Starting from a Cottage, One Will Succeed in Ten Thousand Bones, Pleading Guilty to the Thorn, Huigen has Already Repaired the Golden Body

Abstract

In recent years, financial fraud incidents in the capital market have occurred frequently. Among them, not only the "Shuangkang incident" that caused a sensation in the Chinese capital market, but also the counterfeiting incident of Ruixing Coffee, a Chinese concept stock that caused a sensation in the US capital market. While the fraudulent amount of 2.2 billion yuan exploded, it also sounded the alarm for all listed companies. In the face of major risks and setbacks, and facing a market that is also full of uncertainties, Ruixing quickly took the blame, adjusted its strategy and recharged, and bottomed out after going through the trough. For this reason, this article conducts an in-depth analysis and research on the case of Ruixing’s financial fraud after bottoming out, and analyzes Ruixing’s defects in handling financial issues from the aspects of financial compliance, financial management, strategic accounting, and corporate governance. Provide corresponding reference and reference for other listed companies in my country in dealing with financial aspects. This article first analyzes the status of Ruixing Company and the case study of financial fraud to provide a background basis for the following analysis, and then analyzes the internal reasons of the company and the external environmental factors of the overseas market that caused Ruixing’s financial fraud from the perspective of financial compliance, and finally combines the above reasons Carry out corresponding suggestions and countermeasures for financial compliance in the process of overseas listing of Chinese companies; then from the perspective of financial management, combine financial management theory with Ruixing's solution to bottoming out and rebound, and finally come up with relevant responses from regulatory agencies, creditor's rights, and shareholders Measures; From the perspective of strategic management accounting, first compare with Starbucks’ five-force model, and draw the corresponding measures taken by Ruixing in terms of market analysis and departmental cooperation; Deal with the demands of internal contention, and then provide corresponding policy recommendations from four aspects.