The stock price plummeted, and the boss cashed out 1 billion, is there any salvation?

Mondo Finance Updated on 2024-01-29

Recently, a post aboutPak Bao LongThe report caused a large number of peopleInvestmentsof attention. The company has been accused of financial fraud since its IPO and has drawn public outrage by cashing out $1 billion. Pak Bao LongThe share price has risen from a peak of 8575 yuan fell to only 057 yuan, seven consecutive halves to make this oneAlmost down to zero,InvestmentsThe losses were devastating. Behind this, a couple passedManipulation of stock pricesand inflated profits, successfully arbitraged a large amount of money and fled the market. Pak Bao LongThe loss data is even more staggering, with a loss of 26 for three consecutive years800 million, the company's future prospects are worrying. However, in the face of all this,InvestmentsThey are still in the ** whether there is still a glimmer of life,Pak Bao LongIs it still possible to get back on track?

Pak Bao LongThe history can be traced back to 2006, is a textile and garment, apparel industry-based enterprises. The company has a well-known brand1worIt meets the fashion consumption needs of the emerging middle class with high cost performance and personalized design. However, the company's performance has not been optimistic. According to publicly disclosed financial data, it is clear that:Pak Bao LongBetween 2020 and 2022, revenue was 723.2 billion yuan, 148.6 billion yuan and 114.3 billion yuan, while the net profit was -317 billion yuan, -155.2 billion and -817.9 billion yuan. Among them, the net profit in 2021 fell by 389 year-on-year68%, the company's continuous loss situation has been seriously affectedInvestmentsConfidence of the people.

Further back, from 2013 onwardsPak Bao LongThe road of counterfeiting began. In the early stage of listing, this company had the problem of inflating revenue and profits. The fraud of inflating revenue by 1.2 billion and inflating profits by more than 400 million yuan, letPak Bao LongThe performance seems to be a great one, attracting manyInvestmentsThe gaze of the people. However, this is just a disguise, a willInvestmentsThe trap of introducing a trap. What's even more terrifying,Pak Bao LongIn order to avoid stock prices, the Chen family, the actual controller, used 92 accountsManipulation of stock prices, cashed out at a high level when the time was right, and took out a huge amount of 1 billion.

fromPak Bao LongThe stock price trend since its listing seems to be a picture of a fish leaping into the dragon gate, but it is actually collapsing step by step. At the beginning of its listing in 2015, its stock price went through a series of surges, reaching a maximum of 85$75, however this was only a short-lived boom in a bubble. Since then, the stock price has been decliningInvestmentsThe ** of the person is only the sentence of being raided. Continuous halving **, letInvestmentsEveryone was terrified. Seven halves, that is, the stock price has fallen below more than half of the previous one seven times in a row, so thatPak Bao LongThe share price fell by as much as 9998%。Eventually, the stock price fell to 057 yuan, facing the fate of delisting has been irreversible.

In such a case,InvestmentsYesPak Bao LongThe outlook is fraught with apprehension and confusion. SomeInvestmentstried to sell what they had in their handsto reduce losses, while others make all sorts of complaints about this incident. In fact,Pak Bao LongThe stock price has been below $1 for 13 consecutive trading days, which makes its forced delisting an irreversible fact. And forInvestmentsThey have fallen victim to this tragic battle, and there is no turning back.

InPak Bao Longafter the stock price and financial fraud, the company and itsActual controllerA thorough investigation into the Chen family's violations of the law has been launched. In the end, the Chen couple were suspected of fraudulent issuanceHe was arrested for the crime of disclosing and failing to disclose important information in violation of regulations. Such a result has also made the public re-examine the domestic market's appetiteFinancial crimesand the soundness of the regulatory system.

However, forInvestmentsSuch sanctions do not seem to bring them substantial correction and compensation. They were forced to bear the enormousEconomylosses, and possibly even for its futureInvestmentsDecisions have a lasting impact. In response to such an outcome, the public cannot help but reflect on whether regulation can play a stronger role in the market, and whether relevant institutions such as accounting firms should be held accountable for protectionInvestmentsinterests.

Overall,Pak Bao Longof stock prices** and financial fraud events to giveInvestmentsThe great losses have also been revealeda**fieldSome problems in regulation and system building. Investmentsshould take this as a warning and strengthen the protection of listed companiesDue diligencewithRisk assessmentto circumvent the impact of similar events on yourself. At the same time, the regulatory authorities should also strengthen the supervision and crackdown on potential financial fraud to maintain the fairness and stability of the market.

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