Last Year's 315 Named-and-Shamed Companies: Current Status - Some Sanitary Pad Manufacturers Already Deregistered, Others Severely Punished, "Drug-Soaked Shrimp" Faces Million-Dollar Fine!

The annual “March 15 International Consumer Rights Day” is approaching, and the highly anticipated March 15 Gala will be held as scheduled. This event is known as the “Annual Supervision Feast” in the consumer sector, serving as both a “truth-seeking mirror” for markets and brands and an important platform for protecting consumer rights. It plays an irreplaceable role in warning against risks, preventing scams, and safeguarding consumers’ interests.

In the blink of an eye, the 2025 March 15 Gala has passed for a year. What is the current situation of the companies and issues that were publicly exposed? What costs have they paid for their actions?

Unsterilized Sanitary Pads: Some Have Been Deregistered, Others Severely Punished

Personal hygiene products like underwear and diapers directly affect skin health and privacy protection. If produced improperly or without proper disinfection, they can easily cause allergies, infections, and other public health risks.

The first industry scandal exposed at last year’s March 15 Gala was the reuse of sanitary pads. Reports indicated that Liangshan Xixi Paper Products Co., Ltd., located in Liangshan County, Jining City, sold inferior sanitary pads and baby diapers in large quantities. The company reportedly purchased defective products from more than ten well-known brands at low prices, sorted them manually, repackaged them without any sterilization process, and then sold them at high prices, with profit margins reaching 300% to 500%.

Media reports stated that after receiving feedback, the Liangshan County Market Supervision Bureau promptly visited the company’s site for handling. Besides penalties, Tianyancha business information showed that the company also significantly reduced its registered capital from 1 million yuan to just 10,000 yuan.

Another company, Yahang Clothing Processing Factory in Yucheng County, was also exposed: operating in a dirty environment, producing disposable underwear and sanitary pads by hand, using “alkaline water” for cleaning instead of disinfection, and selling finished products without sterilization marks. After exposure, it was sealed by joint enforcement teams.

According to relevant platforms, Yahang Clothing Processing Factory was deregistered after March 15, 2024, and has been completely removed from the market. In fact, deregistration does not end responsibility. Consumers who have health issues after using the company’s non-compliant products can still sue the operator for failing to fulfill liquidation obligations under the Company Law of the People’s Republic of China and related judicial interpretations, seeking medical expenses, emotional damages, and other civil compensation.

With the implementation of the new national standards in 2025, stricter control over hygiene indicators and banned substances will be enforced. Small workshops lacking compliance awareness and neglecting consumer health, whether deregistered or not, will face severe legal penalties. Consumers should remember that “deregistration ≠ exemption from liability” and keep evidence timely to protect their rights.

From Harassment to Full-Scale Seizures: Penalties for AI Harassment and Privacy Theft

Regarding companies exposed last year for privacy theft and AI voice scam calls, regulatory crackdown and industry rectification are underway. The involved entities may be shut down or face legal accountability, and governance efforts are ongoing.

Black hole data theft of personal information is rampant. Insiders say that companies stealing personal data process 10 billion pieces daily. For example, Zhongshan Lvxin Computer Technology Co., Ltd., was fined 1 million yuan by the Zhongshan municipal government on June 11 last year for violating online commodity transaction regulations.

For companies operating AI outbound call robots that generate human-like voices and match local virtual numbers to launch “massive bombardments,” each robot makes thousands of calls daily, costing only about 10,000 yuan annually but severely disturbing users’ communication peace.

Core companies in the AI harassment industry chain, such as Feige Chuan Shu (Shanghai) Information Technology Co., Ltd. and Zhiyou Qing Company, were swiftly investigated by regulators. The Shanghai Communications Administration ordered telecom operators to immediately shut down the involved transmission lines, and virtual operators like Shanghai Great Wall Mobile were required to rectify illegal activities and remove related illegal calling software.

Platforms also show that Sichuan Taojin Niwo Information Technology Co., Ltd., exposed at last year’s March 15 Gala for false or misleading commercial promotion regarding product performance, quality, and honors, was fined 50,000 yuan.

Another company, Hezhong Yilian (Chengdu) Technology Co., Ltd., was fined 50,000 yuan for violating the Advertising Law by publishing false advertisements.

Regulatory efforts extend beyond individual cases to the entire industry chain, promoting long-term mechanisms. The Ministry of Industry and Information Technology, together with provincial and municipal communication authorities, strengthen supervision of basic telecom operators and virtual operators, enforce real-name registration for phone numbers, block number resale loopholes, and require internet platforms to clean up illegal outbound call promotion information.

To combat “number switching” to evade penalties, many regions have established number traceability and dynamic supervision systems, using AI to enhance harassment call monitoring and interception, and employing digital signatures on terminals to verify caller identities. These technological measures make it difficult for illegal entities to transfer or change operators, significantly increasing the cost of violations.

“Bathing” Shrimp with Chemicals: Multi-Million Yuan Fines and License Revocations

In food safety, CCTV’s March 15 exposure revealed some producers’ illegal and excessive use of water-retaining agents during aquatic product processing. Industry insiders call this practice “water retention” or “chemical soaking,” used to improve texture, extend shelf life, and increase weight of shrimp.

The exposed Zhanjiang Shangfangzhou Food Co., Ltd. was heavily fined by Suixi County Market Supervision Administration on April 14 last year, including revoking its food production license (not to be re-applied within five years), a fine of over 2.26 million yuan, and confiscation of all involved shrimp and illegal gains.

Platforms show that the company was also listed as a seriously illegal and dishonest enterprise for falsely claiming health functions or disease prevention and treatment effects on labels and instructions, on April 17 last year.

Furthermore, Tianyancha’s administrative penalty data shows that the “chemical soaking” shrimp companies Zhanjiang Zhongqing Marine Fisheries Co., Ltd. and Zhanjiang Liangji Frozen Food Co., Ltd. were also fined, with confiscation of illegal products and gains, license revocations, and fines in the millions.

Due to the revocation of their food production licenses and the five-year ban on reapplication, Zhanjiang Liangji Frozen Food Co., Ltd. initiated deregistration, ending its operation in the food sector under the “chemical shrimp” label.

To pursue profits, illegal enterprises have added chemical residues such as sodium bisulfite, sodium tripolyphosphate, and industrial alkali to seafood, which can cause stomach irritation, allergies, and burden liver and kidney functions, especially harmful to the elderly, children, and pregnant women.

Currently, many market supervision departments are conducting special inspections, cracking down on businesses using excessive or illegal food additives, confiscating products, and imposing heavy fines. A number of watercraft relying on “chemical soaking” have been exposed and blacklisted, and the market is gradually eliminating these “chemical shrimp.”

All companies involved in the 2025 March 15 Gala have paid the price for their illegal activities. This not only serves as a stern warning to dishonest enterprises but also provides a profound lesson for the entire industry. Integrity, compliance, and maintaining quality are the core foundations for sustainable business growth. Under the continuous strengthening of supervision and social oversight, it is believed that all sectors will learn from these cases, strictly adhere to regulations, and genuinely protect consumer rights, providing safer and more reliable products and services for the public.