Yu Honggang, president of Shenyang Wantong International Group, was charged with illegally issuing stock, according to the Heping District People’s Court in Shenyang, Liaoning province.

The company was found to have illegally sold initial shares as a decoy to attract investors to buy high-priced health products and drinking water dispensers. It enticed 3,096 investors to purchase a total of 12.44 million shares, with the money involved reaching 130 million yuan. Yu, together with six partners, was found guilty by the court on October 11.