On the evening of October 9, Zhejiang Sunriver Culture Tourism Co.,Ltd. (ASX: 600576.SH) and Anhui Gourgen Traffic Construction Co.,Ltd. (ASX: 603815.SH) simultaneously disclosed that their actual controllers are under investigation. Both announcements point to the same individual, Yu Faxiang.
According to Zhejiang Sunriver Culture Tourism Co.,Ltd., the company received a notice from actual controller Yu Faxiang on that day that he had received a "Case Filing Notification" from the China Securities Regulatory Commission. The CSRC decided to open a case against him on suspicion of personal information disclosure violations. Apart from serving as the company's actual controller, Yu Faxiang holds no position at the company.
On the same evening, Anhui Gourgen Traffic Construction Co.,Ltd. also disclosed that actual controller Yu Faxiang is under investigation by the CSRC on suspicion of information disclosure violations. The company added that Yu Faxiang currently holds no position at the company, its production and operations are normal, and the matter will not have a significant impact on normal business operations.
This is not the first time Yu Faxiang has been involved in a capital market information disclosure violation. In December 2024, the Zhejiang Securities Regulatory Bureau issued an administrative penalty against Zhejiang Sunriver Culture Tourism Co.,Ltd. over information disclosure violations. Regulators found that in 2022, Yu Faxiang instructed the company to provide listed company funds to affiliated enterprises such as Sunriver Holding by paying asset acquisition intent deposits and security deposits. The cumulative amount of non-operating fund occupation in 2022 reached 410 million yuan, but Zhejiang Sunriver Culture Tourism Co.,Ltd. failed to disclose it in a timely manner as required, nor did it disclose it in its 2022 semi-annual report and annual report. Ultimately, Zhejiang Sunriver Culture Tourism Co.,Ltd. was ordered to rectify, given a warning, and fined 2 million yuan, while Yu Faxiang was fined 3 million yuan.
The CSRC case filing is not the only risk Yu Faxiang has recently faced. Zhejiang Sunriver Culture Tourism Co.,Ltd. previously disclosed that in December 2025, Yu Faxiang was placed under criminal coercive measures by the Shaoxing Public Security Bureau on suspicion of a crime, and the case is still under investigation.
As risks related to the actual controller continue to intensify, the operating performance of both listed companies is also facing pressure to varying degrees. In the first half of 2026, Zhejiang Sunriver Culture Tourism Co.,Ltd. achieved revenue of 555 million yuan, up 7.80% year-on-year; net profit attributable to shareholders was 46.46 million yuan, down 47.22% year-on-year; non-recurring net profit was 47.3985 million yuan, down 39.95% year-on-year; and net cash flow from operating activities was 120 million yuan, down 22.12% year-on-year. Although revenue at Zhejiang Sunriver Culture Tourism Co.,Ltd. maintained growth, profit declined significantly.
The operating pressure on Anhui Gourgen Traffic Construction Co.,Ltd. is even more pronounced. In the first half of 2026, Anhui Gourgen Traffic Construction Co.,Ltd. reported operating revenue of 1.063 billion yuan, down 45.84% year-on-year; net profit attributable to shareholders of 62.21 million yuan, down 44.73% year-on-year; non-recurring net profit of 63.49 million yuan, down 44.23% year-on-year; and net cash outflow from operating activities of 65.88 million yuan.