Recently, the China Securities Regulatory Commission ("CSRC") released its annual typical cases of investor protection, and the "Jintongling Bankruptcy Restructuring and Special Representative Litigation Investor Case" was successfully selected. This marks another case, following the Zhongjie Resources (002021.SZ) bankruptcy restructuring case, in which the Llinks bankruptcy team played a pivotal role and facilitated selection into the CSRC's typical cases of investor protection.
Previously, Jintongling Technology Group Co., Ltd. ("Jintongling") was involved in disputes over liability for securities misrepresentations due to historical information disclosure and other legacy issues. In December 2024, after the China Securities Investor Services Center (CSISC) accepted the mandate from more than 50 investors, the case was converted into a special representative litigation in accordance with the law and was accepted by the Nanjing Intermediate People's Court. During the trial, to properly resolve its debt distress and restore its sustainable operating capabilities, the Nantong Intermediate People's Court initiated pre-restructuring for Jintongling upon application in April 2025, and legally ruled to accept the restructuring application in December of the same year. As the first special representative litigation case for securities disputes in Jiangsu Province, this case faced a complex situation with the dual tracks of "civil compensation for misrepresentation" and "bankruptcy restructuring of a listed company" intertwined.
In this restructuring case, the Llinks bankruptcy team, as a member of the administrator, actively assisted all parties in efficiently advancing the restructuring process. The Llinks team was deeply involved in the top-level design of the restructuring plan, communication and coordination among multiple stakeholders, and the demonstration of the draft restructuring plan. On the premise of fully safeguarding the restructuring value of the listed company, the Llinks team achieved multi-track synergy, collaboratively driving a smooth transition between the civil compensation and the bankruptcy restructuring procedures.
During this period, the CSISC declared creditor's rights according to the law on behalf of all relevant damaged investors. In February 2026, the Nantong Intermediate People's Court convened the first creditors' meeting and officially ruled to approve the Jintongling Restructuring Plan based on the voting results. The investor claims of RMB 775 million adjudicated in the special representative litigation were fully confirmed, among which small claims of RMB 250,000 and below per investor were fully settled in cash. To effectively safeguard investor rights and improve compensation efficiency, the Nantong Intermediate People's Court entrusted the China Securities Depository and Clearing Corporation (CSDC) to assist in enforcement, efficiently completing the cash disbursement to the accounts of over 40,000 investors on February 13, 2026.
This case deeply implemented the government-court coordination mechanism and successfully explored a synergistic model for resolving civil securities disputes and bankruptcy restructuring procedures. While substantively defusing the debt risks of the listed company and helping it return to a track of high-quality development, it successfully achieved a win-win objective of protecting the rights and interests of small and medium investors.
Llinks Engagement Team
Amy Ren, Partner
Shawn Xu, Partner
Kevin Zhang, Associate
