Recently, the Guizhou Regulatory Bureau of the China Securities Regulatory Commission issued an administrative penalty and advance notice on Guizhou Bailing Enterprise Group Pharmaceutical Co., Ltd. for allegedly reporting false records of financial data on a regular basis and a market ban. After investigation, Guizhou Bailing did not confirm current sales expenses based on the accrual system and according to the principle of revenue-cost ratio. As a result, sales expenses were underestimated from 2019 to 2021, cumulative inflated profit of 655 million yuan, increased sales expenses in 2023, and reduced profit of 459 million yuan. In response to Guizhou Bailing's financial fraud over the years and serious violations of securities laws and regulations, the Guizhou Securities Regulatory Bureau plans to order corrections, give a warning, and fine of 10 million yuan; it plans to give a warning to Jiang Wei and 10 other responsible persons and impose a total fine of 15.6 million yuan. At the same time, it plans to ban Jiang Wei from entering the securities market for 10 years. Financial fraud is a cancer that seriously undermines the “three public” principle of the market and infringes on the legitimate rights and interests of investors. The Guizhou Securities Regulatory Bureau will resolutely implement the decisions and arrangements of the Party Committee of the Securities Regulatory Commission, focus on improving the effectiveness and deterrent power of supervision and enforcement, adhere to the clear position of “zero tolerance” against financial fraud, focus on fighting big, evil, and focus on “key minorities” such as actual controllers, controlling shareholders, directors, executives, etc., and “gatekeepers” of intermediaries, strictly enforcing the law and impartially enforcing the “long teeth” and angle, and resolutely ensure that the supervision is “prickly” and angular, to protect the stability and stability of the Guizhou capital market with strong and firm enforcement.

Recently, the Guizhou Regulatory Bureau of the China Securities Regulatory Commission issued an administrative penalty and advance notice on Guizhou Bailing Enterprise Group Pharmaceutical Co., Ltd. for allegedly reporting false records of financial data on a regular basis and a market ban. After investigation, Guizhou Bailing did not confirm current sales expenses based on the accrual system and according to the principle of revenue-cost ratio. As a result, sales expenses were underestimated from 2019 to 2021, cumulative inflated profit of 655 million yuan, increased sales expenses in 2023, and reduced profit of 459 million yuan. In response to Guizhou Bailing's financial fraud over the years and serious violations of securities laws and regulations, the Guizhou Securities Regulatory Bureau plans to order corrections, give a warning, and fine of 10 million yuan; it plans to give a warning to Jiang Wei and 10 other responsible persons and impose a total fine of 15.6 million yuan. At the same time, it plans to ban Jiang Wei from entering the securities market for 10 years. Financial fraud is a cancer that seriously undermines the “three public” principle of the market and infringes on the legitimate rights and interests of investors. The Guizhou Securities Regulatory Bureau will resolutely implement the decisions and arrangements of the Party Committee of the Securities Regulatory Commission, focus on improving the effectiveness and deterrent power of supervision and enforcement, adhere to the clear position of “zero tolerance” against financial fraud, focus on fighting big, evil, and focus on “key minorities” such as actual controllers, controlling shareholders, directors, executives, etc., and “gatekeepers” of intermediaries, strictly enforcing the law and impartially enforcing the “long teeth” and angle, and resolutely ensure that the supervision is “prickly” and angular, to protect the stability and stability of the Guizhou capital market with strong and firm enforcement.