Securities code: 600918 securities abbreviation: Zhongtai Securities Co.Ltd(600918) Announcement No.: 2022-005
Zhongtai Securities Co.Ltd(600918)
Announcement on litigation matters of the company
The board of directors and all directors of the company guarantee that there are no false records, misleading statements or major omissions in the contents of this announcement, and bear individual and joint liabilities for the authenticity, accuracy and completeness of its contents. Recently, Zhongtai Securities Co.Ltd(600918) (hereinafter referred to as “the company”) received the civil complaint served by the Beijing Financial court, and now the relevant information is announced as follows:
1、 Basic information of this lawsuit
(I) litigants
Plaintiff: 2000 securities investors including Shanghai Junying asset management partnership (limited partnership)
Litigation representatives: Wang Jing, Liu Guoliang, Lu Ming
The plaintiffs jointly entrust litigation agents: Zang Xiaoli and Liu Yun, lawyers of Beijing Shize law firm, song Yixin and Li Hao, lawyers of Shanghai hanlian law firm
Defendant: LETV information technology (Beijing) Co., Ltd. (hereinafter referred to as “LETV”) and 14 natural persons such as Jia Yueting, three securities companies such as the company and three accounting firms
(II) claims
1. Order LETV to pay the plaintiff infringement compensation for investment losses caused by false statements (including investment balance loss, stamp duty, commission and interest), totaling RMB 4571357198.00;
2. Order 20 defendants other than LETV to bear joint and several liability for the above losses of the plaintiff;
3. It is ordered that the above-mentioned 21 defendants shall jointly bear all the litigation costs of the case.
(III) facts and reasons of litigation
LETV was listed on A-Shares of Shenzhen Stock Exchange on August 12, 2010 and delisted on Shenzhen Stock Exchange on July 21, 2020. After delisting, it will be transferred to the National SME share transfer system, stock abbreviation: LETV 3, stock code: 400084. On April 2, 2021, Beijing Securities Regulatory Bureau issued the decision on administrative punishment, which determined that LETV had illegal acts such as false statements, and imposed administrative punishment on 15 defendants such as LETV and Jia Yueting.
In this lawsuit, the misrepresentation of facts mainly involves LETV’s initial public offering and listing in 2010, relevant documents, annual reports from 2010 to 2016, non-public offering projects in 2016, etc. As a secondary market investor of LETV, the plaintiff believed that LETV’s misrepresentation caused damage to its rights and interests, and asked LETV to bear civil liability for misrepresentation infringement; Jia Yueting and other 14 natural persons shall bear joint and several liability for compensation as persons responsible for false statements; The company and other three securities companies and three accounting firms are jointly and severally liable for failure to exercise due diligence and fail to find the financial fraud of LETV.
2、 Impact of this lawsuit on the company
The company is one of the co lead underwriters of LETV’s non-public offering of shares in 2016 and is not a sponsor. As the above-mentioned cases have not yet been heard, and the final amount involved is uncertain, the company cannot judge the impact on the profits of the current period or after the period. The company’s current financial situation is stable and its operation is normal. The company will actively respond to the lawsuit according to law and timely perform the obligation of information disclosure on the progress of the case according to relevant regulations. Please pay attention to the investment risk.
It is hereby announced.
Zhongtai Securities Co.Ltd(600918) board of directors January 17, 2022
