Asia Tech Wire (June 26) -- Chinese optical storage company Amethystum Storage Technology Co., Ltd has been recovered 1.086 billion yuan (US$149 million) by intermediaries after it was delisted for fraudulent issuance.

Amethystum Storage disclosed on Monday that the company recently received materials from China Securities, Grant Thornton, RSM, and GFE Law Office regarding its litigation case on the dispute over the liability for misrepresentation of its securities, and recovered 1.086 billion yuan of the compensation previously advanced to eligible investors in advance.

China Securities was the sponsor and lead underwriter of the company's IPO in 2020, while Grant Thornton and RSM provided audit services before and after the IPO. And GFE Law Office served as special legal counsel for the IPO.

For complaint-ridden Amethystum Storage, the question is how to pay out.

According to an announcement in late May, as of Nov. 30, 2023, the company and its controlling subsidiaries had faced a total of 128 lawsuits and arbitration cases, involving a total amount of 963 million yuan.

Amethystum Storage was listed in February 2020 on Shanghai Sci-Tech Innovation Board (STAR Market), raising 1.023 billion yuan.

But only two years after the listing, the company and its controllers were investigated by the China Securities Regulatory Commission (CSRC) for suspected information disclosure violations.

After that, Amethystum Storage was formally delisted in July 2023 from the Shanghai Stock Exchange.