Every commentator Wang Lin

Recently, the problem of related party transactions of listed companies has aroused concern. Take Gengxing as an example, its 2023 financial report is due to its relationship with Ningxia Weizhong Energy Technology Co., Ltd. (hereinafter referred to as Ningxia Weizhong) and Shaanxi Weitian Tengda Technology Co., Ltd. (hereinafter referred to as Shaanxi Weitian).C2xblockchainDue to the large amount of overdue related party transactions, the auditee issued reservations, involving about 1. 1% of accounts receivableC2xblockchain8.6 billion yuan, but the company only sets asideC2xblockchain186.C2xblockchainProvision for expected credit impairment of .50,000 yuan. Previously, Gengxing's 2022 results were reserved for similar reasons, although the company said at the time that it would recover the money by the end of June 2023 according to the related party's repayment plan.

Another case is * ST Insurance, whose 2023 results were also qualified by auditors and asked by the exchange to indicate whether there were fictitious transactions, fictitious income and receivables, and related party capital occupation or benefit transfer problems.

This situation is not an isolated event in the A-share market. Ruyi Group (002193) also had reservations in its audit reports for two consecutive years due to the overdue accounts receivable of related parties. subsequently, it was found that there was a fictional procurement business, resulting in the phenomenon of related parties occupying non-operating funds of listed companies.

These problematic listed companies usually have the commonness of poor performance, low market capitalization and delisting risk. The new opinion on strict implementation of delisting system issued by CSRC in April emphasizes increasing penalties for financial fraud, failure of internal control and other issues, and serious capital occupation may lead to direct delisting.

In the current strict regulatory environment of "should be refunded as much as possible", although the value of shell resources is significantly reduced, the financial fraud carried out by listed companies for "shell preservation" may be reduced, but at the same time, all parties should also be vigilant that some listed companies may hollow themselves out by fictional related party transactions, benefit transfer and other means to infringe upon the rights and interests of minority shareholders.

In the current process of deepening the reform of the capital market, the regulatory orientation of "should withdraw as much as possible" aims to purify the market environment, improve the quality of listed companies and protect the interests of the majority of investors. In the face of the challenge of examining the authenticity of related party transactions, not only the regulatory authorities need to strengthen the verification of the information disclosure of listed companies and implement a strict accountability mechanism, but also audit institutions should enhance their professional ability and independence to ensure the rigor and impartiality of audit work. At the same time, listed companies should consciously abide by laws and regulations, improve the internal governance structure, transparent decision-making procedures of related party transactions, and fundamentally put an end to the use of related party transactions to manipulate profits and transfer assets.

In this context, for the majority of investors, it is particularly important to identify and avoid potential risks. When evaluating the investment value of listed companies, we should not only pay attention to the profitability and development prospects of listed companies, but also deeply understand the essence of related party transactions and their impact on the financial situation of the company, combined with public information and third-party research data. to make a rational judgment. Only in this way can we promote the healthy and orderly development of the whole capital market while ensuring the safety of our own investment.