and Regulations, Many Listed Companies Actually Controllers Are Punished”)