A full analysis of the fake tactics of the new middle base six years after the false increase of profit

Throughout the history of a-share, listed companies to fake events, Yin Guang xia, green earth, Wanfosenko, South spinning shares have been nailed to the stigma of history. Now, another long hidden rat-Nova Chinki (market, interrogation) (000972, closing price of 3.23 yuan) was made public. According to the SFC, the new base in 2006, 2007 virtual increase in profits of more than 100 million yuan, in the next four years, through the virtual increase in costs, virtual reduction of billions of profits, in order to fill up the profit before the inflated. At the same time, "Daily economic news" reporter found that by virtue of the fictional performance, the new middle-base has completed two rounds of non-public issues, the cumulative financing of nearly 1 billion yuan. So how did the new Chinese base fake it? Three years of virtual increase in operating income of 660 million yuan July 9, a new China-based announcement, caused the entire capital market shock. The announcement shows that in the period of six years (2006-2011 years), the new middle base uses the Invisible shell company and the unrelated relay to post the company, for many years fictitious purchase and sale business, falsely increases the operating income up to 660 million yuan. A-share market counterfeiters are not uncommon, Yin Guang xia, Wanfosenko, South spinning shares have been nailed to the stigma of history. The analysis of these cases is not difficult to find that the listed companies often through fictitious transactions to achieve the goal, and fictional transactions mainly in the form of counterfeit income. A CPA who declined to be named said to the daily economic news reporter that the main way of fictitious transaction is to falsify income, mainly include the following means: From fictitious transaction object, fictitious raw material buys the invoice, counterfeit material buys a contract, material transportation enters into a document, material out storehouse document, product production team and record, product incoming document , Sales contract, Sales invoice documents, product out of stock documents, product transport documents, tax invoices, etc. According to the information, all documents were forged in 2001, including sales contracts and invoices, bank notes, customs export declarations and income tax exemption documents, which amounted to more than $700 million since the 1998-2001-year period. In recent years, Wanfosenko, etc. is also to take the way of false increase in revenue. For the new middle-ground, the fictional trading of the fake practices have long been in the heart. According to the SFC, the new middle-base in January 2006 through the hidden capital, set up the shell company Tianjin Sheng China International Trade Co., Ltd. (hereinafter referred to as Tianjin Sheng). Tianjin Sheng in the establishment, the first new procurement of tomato sauce, and then sales to the new base of the holding subsidiary of Tianjin Zhong Chen Tomato Products Co., Ltd. (hereinafter referred to as Tianjin Zhong Chen). 2005, the new base of the first 5 customers sales of 401 million yuan, accounting for the company's annual income of 38.96%. In just a year's time, the new 2006-year Top 5 customer sales soared to 1.04 billion yuan, the proportion of the company's annual income increased to 58.35%. Tianjin Sheng in 2007 became the new middle base of the largest arrears party, defaulted on the listed company 298 million yuan, accounting for its total amount of 31.92%. 2007-2010 years, the new middle base also utilizes the unrelated enterprise Xinjiang Spender International Trade LimitedCompany (hereinafter referred to as Xinjiang Spender), first from Tianjin Sheng in the procurement of tomato sauce, plus the tax payable and Xinjiang spender to obtain the pure profit, and then resell all sales to Tianjin. Relevant information shows that the new China-based enterprises in Xinjiang Spender transfer, the goods are not moving, the transaction is only the transfer of warehouse orders. In the 2010, the new middle-base through the fictitious increase cost and then falsely reduce the profit 56.4811 million yuan, the fictitious reduction profit accounted for after the verification correction net profit 26.25%. And in this year, the new Chinese base to the international market price of ketchup on the basis of the downturn, a large inventory of the stock prices prepared 156 million yuan. "Left hand inverted right" is the main means of forgery. An investment banker explained to the daily economic news reporter that the above "warehouse list" refers to the receipt of storage material from the depository after the depositor has received the goods. The new middle base is through the warehouse list in their own, shell companies and holding subsidiaries between the transfer, thereby making fictitious transactions. The investment bankers point out that, from two types of fraud, 2006, the new middle-base of the false practices to walk a layer of "shell company" (Tianjin Sheng), more easily found; In contrast, the 