The company was investigated by the U.S. Securities and Exchange Commission, it said on Thursday. The SEC asked the company to provide financial records since January 2018 and referred to the financial content reported by short positions Wolfpack research. After the news came out, iqiyi’s share price fell by 19% in after hours. The company’s shares fell 2.43% to $21.68 on Thursday. On the same day, iqiyi shares closed down $0.54, or 2.43%, to $21.68 in regular NASDAQ trading. < p > < p > iqiyi said that it had hired consultants to investigate Wolfpack research’s charges, and could not predict the duration and results of the SEC investigation. < / P > < p > in April this year, iqiyi was shorted by Wolfpack research, which claimed that iqiyi’s revenue in 2019 was exaggerated by 8-13 billion yuan. In this regard, iqiyi has said that the short report quoted data and conclusions are seriously untrue, and the company firmly denies all false accusations. < p > < p > the short report points out that iqiyi had fraud long before its IPO in 2018 and has continued to this day. Wolfpack research estimates that iqiyi exaggerated its revenue in 2019 by about RMB 8-13 billion, or 27% – 44%, and iqiyi achieved this goal by boasting about 42% – 60% of its users. In addition, iqiyi overstated the costs it paid for content, other assets and acquisitions, hiding fraud from auditors and investors by burning counterfeit money, the report said.