What will happen if a listed company is punished for violating the rules?

After listing, a company must abide by the regulations of the exchange, such as timely disclosure of quarterly, semi-annual and business reports. This is to let investors see the company's dynamics more transparently and avoid some risks. After all, all these will affect the company's share price, and many companies have been punished for violating the rules in disclosure.

Usually, the company will be fined, will require re-disclosure, and will also cause the company's share price to fall. Because being punished by the exchange is bad news, it will lead investors to sell in succession. Once the company receives the advance notice of administrative punishment or the decision of administrative punishment from the CSRC, its share price will immediately fall or even plummet.

The most common results of illegal punishment of listed companies:

Ordered to make corrections; Regulatory dialogue; Issue a warning letter; Record its violation of laws and regulations, failure to fulfill public commitments, etc. And publish it; Is determined to be an unsuitable candidate; Other regulatory measures that can be taken according to law.

The claim process of investors who are punished for violating the regulations of listed companies;

1 Check whether the transaction records meet the requirements;

2. If it meets the requirements, please print the securities account inquiry confirmation, statement and derivative statement in the securities business department. Please select: single stock or multiple stocks including these two time periods, depending on the securities company system; If the reconciliation period cannot be displayed, please ask the staff of the securities company to write by hand and affix the writing seal; If there are multiple accounts with transaction records, please print the statement of each account separately according to the above time;

3. Send the account inquiry confirmation form, statement and derivative statement excel spreadsheet, name and contact information to the Rights Protection Office.

Finally, it should be reminded that if the company goes public fraudulently, the result of punishment will not only be as simple as the stock price drop, but even be forced to withdraw from the market, and investors will face greater risks and may lose all their money.