*ST Xingnong Faces Proposed Penalties for Suspected Financial Fraud

MaticHoleFiller · 2026-03-21T00:17:54+00:00

*ST Xingnong was penalized by the Zhejiang Securities Regulatory Bureau for false financial reports, with artificially inflated operating revenue of 40.7274 million yuan and profits of 5.2895 million yuan. Investors can seek compensation through legal channels, with an estimated fine of 2.5 million yuan. The company's main business involves research and development and sales of agricultural machinery.

MaticHoleFiller

2026-03-21 00:17:54

Abstract generation in progress

*ST Xingnong received the “Notice of Administrative Penalty Prior Notification” (Zhejiang Penalty [2026] No. 3) issued by the Zhejiang Securities Regulatory Bureau on March 17, 2026.

Upon investigation, the suspected illegal facts are as follows: In 2023, *ST Xingnong’s wholly owned subsidiary Xingguang Zhiyuan engaged in false cotton harvesting, consulting services, promotional services, and other businesses. The company artificially inflated its operating income by 60.7274 million yuan, accounting for 19.69% of the disclosed operating income for that period; inflated total profits by 5.2895 million yuan, accounting for 9.77% of the absolute value of the disclosed profits for that period, leading to false records in the 2023 annual report.

It is understood that if the China Securities Regulatory Commission (CSRC) conducts an investigation and ultimately imposes administrative penalties on *ST Xingnong, investors who bought between April 30, 2024, and September 26, 2025, and sold after September 27, 2025, or still hold and have incurred certain unrealized losses (regardless of whether they have recovered) can seek legal remedies to protect their legitimate rights and interests. Investors meeting the above conditions can also send their name, contact number, and trading records (recommended as an Excel file) to the email quanyi85651425@163.com to participate in the claim collection activity. The scope of claims includes investment differences, commissions, stamp duty losses, etc. Of course, the final conditions and amount of compensation will be determined by the court. Investors do not need to pay any legal fees before receiving compensation.

The Zhejiang Securities Regulatory Bureau plans to issue a warning to *ST Xingnong and impose a fine of 2.5 million yuan; warnings to He Dejun, Zheng Bin, and Liu Tao, each fined 1.2 million yuan; and a warning to Wu Haijuan, fined 800,000 yuan.

According to publicly available information, the main business of *ST Xingnong is the research, manufacturing, sales, and service of agricultural machinery.

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