Xinjiang Yilu Wanyuan Industrial Investment Holding Co.Ltd(600145) will become the first delisting stock in the year of the tiger!
Xinjiang Yilu Wanyuan Industrial Investment Holding Co.Ltd(600145) 3 announced on March 3 that the company had received the notice and supervision letter issued by Shanghai Stock Exchange. According to the notice, the Shanghai Stock Exchange will make a decision to terminate the listing of the company’s shares in accordance with relevant regulations Xinjiang Yilu Wanyuan Industrial Investment Holding Co.Ltd(600145) shares will be suspended from the opening on March 3, and the Shanghai Stock Exchange will make a decision to terminate the listing of shares within 15 trading days after the suspension of the company’s shares.
In the view of regulators, Xinjiang Yilu Wanyuan Industrial Investment Holding Co.Ltd(600145) major illegal compulsory delisting reflects the determination of regulators to resolutely implement the new delisting regulations and “zero tolerance” for financial fraud, which will become another landmark event to unblock the “export customs” after the reform of delisting system.
financial fraud means are bad
According to the decision on administrative punishment issued by the CSRC, there are false records in the annual reports of Xinjiang Yilu Wanyuan Industrial Investment Holding Co.Ltd(600145) 2018 and 2019, including a false increase of operating income of 133854 million yuan in 2018, accounting for 100% of the operating income of the current year; Falsely increased the operating revenue of 2019 by 5.7236 million yuan, accounting for 55.13% of the operating revenue of the current year.
It can be seen from the inquiry that Xinjiang Yilu Wanyuan Industrial Investment Holding Co.Ltd(600145) ‘s means of counterfeiting are extremely bad. In 2018, Xinjiang Yilu Wanyuan Industrial Investment Holding Co.Ltd(600145) signed an iron concentrate sales contract with Axin commerce and trade and an iron concentrate purchase contract with Sibei investment, based on which an operating revenue of 133854 million yuan was recognized. Both the actual controller of Axin commerce and the shareholder of Sibei investment are he, a good friend of Huang Wei, the actual controller of Xinjiang Yilu Wanyuan Industrial Investment Holding Co.Ltd(600145) company.
Upon verification by the regulatory authorities, Xinjiang Yilu Wanyuan Industrial Investment Holding Co.Ltd(600145) in the process of trade business, did not obtain the control right of relevant commodities, the relevant funds circulated among the company, suppliers and customers to form a closed loop, and the relevant sales contracts did not have commercial substance and did not meet the conditions for revenue recognition in the accounting standards.
In 2019, Xinjiang Yilu Wanyuan Industrial Investment Holding Co.Ltd(600145) again signed a sales contract with Mr. He’s Axin commerce and trade and Sibei investment, falsely increasing the operating revenue by 2.2166 million yuan. In addition, Xinjiang Yilu Wanyuan Industrial Investment Holding Co.Ltd(600145) in 2019, a new way of counterfeiting was added, and the property management income of 2.297 million yuan was recognized through sun company dingshengyuan under the condition that it did not actually provide property management services, did not confirm the cost of property services, and did not actually obtain cash inflow.
During the audit in 2020, Xinjiang Yilu Wanyuan Industrial Investment Holding Co.Ltd(600145) also signed a rent credit agreement with relevant parties. When the relevant parties did not actually lease the real estate, manage the sublease or receive the Sublease Rent, and the relevant debts were not offset, Xinjiang Yilu Wanyuan Industrial Investment Holding Co.Ltd(600145) falsely increased the operating income by 1.3 million yuan.
The decision on administrative punishment points out that Xinjiang Yilu Wanyuan Industrial Investment Holding Co.Ltd(600145) after deducting the falsely increased operating income, the operating income in 2018 and 2019 was less than 10 million yuan for two consecutive years. Combined with the company’s operating income of 3.4587 million yuan in 2020, the company’s actual operating income for three consecutive years from 2018 to 2020 was less than 10 million yuan, which has touched on major illegal delisting.
malicious financial fraud has long been a harbinger
In retrospect, Xinjiang Yilu Wanyuan Industrial Investment Holding Co.Ltd(600145) main business has weak sustainable operation ability and poor standardized operation. The audit opinions of annual reports over the years are non-standard opinions such as qualified opinions. The accountants questioned the authenticity of the company’s income, occupation of funds by related parties, sustainable operation ability and other matters.
Since 2015, Xinjiang Yilu Wanyuan Industrial Investment Holding Co.Ltd(600145) and relevant responsible persons have been administratively punished by the CSRC for three times and disciplined by the Shanghai stock exchange for five times. Violations include failure to disclose regular reports such as 2018 and 2019 annual reports within the statutory time limit, and non disclosure of major events such as major debts, related party transactions and related party guarantees.
