For over a decade, the Yang family has been one of the most polarizing forces in China’s capital markets, balancing the glitz of celebrity association with the gritty reality of industrial manufacturing. That era of impunity appears to be closing. Following a one-month investigation, the China Securities Regulatory Commission (CSRC) has issued a stinging 9.5 million RMB penalty against Juli Sling, the family's flagship company, for orchestrating a deceptive 'hotspot-chasing' campaign centered on commercial aerospace.
Between late 2025 and early 2026, Juli Sling—a company primarily known for manufacturing ropes and hoisting equipment—deliberately rebranded itself as a critical player in China's burgeoning space race. Through public investor relations platforms, the company claimed to be supplying capture arms and specialized cables for domestic reusable rockets. These claims triggered a speculative frenzy, propelling the stock price up by 240% and attracting over 100,000 retail investors who feared missing out on the next 'rocket recovery' giant.
The regulatory post-mortem reveals a far more pedestrian reality. When pressed by regulators, Juli Sling admitted that its total aerospace-related orders for 2025 amounted to less than 10 million RMB, representing a negligible 0.5% of its total revenue. This discrepancy has been characterized by the Hebei CSRC as a 'misleading statement' designed to manipulate market sentiment. Beyond the corporate fine, the company's former general manager Yang Chao and board secretary Zhang Yun have been personally penalized for their roles in the deception.
The scandal has reignited public outrage over the Yang family’s long-term financial conduct. Since Juli Sling’s IPO in 2010, the family has cashed out more than 2.8 billion RMB through share sales and equity pledges—a figure that is 4.5 times the company’s total cumulative profit over the same 16-year period. Critics argue this represents a classic case of 'hollowing out' a listed entity, where the controlling family enriches itself while the business's underlying profitability remains anemic.
As the stock price has collapsed by over 50% from its peak, the carnage among retail investors is sparking a secondary wave of legal action. Multiple law firms have initiated collective action lawsuits, seeking civil damages for the 'misleading disclosures' that trapped over 230,000 shareholders by the first quarter of 2026. Simultaneously, a quiet exodus is taking place within the company’s leadership; several founding members, including the high-profile Yang Zi, have recently resigned from senior management positions in what appears to be a defensive restructuring.