(Yicai) Aug. 21 -- Shares of Star CM Holdings, which produces the hit singing contest Sing! China, plunged the most since its stock market listing last December after a recording in which the late pop diva Coco Lee says she was unfairly treated by the show went viral.

Star CM [HKG: 6698] closed down 31 percent at HKD65.30 (USD8.33) a share in Hong Kong today, after earlier tumbling by as much as 32 percent.

During her time as a mentor on the show last year, Lee complained that the competition was unfair, after which the show’s team allegedly forced her to leave the stage and the producer disrupted proceedings, causing her to fall on stage due to a pre-existing leg condition, according to the speaker in the recording, who is thought to be Lee.

The show’s team said on Weibo that the recording had been edited and the misunderstanding with Hong Kong-born Lee, who died aged 48 on July 5, was cleared up at that time.

Sing! China first aired in July 2012, with some 23 mentors, including Lee, and nearly 1,000 trainee singers. It is Shanghai-based Star CM’s biggest variety show.

Zhejiang Radio and Television Group, which broadcasts the show, will look into the matter, listen carefully to viewers and netizens, and urge Star CM to maintain fairness and justice, it said on its website yesterday.

Star CM’s revenue fell 23 percent to CNY873 million (USD119 million) last year, down for the fourth straight year. Income was likely between CNY142 million and CNY152 million in the six months ended June 30, with an adjusted net loss of about CNY14.6 million to CNY18.3 million (USD2 million to USD2.5 million), compared to a net loss of CNY6.3 million (USD862,000) a year ago.

An industry insider involved in variety show production said Sing! China has had stable audience engagement during its more than 10 years on air, so the matter will have a limited impact and will not affect the show’s profitability.

Editor: Martin Kadiev