At present, Huang Wei, the actual controller of Xinjiang Yilu Wanyuan Industrial Investment Holding Co.Ltd(600145) has been banned from the market, and Tacheng Public Security Bureau has filed a case for investigation on the crime of Xinjiang Yilu Wanyuan Industrial Investment Holding Co.Ltd(600145) and Huang Wei suspected of illegal disclosure or non disclosure of important information.
Reading Xinjiang Yilu Wanyuan Industrial Investment Holding Co.Ltd(600145) previous announcements, we can see that the authenticity of the company’s income has long been suspicious. In 2018 and 2019, Xinjiang Yilu Wanyuan Industrial Investment Holding Co.Ltd(600145) disclosed an operating revenue of slightly more than 10 million yuan, which just met the needs of shell preservation.
From the audit opinion of the annual financial report, Xinjiang Yilu Wanyuan Industrial Investment Holding Co.Ltd(600145) 2018 annual report has been issued with an audit report that cannot express an opinion, involving many accounting subjects of the company. Subsequently, the company hired Shenzhen Tangtang Certified Public Accountants (hereinafter referred to as “Shenzhen Tangtang”) as the annual audit institution, and the annual reports of 2019 and 2020 were issued with qualified audit reports.
Shenzhen Tangtang was subsequently inspected by the CSRC and found many practice problems. In January 2022, the CSRC announced that it planned to impose an administrative penalty of “six penalties for every one” on Shenzhen Tangtang, and the suspected crime of relevant subjects would be transferred to the public security organ. The reason was related to the audit of Xinjiang Yilu Wanyuan Industrial Investment Holding Co.Ltd(600145) previous annual reports.
The CSRC found out that Shenzhen Tangtang, knowing that the audit business of Xinjiang Yilu Wanyuan Industrial Investment Holding Co.Ltd(600145) annual report had been “rejected” by other accounting firms, signed an agreement with Xinjiang Yilu Wanyuan Industrial Investment Holding Co.Ltd(600145) and promised not to issue “unable to express opinions” or “negative opinions” in the audit report, and required Xinjiang Yilu Wanyuan Industrial Investment Holding Co.Ltd(600145) to be compensated if it was punished by the regulatory authorities.
At present, Xinjiang Yilu Wanyuan Industrial Investment Holding Co.Ltd(600145) after being urged by the regulatory authorities for many times, has not yet hired the 2021 audit institution.
regulators have previously sent letters to remind risks
The Shanghai Stock Exchange has paid close attention to Xinjiang Yilu Wanyuan Industrial Investment Holding Co.Ltd(600145) for a long time, and has sent letters frequently before. Since 2018, the Shanghai Stock Exchange has sent about 50 inquiry letters to Xinjiang Yilu Wanyuan Industrial Investment Holding Co.Ltd(600145) including about 10 inquiry letters on the post audit of periodic reports, repeatedly reminding the market that there are significant risks in the authenticity of the company’s business and capital transactions.
According to the analysis of insiders, the regulatory authorities have sent letters many times, which is not only to fulfill the obligation of supervising the problem company, but also to continuously remind investors of the risks of the problem company, so that all parties in the market have a psychological preparation for the explosion of the problem company.
As of February 26, 2022, Xinjiang Yilu Wanyuan Industrial Investment Holding Co.Ltd(600145) has sounded the delisting alarm 18 times. On October 23, 2021, Xinjiang Yilu Wanyuan Industrial Investment Holding Co.Ltd(600145) announced that it had received the advance notice of administrative punishment, which showed that the company may have a major illegal delisting with an operating income of less than 10 million yuan in three years. Since then, Xinjiang Yilu Wanyuan Industrial Investment Holding Co.Ltd(600145) according to the relevant provisions of the stock listing rules, disclose the risk warning announcement that the listing may be terminated in case of major illegal compulsory delisting every five trading days.
Today, investors who have not yet exited Xinjiang Yilu Wanyuan Industrial Investment Holding Co.Ltd(600145) have 15 trading days of delisting and finishing trading opportunities. According to relevant rules, Xinjiang Yilu Wanyuan Industrial Investment Holding Co.Ltd(600145) after receiving the decision on administrative punishment, the trading of the company’s shares shall be suspended, and the Shanghai Stock Exchange will make a decision to terminate the listing in accordance with the regulations. Since then, for investors who need to exit before the delisting of the company, the rules give 15 trading days of delisting and consolidation period trading opportunities, and the delisting will be officially delisted at the expiration of the period.
