Yu Faxiang faces CSRC investigation for disclosure violations

Yu Faxiang, the controlling shareholder of Xiangyuan Cultural Tourism, Jiaojian Shares, and Ocean Park Development, is under investigation by the China Securities Regulatory Commission (CSRC) for suspected illegal information disclosure.

Both A-share listed companies, Xiangyuan Cultural Tourism and Jiaojian Shares, confirmed they received the investigation notice. Ocean Park Development, listed in Hong Kong, also reported the matter, noting that Yu currently holds no official positions within the company and that the investigation is not expected to impact daily operations.

This is not the first time Yu has faced regulatory scrutiny. In 2024, he was investigated for disclosure violations, leading to administrative penalties for Xiangyuan Cultural Tourism. In December 2025, he was reportedly subject to criminal compulsory measures by the Shaoxing Public Security Bureau. His shares in the listed companies have previously entered judicial freeze status.

Financially, the affected companies have faced recent pressure. Xiangyuan Cultural Tourism reported a significant decline in net profit for the first half of 2026, while Jiaojian Shares reported a transition from profit to loss in 2025 and continued declining revenue and profits in 2026.