the chairman’s son’s dinner party “leaked” secrets, and 5 people were fined more than 23 million yuan!
2024-09-08
한어Русский языкEnglishFrançaisIndonesianSanskrit日本語DeutschPortuguêsΕλληνικάespañolItalianoSuomalainenLatina
an ordinary high school classmate dinner unexpectedly became a channel for insider information leakage of listed companies, which aroused great concern. what happened?
recently, the zhejiang regulatory bureau of the china securities regulatory commission issued five fines, including ye shengyang, the son of ye mouming, the chairman of shengyang technology, his classmates, and ye mouming's driver.related peoplethe five people were fined together for insider trading in shengyang technology’s stocks, and a total of more than 23 million yuan was fined and confiscated.
this incident not only exposed major flaws in the company’s internal control system, but also revealed loopholes in the company’s internal management.
chairman's son becomes insider
in insider trading, a small number of people have inside information, trade first, and seize more profit opportunities, hoping to make money without anyone noticing.huge profits, its essence is "stealing".
according to the disclosed details, ye shengyang, the son of shengyang technology's chairman, as an insider of the insider information, suggested to three high school classmates to buy and sell shengyang technology stocks at a dinner party. in the end, all four of them and the chairman's driver were fined, with the total amount of fines and confiscations exceeding 23 million yuan.
according to the administrative penalty decision, the formation of insider information began on september 25, 2020, when the then leader of the yuecheng district investment promotion bureau of shaoxing city sent introductory materials about the transportation, communications and information group co., ltd. (hereinafter referred to as "jiaoxin group") to ye mouming, chairman and actual controller of shengyang technology, via wechat, stating that there was a cooperation project and pushed the contact information of the intermediary introducer.
subsequently, the two sides held several rounds of communication. on october 25, 2020, ye mouming, wu mouting, then secretary of the board of directors of shengyang technology, and zhao mou of zhongtian guofu securities co., ltd. went tosend a letterat the fund's shanghai office, discussions were held with yang, general manager of shanghai equity investment fund management co., ltd. of communications, communications and information group (actually controlled by jiaoxin group), and others on the change of control of shengyang technology and asset integration. the two sides then maintained communication.
on november 19, 2020, wu mouting sent a "transaction structure description" via wechat to ye mouming's son, ye shengyang, who was then the general manager and director of shengyang technology, and sent a "communication situation 1119 on the list of materials involved in the acquirer's plan" to the wechat group of ye mouming, ye shengyang and the other three, which involved changes in shareholders' equity and subsequent business cooperation, and also conducted voice calls.
it was not until october 29, 2021 that shengyang technology and jiaoxin group signed a "cooperation intention agreement", intending to purchase 100% of the equity of beijing cccc by issuing shares and paying cash.
on october 30, 2021, shengyang technology issued a "suspension announcement on planning major asset restructuring" regarding the aforementioned matter, disclosing that it was planning to purchase 100% of the equity of beijing zhongjiao held by jiaoxin group by issuing shares and paying cash. the company was suspended from november 1, 2021, and resumed trading on november 15.
the zhejiang regulatory bureau of the china securities regulatory commission stated that shengyang technology purchased 100% of the equity of beijing zhongjiao by issuing shares and paying cash, which was insider information stipulated in article 52 of the securities law before it was made public. the insider information was formed no later than october 25, 2020 and was made public on october 30, 2021. ye mouming, wu mouting, ye shengyang and others were insiders of the insider information. ye mouming and wu mouting knew it no later than october 25, 2020, and ye shengyang knew it no later than november 19, 2020.
"analyzing" company stocks at a classmate dinner
so how did the “dinner party leak” happen? the dinner party between ye shengyang and three classmates became the key channel for the insider information to be leaked.
the penalty decision shows that ye shengyang is an insider of insider information. ye shengyang, shan, cao and yuan moujie are high school classmates and have known each other for many years. the four of them have a wechat group and often play basketball together. from the evening of may 4 to the early morning of may 5, 2021, ye shengyang, shan, cao and yuan moujie had dinner together. during the meal, ye shengyang analyzed shengyang technology and told them that they could buy now and it was up to them to decide whether to buy or not.
afterwards, shan, cao and yuan all bought shares of shengyang technology. ye shengyang knew that shan and yuan had bought shares of shengyang technology and discussed account opening, trading and earnings with shan on wechat.
in the end, all three persons had their illegal gains confiscated and were fined. among them, shan had his illegal gains of 793,700 yuan confiscated and was fined 1,587,300 yuan; cao had his illegal gains of 446,200 yuan confiscated and was fined 800,000 yuan; yuan had his illegal gains of 4,793,800 yuan confiscated and was fined 9,587,700 yuan.
as an insider of the insider information, ye shengyang violated relevant regulations by advising shan, cao, and yuan to buy shengyang technology stocks during the sensitive period of insider information, and was eventually fined 2.5 million yuan.
the chairman's driver also participated in insider trading
in addition to these four classmates, the chairman's driver xu was also involved in the case. xu had known ye's family since childhood. during the period of the case, he was responsible for taking care of ye's family affairs, served as ye's driver, had frequent contact with ye, and served as a manager of shengyang holdings from august 2018 to november 2021. ye went to shanghai on october 25, 2020 to discuss with jiaoxin fund personnel, and went to shanghai on september 21, 2021 to communicate, all of which were driven by xu.
xu's account group has not traded "shengyang technology" stocks for a long time. during the sensitive period of insider information, the account group began to continuously buy through the secondary market in november 2020 and only bought "shengyang technology" stocks. almost all of the funds were purchased after temporary transfer of funds, and the willingness to buy was strong.
the zhejiang regulatory bureau of the china securities regulatory commission stated that during the sensitive period of insider information, xu had contact with ye mingming, an insider of the insider information, and controlled xu's account group to trade "shengyang technology" stocks. the trading activities were highly consistent with the insider information, the trading behavior was obviously abnormal, and he failed to provide a reasonable explanation for the abnormal trading behavior.
the zhejiang regulatory bureau of the china securities regulatory commission decided to confiscate xu's illegal gains of 1.1383 million yuan and impose a fine of 2.2765 million yuan.
shengyang technology's first halfnet incomedown by nearly 50%
according to official website information, shengyang technology was founded in 2003. its predecessor was zhejiang shengyang cable co., ltd. in 2010, it underwent a share restructuring and was renamed zhejiang shengyang technology co., ltd. it was listed on the shanghai stock exchange in april 2015.
the company's products mainly include coaxial cables, data cables, high-frequency heads, small-size display screens and 5g communication base stations. the products are mainly used in various standard signal transmission systems such as television (cable tv, satellite tv), fixed networks, wireless networks, and satellite communications.
shengyang technology's semiannual report shows that in the first half of this year, the company achieved operating income of 357 million yuan, a year-on-year increase of 1.36%; and achieved a net profit attributable to shareholders of 5.1275 million yuan, a year-on-year decrease of 49%, mainly due to the decrease in the amount of government subsidies in this period and the decrease in exchange gains and interest income in this period.