2007-2010-year method is more covert, took the unrelated enterprises in Xinjiang Spender and shell companies of these two layers, It is not easy to sell to a holding subsidiary, Tianjin, for fraud. The new China based on July 9 announced that the 2006 is the size of its fraud, the largest amount of the year, falsely increased income of 316 million yuan, virtual increase in costs of 225 million yuan, virtual increase in profits of 90.8555 million yuan. What is more serious is that in 2006, the false increase in profits accounted for 138.57% of the new base net profit after the verification correction, which directly led to the profit from the loss. Into the 2007, the new middle-base of the crazy fake behavior has not stalled, the company's virtual increase in business income of 268 million yuan, fictitious cost of 249 million yuan. By virtue of this operation, the new middle-base 2007 again falsely increase the profit of 19.3381 million yuan, accounting for the correction of the company's net profit of 34.5%. Through 2006-2007 years of continuous fraud, the new middle base cumulative virtual increase in profits of 110 million yuan; but maintaining a lie often requires more lies to cover. July 10, the new middle-base "correction notice" shows that in 2008-2011, the company accumulated virtual net profit of about 110 million yuan, 2009-2011 years, the company's virtual increase in income is zero, the virtual increase in costs that is the virtual reduction of the net profit. How does the new middle-base increase and reduce the net profit? The CPA said that in the fake link, assuming that the new base sales to shell companies or unrelated parties of the product price is 10 million yuan, the operation of the final fall to the holding subsidiary of Tianjin, the price is 8 million yuan, so much out of the 2 million yuan is a virtual increase in net profit, and vice versa. He pointed out that the fraud in essence, "left hand inverted right", in order to fill the previous two years of fraud, the company spent a full four years to balance the account, but "Mills grind", under the supervision of the poor, the huge Shing the final is still the prototype. Success with false resultsFinancing nearly 1 billion noteworthy is that the "Daily economic news" reporter found, with false increase in fraud performance, the new base has two successful refinancing, the cumulative raise nearly 1 billion yuan. Time back to August 2006, the New China Foundation released the first half of the report shows that the reporting period of the company to achieve the main business income of 699 million yuan, a year earlier, a 176.04% increase in net profit of 15.1471 million yuan. Only two months later, the new middle-base on the successful completion of the Non-public offerings plan, the company to 7.35 yuan/share price, to the Xinjiang Corps and its manufacturing investment limited liability company, Jiangsu Rui Hua Investment Development Co., Ltd., Zhejiang Material Tong Industrial Co., Ltd. 9 investors, directed additional 54.5 million shares, The net amount of funds raised is 387 million yuan. According to the plan, the new central base will be raised funds mainly to the lycopene project, 65000 tons of tomato sauce Technical renovation project, 250 million tomato products color coating can project. In the 2007, the new middle-base to reduce the intermediate investment link, increase the use of funds to raise the efficiency of the original plan to increase the capital in Tianjin, the annual output of 250 million tomato products color coating can be raised funds 135 million yuan, adjusted for direct to the Tianjin tin Cans Limited Liability company (hereinafter referred to as the Chinese-Chen Canning) increase capital, In turn, the company is responsible for the implementation of the project. On the surface, the above-mentioned project implementation of the main change is not abnormal, but the reporter noted that the tin can be established in 2005, Hong Kong Prudential billion International Investment Co., Ltd. and the new middle base concealed the establishment of Tianjin Sheng, respectively, holding 49% and 51% of the equity. Upon completion of the replenishment, the new middle-base holds a 87.1% per cent stake in the tin-chen system. The investment bankers said that the increase in the tin can be in the name of Tianjin as a matching and complementary, further increase the overall competitiveness of the company. But in fact, this round of fundraising project change is related to performance fraud, which makes it easier for the new middle-ground to manipulate its own business performance. The time passed to 2010, under the sponsorship of the Oriental Securities, the New China Foundation successfully completed the plan. According to the data, the new Chinese base at that time to the 9.43 yuan/share of the issue price, to the controlling shareholder of the six division of State-owned Assets Management Limited liability companies, such as 9 specific investors issued 62.9847 million shares, the actual fund-raising net amount of 584 million yuan, respectively, for repayment of debt and bank loans.