Several brokerages, including CITIC SEC and Guotou, have been warned by regulators for violations in Investment Banking.

Several brokerages have been named by regulators for violations in Investment Banking. According to recent disclosures from the Shanghai Stock Exchange, due to violations of the listing company's Refinancing classification review mechanism, CITIC SEC, Guotou Securities, and several sponsoring brokers have been warned by regulators. At the same time, Huafu Securities and Wukuang Securities have also been issued written warnings by the Shanghai Stock Exchange and Shenzhen Stock Exchange for multiple violations during their Investment Banking practices. According to incomplete statistics from reporters, as of May 18, more than 30 brokerages have been named by regulators this year for violations in Investment Banking. In terms of penalties for violations, the regulatory authorities are committed to punishing intermediary agencies until it hurts and imposing bans that instill fear, while also strengthening supervision over intermediary agencies' fees and internal controls in investment banking. (Yicai)