ST Hulubao has received an administrative penalty decision from the Hainan Regulatory Bureau of the China Securities Regulatory Commission for false records in its 2023 annual report and 2024 semi-annual report. Investigations found that the company overstated operating revenue by 110,019,632.03 yuan and inflated total profit by 89,580,304.46 yuan in its 2023 annual report, while understating operating revenue by 42,600,971.32 yuan and reducing total profit by 27,661,119.92 yuan in its 2024 semi-annual report. The company was given a warning and fined 7 million yuan. Liu Jingping, then chairperson and general manager, as the directly responsible supervisor and actual controller, was fined a total of 10.5 million yuan. Yu Hui, then director and chief financial officer, was fined 2.5 million yuan, and Wang Qingtao, then board secretary, was fined 1.5 million yuan.
Hainan Huluwa Pharmaceutical Group Co LtdCSRC fined the company for falsifying earnings in 2023 and 2024 reports.