A new batch of investor compensation claims against Hainan Poly Pharm.Co.,Ltd. (300630), related to false disclosure violations, has been filed with the court by Shanghai Jiucheng Law Firm, led by attorney Xu Feng. This follows a recent first-instance victory for investors in a prior case handled by the same legal team.

The Haikou Intermediate People's Court recently issued a first-instance judgment in favor of investors in a compensation case against Hainan Poly Pharm.Co.,Ltd. represented by attorney Xu Feng. The legal team is concurrently advancing the filing of subsequent cases and continues to accept mandates from other affected investors.

On March 21, 2025, Hainan Poly Pharm.Co.,Ltd. announced that it had received the "Administrative Penalty Decision" from the China Securities Regulatory Commission (CSRC) on January 4, 2025. After investigation, it was found that from 2021 to 2022, the company falsely confirmed pharmaceutical sales revenue and profits by fabricating sales transactions for finished drugs and active pharmaceutical ingredients.

Specifically, in 2021, Hainan Poly Pharm.Co.,Ltd. overstated operating revenue by 514,604,184.72 yuan, accounting for 34.11% of the disclosed revenue for that year. Corresponding overstated operating costs were 206,585,749.23 yuan, leading to an overstatement of total profit by 308,018,435.49 yuan, which represented 65.88% of the disclosed total profit for the year. In 2022, the company overstated operating revenue by 515,899,077.56 yuan, accounting for 28.56% of the disclosed revenue. Corresponding overstated operating costs were 128,481,820.04 yuan, resulting in an overstatement of total profit by 387,417,257.52 yuan, representing 88.27% of the disclosed total profit. Consequently, the company's 2021 and 2022 annual reports contained false records.

Attorney Xu Feng, whose practice specializes in securities litigation, indicates that based on the previous successful verdict for investors, those who purchased Hainan Poly Pharm.Co.,Ltd. stock between April 26, 2022, and April 17, 2024, and sold or continued to hold the stock after April 17, 2024, may still initiate compensation claims. The legal representation operates on a no-win-no-fee basis for investors.