(Yicai Global) June 25 -- China’s securities regulator has fined Wu Xian, the founder and chairman of JT Automation Equipment, and two other people CNY496 million (USD76.8 million) for manipulating the stock market.

The China Securities Regulatory Commission will also confiscate their illegal gains of CNY165 million (USD25.5 million), JT Automation, Shenzhen-based supplier of electronic industrial equipment, said late yesterday.

After a nine-month investigation, the three individuals received an administrative penalty notice from the CSRC yesterday, the company said. Chen Lei, Lin Jianwu and Wu will pay 50 percent, 20 percent, and 30 percent of the total penalty amount, respectively.

Wu, 53, is supposed to pay CNY198 million, which is 260 times his pre-tax annual income, according to JT Automation’s financial report for last year.

The CSRC also prohibited him from entering the stock market for five years, causing him to resign from his positions. Wu was the firm’s controlling shareholder with a 32.86 percent stake as of the end of the first quarter of this year.

The case did not involve any of JT Automation’s funds, the firm said, adding that its production and operation are normal, and its business strategy remains unchanged.

JT Automation [SHE:300400], whose stock had plunged almost 30 percent over the previous two days, gained 0.9 percent today to CNY16.75 (USD2.60), after earlier jumping as much as 5.3 percent.

Founded in 2004 and listed in 2014, JT Automation is a supplier of intelligent equipment and advanced manufacturing systems, mostly used in computers, communications and consumer-electronics manufacturing, auto electronics, and communications equipment production.

Its net profit soared more than five times last year to CNY123 million on a 78 percent jump in revenue to CNY884 million.

Editor: Futura Costaglione