In order to recover the loss of 226,858,99 yuan paid by itself in advance to the investors from other joint and several liable persons, Industrial Securities will take Dandong Xintai Electric Company and Beijing Xinghua Certified Public Accountants Co., Ltd., which issued the audit report for its securities issuance and listing; Beijing Dongyi Law Firm and its direct supervisor who issued lawyers' work reports and legal opinions; Responsible person of Xintai Electric; Twenty-six defendants, including Liaoning Xintai Co., Ltd., the controlling shareholder of Xintai Electric, sued the court. At present, Beijing No.2 Intermediate People's Court has accepted the case.

Industrial Securities claims that Xintai Electric's fraudulent issuance is an infringement in the securities market, and that it and the defendants should be jointly and severally liable for investors' losses. However, the amount paid by its own special fund for advance payment has greatly exceeded its share of compensation, so it seeks compensation from other joint and several responsible persons for the share paid beyond its share, and demands that the defendants be ordered to compensate themselves for the loss of 226,858 due to the advance payment to investors.

In August, 216, Xintai Electric withdrew from A-shares under the order of the CSRC, which caused considerable influence in the securities market. Xintai Electric, as the first stock delisted from GEM, is also the first stock delisted due to fraudulent issuance. In the process of thoroughly investigating the fraudulent listing of Xintai Electric, the CSRC successively issued the Decision on Administrative Punishment to Xintai Electric and its related responsible persons, Industrial Securities and its responsible persons, Xinghua Certified Public Accountants and its direct supervisors, and a law firm and its responsible persons, and made administrative penalties according to law.

As the sponsor and lead underwriter of Xintai Electric Securities, Industrial Securities established the "Special Fund for Advance Payment of Xintai Electric Fraudulent Issuance" on June 9, 217, and paid for the losses caused by Xintai Electric Fraudulent Issuance by qualified investors. At present, the first phase has paid a total of 236,858,99 yuan to eligible investors.