95s Generation Chairman Under Investigation! Previously Penalized for Financial Fraud, Investors Can Claim Compensation

Once highly sought after due to popular labels such as "Huawei concept stock" and "biodegradable plastics," ST Quanwei (300716) is now mired in crisis. On the evening of March 19, 2026, the troubled photovoltaic company dropped another bombshell: both the company and its post-95s chairman were placed under investigation by China's Securities Regulatory Commission for suspected violations of information disclosure regulations.

Affected by negative news, ST Quanwei’s stock price plunged at the market opening on March 20.

The company and its actual controller were both under investigation.

According to the announcement released by ST Quanwei on March 19, the company and its actual controller, Chairman Chu Yifan, have recently received the "Investigation Notice" (No. 0062026011 and 0062026012) issued by the China Securities Regulatory Commission (CSRC). Due to suspected violations of information disclosure regulations, the CSRC has decided to investigate the company and Chu Yifan.

In response to this unexpected adverse news, ST Quanwei did not disclose the specific reasons for the investigation, only stating that it will fully cooperate with the investigation and that its current production and business operations remain normal, adding that this matter will not affect its daily operations.

Public information shows that the actual controller and chairman of ST Quanwei, Chu Yifan, was born in 1995. He once worked as a financial journalist and has been in charge of ST Quanwei since 2023.

Tracing back to the announcement, the controlling shareholder of ST Quanwei, Quanwei Green Energy, and Chu Yifan once promised on February 5, 2024, to increase their holdings in the company to stabilize market confidence, pledging to increase their shares by 2.4 to 4.8 million from February 6, 2024, over a period of 6 months. Later, the shareholders' meeting approved an extension of 6 months, until February 5, 2025.

However, this share purchase plan ultimately became a mere formality; during the commitment period, the company only symbolically purchased 100,000 shares on January 3, 2025, and took no further action. In December 2025, the Guangdong Securities Regulatory Bureau imposed an administrative regulatory measure ordering rectification, determining that the company’s conduct constituted “breach of commitment.”

Fined for financial fraud, investors can claim compensation.

A review of ST Quanwei's development history reveals that its disclosure violations have long been an ongoing issue.

This company, formerly known as “Guoli Technology,” had a history of fraud even before its rebranding and transformation into a photovoltaic enterprise. As early as November 2023, it was penalized by the Guangdong Securities Regulatory Bureau for financial fraud.

Regulatory investigations revealed that from 2019 to 2020, ST Quanwei engaged in fictitious para-xylene trading activities through its former subsidiary, Guoli Supply Chain, thereby inflating its operating revenue. Specifically, its 2019 annual report overstated operating revenue by RMB 557 million (approximately 28.97% of the reported operating revenue for that period), and its 2020 semi-annual report overstated operating revenue by RMB 344 million (approximately 30.33% of the reported operating revenue for that period). The Guangdong Securities Regulatory Bureau ordered Quanwei Technology to rectify the violation, issued a warning, and imposed a fine of RMB 1.6 million.

Notably, the statute of limitations for liability pursuit in this historical regulatory penalty is about to expire. According to Mr. Liu Peng, a lawyer at Shanghai Huzi Law Firm, the limitation period for claims by investors who purchased shares during the financial fraud periods of 2019 and 2020 will expire on June 16, 2026; eligible investors may still join the litigation.

Fundamentals have deteriorated, and the company is insolvent.

Behind the regulatory storm lies a comprehensive deterioration of the company's fundamentals, but prior to this, ST Quanwei had experienced a period of intense popularity.

The journalist noted that after transforming into a photovoltaic enterprise, ST Quanwei branded itself with high-profile labels such as HJT (Heterojunction) solar cells and carbon neutrality, and claimed its ambition to become a globally leading manufacturer of high-efficiency heterojunction solar cell modules. The company was also a member unit of the China Photovoltaic Industry Association and received accolades such as the “2023 China Brand Top 500,” aligning itself with the currently most dynamic energy revolution concept.

In the early stage of its renaming and transformation, ST Quanwei's share price surged to RMB 24 in February 2023, driven by its identity as a Huawei-related automotive parts supplier—its subsidiary, Dajiang Guoli, supplies components for Changan New Energy (Avatr) vehicles—and its involvement in popular sectors such as smart speakers and biodegradable plastics.

However, the hype of the concept could not ultimately translate into performance support.

According to the 2025 annual performance forecast and the third-quarter report released by ST Quanwei, the company's operations have fallen into an extreme situation. Financial data shows that in the first three quarters of 2025, the company achieved only 46.7773 million yuan in operating revenue, a sharp decline of 77.24% year-on-year, while the net profit attributable to shareholders was a loss of 58.8085 million yuan. The company expects 2025 full-year operating revenue to be between 45 million yuan and 63 million yuan, with the net profit attributable to shareholders expected to expand to a loss of 182 million yuan to 255 million yuan.

More fatally, the company expects its end-of-2025 net assets attributable to shareholders to be between -123 million yuan and -172 million yuan, already in a serious state of insolvency. This means that if the final audited annual report data matches the forecast, ST Quanwei will touch the red line for delisting risk warnings, and the stock name will change from "ST Quanwei" to "*ST Quanwei," and it may even face the possibility of being delisted.