Study On Fictitious Financial Case Of Shenjing Shanhe IPO

In the20years of China’s capital market, financial fraud issue has been there with time. Shengjing shanhe was suspected of being involved in IPO fraud and with an emergency stop half an hour before listing. IPO financial fraud incidents occurred frequently, seriously affecting investors on the attitude and confidence in the stock market. In such circumstances, the study on financial fraud IPO is particularly necessary. Analysis of the company’s IPO financial fraud issues and identifying the financial means of forgery can ensure the quality of listed companies from the source, which has significant implications for the stock market developing in a healthy and ordered way.This paper uses a combination of theory and practice, qualitative analysis and quantitative analysis of the combination of research methods, expounds China’s IPO financial fraud and study on the company which hasn’t accepted by the CSRC(China Securities Regulatory Commission). Also it uses financial management knowledge to distinguish IPO financial fraud and applies the knowledge of game theory for IPO fraud party and regulatory analysis, aiming at a deeper level to find factors which leads to IPO financial fraud.Finally this paper Proposes preventive measures and treatment recommendations on these issues.