# IPO Fraud

The Hammer Falls: China’s CSRC Signals ‘Zero Tolerance’ with Rare Fraud-Driven Delistings

The CSRC has initiated mandatory delisting procedures and leveled massive fines against ST Qingyue and Yuandao Communication for IPO fraud and financial fabrication. To mitigate investor fallout, underwriters for ST Qingyue are launching a rare pre-compensation fund, marking a significant escalation in regulatory accountability for financial intermediaries.