Another popular Internet firm in China is set to be punished for spreading pornography following a similar case involving Sina.com last month.

Qvod Technology Co., Ltd., a Shenzhen-based Internet video player service provider, has been found guilty of spreading lewd and pornographic content, according to a National Office Against Pornographic and Illegal Publications statement.

The Guangdong provincial telecommunication administration has sent a notification to the firm, saying that it will strip its license regarding paid for telecommunication services.

In the meantime, the police have launched an investigation, with several suspects being arrested.

Qvod.com is another popular Internet service provider that has been punished for porn-related violations amid the country's "Cleaning the Web 2014" campaign.

In April, Sina.com was stripped of its online publication license after the authorities found that articles and videos on its site contained lewd and pornographic content.