Shimao Group received a fine of ten million, and two individuals were subjected to market entry bans.

On August 3, Shanghai Shimao Co., Ltd. announced that the company and relevant parties received an administrative penalty decision from the Shanghai Securities Regulatory Commission. It was found that the company failed to timely disclose significant debt issues as required, and there were false records in the annual reports for 2020 to 2022; it did not timely disclose related party transactions involving non-operating fund occupation, and did not disclose this in the annual reports for 2020 to 2022; it did not timely disclose the circumstances of failing to repay due significant debts, nor did it disclose this in the 2022 annual report; it did not timely disclose related guarantees, nor did it disclose this in the annual reports for 2020 to 2022; it did not timely disclose significant litigation and arbitration matters, nor did it disclose this in the 2022 annual report. The Shanghai Securities Regulatory Commission decided to order Shanghai Shimao Co., Ltd. to make corrections, issue a warning, and impose a fine of 10.5 million yuan; it issued a warning to Xie Shitan, former director of Shimao Co. and former vice chairman and president of Shimao Group, and imposed a fine of 4.9 million yuan; it issued a warning to Tang Fei, former chairman of the supervisory board of Shimao Co., former executive director of Shimao Group, and head of the financial management center, and imposed a fine of 4.2 million yuan; it issued a warning to Xie Rongmao, former chairman of Shimao Co., and imposed a fine of 2.8 million yuan; it issued a warning to Wu Linghua, former president and director of Shimao Co., and imposed a fine of 2.8 million yuan; it issued a warning to Yu Feng, former secretary of the board, vice president, and chief financial officer of Shimao Co., and imposed a fine of 2.8 million yuan; it issued a warning to Zhang Jie, former vice president and chief financial officer of Shimao Co., and imposed a fine of 1.4 million yuan. At the same time, Xie Shitan was subjected to a six-year securities market ban, and Tang Fei was subjected to a four-year securities market ban. During the ban period, in addition to being prohibited from engaging in securities business, securities service business, or serving as a director, supervisor, or senior management of the original securities issuer at the original institution, they are also prohibited from engaging in securities business, securities service business, or serving as a director, supervisor, or senior management of other securities issuers in any other institution.