On the evening of May 18, Jiangsu Chengxing Phosph-Chemical Co.Ltd(600078) announced that Li Xing, the actual controller of the company, was criminally detained by Jiangyin Public Security Bureau on suspicion of refusing to execute the judgment and ruling.
On the same day, the company’s share price suddenly fell by the limit in large quantities after rising for two consecutive days, closing at 9.62 yuan per share, with the latest market value of 6.374 billion yuan.
actual accuser in criminal detention
According to the announcement, on May 18, the company received a notice from the family of Li Xing, the actual controller. Li Xing’s family received the detention notice from Jiangyin Public Security Bureau on May 17 about Li Xing, the actual controller of the company, who was suspected of refusing to execute the judgment and ruling. Now Li Xing is detained in Jiangyin detention center.
The announcement also said that Li Xing does not hold any position in the company, and the above matters do not have a significant impact on the company’s daily production and operation activities. The board of directors of the company will continue to pay attention to the progress of the above events and fulfill the obligation of information disclosure in a timely manner.
the annual report of 6 Guangdong Xinhui Meida Nylon Co.Ltd(000782) 021 shows that during the reporting period, Li Xing was executed for breach of trust.
According to the annual report, Li Xing, born in 1953, has a college degree and is a senior economist. He is now the chairman and President of the board of directors of Chengxing group. He also serves as the chairman of Petrochina Company Limited(601857) and the working committee of small and medium-sized enterprises of Chemical Industry Association. From September 2006 to October 2018, he served as the chairman of Jiangsu Chengxing Phosph-Chemical Co.Ltd(600078) group.
Li Xing has been on the Forbes China rich list for many times.
According to public information, Jiangsu Chengxing Phosph-Chemical Co.Ltd(600078) is mainly engaged in the production and sales of fine phosphorus chemical products such as yellow phosphorus, phosphoric acid and phosphate. At present, Li Xing is the chairman of the board of directors and President of Jiangsu Chengxing industrial group. From December 1998 to September 2001, he was also the chairman of Jiangsu Chengxing Phosph-Chemical Co.Ltd(600078) board.
On December 7 last year, Jiangsu Chengxing Phosph-Chemical Co.Ltd(600078) and Chengxing industrial group received the notice of filing a case from the CSRC on the same day. Due to the suspected violation of information disclosure, according to relevant laws and regulations, the CSRC decided to file a case against Jiangsu Chengxing Phosph-Chemical Co.Ltd(600078) and Chengxing industrial group.
share price fell unexpectedly
According to the data of China Securities Taurus, after a wave of continuous decline in the early stage, the Jiangsu Chengxing Phosph-Chemical Co.Ltd(600078) trend stabilized and rose sharply again this week, and the trading limit rose continuously on May 16 and 17.
But unexpectedly, on May 18, Jiangsu Chengxing Phosph-Chemical Co.Ltd(600078) opened lower all the way and finally fell to the limit. As of the closing, the company’s share price was reported at 9.62 yuan per share, down 5.03%, and the transaction was enlarged to 286 million yuan.
This st stock covered with “Star” and applied for bankruptcy and reorganization by creditors, the company performed extremely crazy last year, becoming a big bull stock with unlimited scenery, with a cumulative limit of up to 70 times. After the share price hit a low of 1.86 yuan on May 21 last year, it rose to 14.29 yuan at one time, with a range increase of 668%.
Since the end of January this year, Jiangsu Chengxing Phosph-Chemical Co.Ltd(600078) has continued to rise sharply again, and staged a limit tide again, with a cumulative harvest of 12 limits in 15 days. But since then, the company’s share price has fallen continuously.
controlling shareholders account for more than 2.2 billion yuan
According to the data, at present, Chengxing industrial group, the controlling shareholder, holds a total of 6 Guangdong Xinhui Meida Nylon Co.Ltd(000782) 578% equity. By the end of December 2021, Chengxing industrial group and related parties still had a total capital principal and interest of 2.239 billion yuan, which has not been returned yet.
On November 5, 2021, Jiangyin construction and decoration products factory, the creditor of the company, applied to Wuxi intermediate people’s court for reorganization of the company on the ground that Jiangsu Chengxing Phosph-Chemical Co.Ltd(600078) could not pay off the due debts and the assets were insufficient to pay off all the debts. After that, Jiangsu Chengxing Phosph-Chemical Co.Ltd(600078) applied to the court for reconciliation and obtained approval. Finally, the two sides signed a settlement agreement and obtained the ruling and approval of Wuxi intermediate people’s court. On April 28, the civil ruling made by Wuxi intermediate people’s Court confirmed that the implementation of the settlement agreement was completed.
On May 18, Jiangsu Chengxing Phosph-Chemical Co.Ltd(600078) issued the reply announcement of the inquiry letter on Jiangsu Chengxing Phosph-Chemical Co.Ltd(600078) bankruptcy settlement and other related matters of Shanghai Stock Exchange Jiangsu Chengxing Phosph-Chemical Co.Ltd(600078) said that as of December 30, 2021, the company had not solved the non operational occupation of capital by the controlling shareholder Chengxing group and its related parties, with a total principal and interest of about 2.239 billion yuan. Chengxing group was unable to repay the above-mentioned funds, but if the occupation of such capital was not solved, the company would be delisted.
The company said that the draft settlement agreement provides an effective solution to the above problems. If the draft settlement agreement can be implemented smoothly, the above capital occupation problems will be solved to ensure that the interests of the company will not be lost, improve the debt performance ability of the company and protect the rights and interests of small and medium-sized investors of the company.
