Shenzhen Bezeng faces losses and legal issues for controlling shareholder

Shenzhen Bezeng Technology Co., Ltd., once a high-flying star on the STAR Market, is facing significant financial and legal turmoil. The company’s third-quarter report shows a continued net loss of 85.52 million yuan, a year-on-year decrease of over 30%. This follows a period of declining performance where the company has reported losses in several recent years.

In addition to financial struggles, the company has experienced leadership instability and legal complications. The newly appointed Chief Financial Officer resigned after only 48 days in office. Furthermore, the company’s actual controller, Ma Xuejun, has had 4.0156 million shares frozen by judicial authorities due to a 60-million-yuan personal contract dispute.

Regulatory scrutiny has also intensified. Ma Xuejun and the company have previously faced investigations and penalties from the China Securities Regulatory Commission (CSRC) regarding information disclosure violations and alleged stock price manipulation. Despite these losses and regulatory penalties, investor concerns remain regarding high executive compensation levels.