Financial Fraud Case Of CITIC Guoan

As we can see,the Chinese government has promoted the construction of the capital market continuously,the professional quality of investors has also been continuously improved,and the investment environment also has been increasingly recognized.However,so many enterprises that are trying to seek benefits through fraudulent means.Companies such as Luckin Coffee and Kangmei Pharmaceutical have been found to have committed financial fraud.If such incidents continue in my country’s capital market,it will undoubtedly have a very vicious impact and lead to a serious crisis of trust.Once a financial fraud event occurs,every party involved will suffer huge losses.For listed companies,financial fraud can temporarily conceal problems in their development,defraud investors,and create the illusion of continuous and positive development of the company,but fraudulent behavior will eventually be discovered.The trust from investors will undoubtedly disappear immediately,and there is no doubt about the eventual delisting and huge compensation;in the event of financial fraud,investors will undoubtedly be the biggest victims.Investors not only lose money,but also recover compensation.So far it is the road that it is not easy to be compensated;from a macro perspective,once things like that become a common phenomenon,it will be difficult for the capital market to develop steadily,and it will inevitably bring about turbulence.At present,although the laws and regulations of my country’s capital market have been continuously improved,there are still a few listed companies who are falsifying and disrupting the market.Needless to say,it is particularly necessary to conduct a detailed analysis of the financial fraud of listed companies.This article takes the latest financial fraud case discovered in my country’s capital market,the A-share listed company CITIC Guoan as an example,in-depth analysis of the means used by its fraud,and summarizes suggestions based on the characteristics of the case.The content of this paper is divided into six parts: in the first part,I sort out the literature about financial fraud cases at home and abroad that I read earlier,and explain the research content and methods of this paper;the second part describes the theory about financial fraud,including the Definition,common methods,fraud risk factor theory;the third part introduces the basic situation of CITIC Guoan financial fraud cases;The motivations for fraud,the opportunities brought by specific circumstances for fraud,the probability that fraud is discovered by the outside world,and the punishments that listed companies will receive after fraud is discovered.There are five perspectives to deeply analyze the reasons for CITIC Guoan’s financial fraud.And explain the penalties imposed by the China Securities Regulatory Commission on CITIC Guoan;the fifth part,based on the fourth part,proposes recommendations from three perspectives,among which the three perspectives are listed companies,audit institutions,and regulatory agencies;Summarize.