ST Hengxin, its controlling shareholder, and actual controller Meng Xianmin are once again under investigation by the China Securities Regulatory Commission for suspected illegal information disclosure. The company announced on the evening of July 27 that it had received a case filing notice from the CSRC that day, less than three months after the previous penalty. Earlier, ST Hengxin was first placed under investigation on August 12, 2025, and received an administrative penalty decision from the Beijing bureau of the CSRC on April 30, 2026. For inflating its 2022 operating revenue by 182 million yuan, accounting for 37.12 percent of the disclosed revenue for that period, it was fined 5 million yuan. In addition, the company recently received a lawsuit filed by controlling shareholder Meng Xianmin to revoke certain resolutions, involving some resolutions of the 2025 shareholders' meeting and board of directors.
Hengxin Mobile BusinessST Hengxin and its controlling shareholder are under CSRC investigation for alleged disclosure violations, following a prior penalty for revenue inflation.