The Case Study Of Wuxi Apptec’s Initial Shareholders’ Illegal Disposal Based On GONE Theory

The scale of industrial capital reduction had reached its peak in 2020 and 2021,with the amount of reduction reaching 1.5 trillion yuan and 1.7 trillion yuan respectively.In 2021 alone,there were 1,052 companies reduced their holdings.The initial shareholders are the main body of the share reduction.Most of them are accompanied by the establishment,listing and expansion of the company,and they have a certain internal influence.Initial shareholders are good at making use of their internal information advantages when reducing their holdings,and raise the stock price by some ways illegal,so as to obtain benefits from the secondary market.When the initial shareholders illegally reduce their holdings,they will send a signal to the market about the deterioration of the company’s operation,which will not only affect the company’s short-and medium-term development and damage the interests of other investors,but also seriously disturb the market order and stability.At present,the existing research on the causes of illegal reduction by initial shareholders mainly focuses on the analysis of the two aspects:shareholders’ individual behavior purpose and the company’s operation,which has not yet formed a systematic logic of motivation analysis.By combing through the cases of illegal share reduction in recent years,this thesis finds that the initial shareholders’ illegal reduction is in common with financial fraud in many aspects,such as violation motivation,means and influence.On this basis,the GONE theory,which is often used to study financial fraud,is innovatively extended and applied to the analysis of the motivation of illegal reduction of initial shareholders.Starting from the four dimensions of greed,opportunity,demand and exposure,a comprehensive and universal framework for analyzing the motivation of illegal reduction is built,and targeted to prevention suggestions are put forward to reduce the probability of repeated violations.This thesis takes Shanghai Yingyi,a initial shareholder of Wuxi AppTec,as the case study object.The illegal diversions from May to June 2021 include six parts:The first part is the introduction,which introduces the research background and significance of the thesis,summarizes the research results and research stages of domestic and foreign scholars on the shareholder discounting event,and introduces the research content,research methods and research framework of this thesis.The second part is the theoretical overview of illegal diving-down by initial shareholders.It combs the concept of illegal diving-down by initial shareholders and relevant laws and regulations,expounds the correlation between illegal diving-down and financial fraud,and then proposes the application method of GONE theory in illegal diving-down by initial shareholders.The third part is the introduction of the case of illegal divestment by wuxi AppTec’s initial shareholders,including the general situation of Wuxi AppTec’s operation,the review before and after the event of illegal reduction,and the analysis of the impact of the event.The fourth part is based on the GONE theory of Wuxi AppTec’s initial shareholders illegal reduction of motivation analysis,mainly according to the second chapter,based on GONE theory of greed,opportunity,demand,exposure four dimensions,comprehensive analysis of the initial shareholders illegal reduction of motivation from various aspects of economy,policy,technology and industry.The fifth part is the prevention suggestions of illegal share reduction by Wuxi Apptec’s initial shareholders.Suggestions are put forward from the four levels of Wuxi Apptec,initial shareholders,regulatory authorities and small and medium-sized investors to reduce the possibility of similar violations.The sixth part summarizes and reviews the research framework of the whole thesis,and draws the research conclusions from the illegal reduction cases of Wuxi AppTec’s initial shareholders.