Controversies

Beijing Junzheng Shareholder Shanghai Shuangchuang Fined and Confiscated About 72.43 Million Yuan for Illegal Share Reduction; Executives Also Receive Regulatory Letters Over Sensitive-Period Trading

A CSRC administrative penalty decision showed that Beijing Junzheng shareholder Shanghai Shuangchuang Investment failed to disclose changes in its shareholding in accordance with law and illegally transferred Beijing Junzheng shares during the restricted transfer period. It was ordered to disgorge illegal gains of 36.4296 million yuan and fined 36 million yuan. In addition, Beijing Junzheng executives Zhang Jin, for trading company shares during a sensitive period, and Zhang Min, whose spouse traded during a sensitive period, each received regulatory letters from the Shenzhen Stock Exchange. Impact and handling: the penalty targets the shareholder and individual executives; Beijing Junzheng itself was not penalized. Progress: administrative penalty. Parties involved: Shanghai Shuangchuang Investment (Beijing Junzheng shareholder) and executives of Beijing Junzheng Integrated Circuit Co., Ltd. Scope: share trading by Beijing Junzheng's shareholder and executives; the listed company itself was not penalized.