Securities code: Hubei Shuanghuan Science And Technology Stock Co.Ltd(000707) securities abbreviation: ST double ring Announcement No.: 2022020 Hubei Shuanghuan Science And Technology Stock Co.Ltd(000707)
Announcement on the renewal of accounting firm
The board of directors does not guarantee that the information disclosed by the company is true, complete or misleading.
Special tips:
1. Name of the accounting firm to be renewed: Daxin Certified Public Accountants (special general partnership). 2. The type of audit opinion issued by Daxin Certified Public Accountants (special general partnership) for the company in 2020 is an unqualified opinion with significant uncertainty of continuous operation.
3. The board of directors, the audit committee of the board of directors and the independent directors have no objection to the proposed renewal of the accounting firm.
4. This matter needs to be submitted to the general meeting of shareholders of the company for deliberation.
1、 Description of the proposed accounting firm
Daxin Certified Public Accountants (special general partnership) is an accounting firm mainly engaged in the audit business of large state-owned enterprises and listed companies. It operates independently according to law, has the qualification of securities business, and has rich experience and professional competence to provide high-quality audit services for listed companies for many years, It can better meet the requirements of the company's internal control and financial statement audit.
In the audit work in 2021, Daxin Certified Public Accountants (special general partnership) adhered to the principles of independence, objectivity and impartiality, successfully completed the audit of the company's financial statements and internal control in 2021, and showed good professional ethics and professional quality.
According to the deliberation and decision of the 8th meeting of the 10th board of directors, the company plans to appoint Daxin Certified Public Accountants (special general partnership) as the accounting firm for the audit of the company's financial statements and internal control in 2022 for one year. The relevant expenses shall be submitted to the general meeting of shareholders of the company to authorize the management to negotiate with the accounting firm according to the market fair and reasonable pricing principle. This proposal still needs to be submitted to the general meeting of shareholders for deliberation. 2、 Basic information of the accounting firm to be employed
(I) institutional information
1. Basic information
Daxin Certified Public Accountants (special general partnership) (hereinafter referred to as "Daxin") was established in 1985 and transformed into a special general partnership in March 2012. Its registered address is room 1504, College International Building, No. 1 Zhichun Road, Haidian District, Beijing. Daxin has 31 branches across the country, set up branches in Hong Kong and initiated the establishment of Daxin international accounting network in 2017. At present, the global members of Daxin international accounting network include 26 network members such as the United States, Canada, Australia, Germany, France, the United Kingdom and Singapore. Daxin has the practicing certificate of accounting firm issued by the Ministry of finance. It is one of the earliest accounting firms engaged in securities business in China and one of the first to obtain the audit qualification of H-share enterprises. It has nearly 30 years of securities business experience.
The chief partner is Mr. Hu Yonghua. As of December 31, 2021, Daxin has 4262 employees, including 156 partners and 1042 certified public accountants. More than 500 certified public accountants have signed the audit report of securities service business.
In 2020, the business revenue was 1.832 billion yuan, providing services to more than 10000 companies. Among the business income, the audit business income is 1.568 billion yuan and the securities business income is 584 million yuan. In 2020, there were 181 annual report audit clients of listed companies (including H shares), with an average asset of 24.951 billion yuan and a total charge of 231 million yuan. It is mainly distributed in manufacturing, information transmission software and information technology services, water conservancy environment and public facilities management, power, heat, gas and water production and supply, transportation, storage and postal services. The company has 107 audit clients of Listed Companies in the same industry.
2. Investor protection ability
The sum of the cumulative compensation limit of occupational insurance and the occupational risk fund withdrawn exceeds 80 million yuan, and the withdrawal of occupational risk fund and the purchase of occupational insurance comply with relevant regulations.
Civil liability in civil litigation related to practice in recent three years: in December 2020, Hangzhou intermediate people's court ruled that the exchange and other institutions should bear joint and several liability for compensation in the "Wuyang debt" case, and the exchange appealed against the judgment. In September 2021, the higher people's Court of Zhejiang Province made a judgment and upheld the original judgment.
3. Integrity record
Daxin does not violate the independence requirements of the code of professional ethics for Chinese certified public accountants. In the past three years, Daxin has been subject to administrative punishment once and administrative supervision measures 14 times, and has not been subject to criminal punishment, self-discipline supervision measures and self-discipline sanctions. In the past three years, 2 employees have been subject to administrative punishment and 25 people have been subject to supervision and management measures.
(II) project information
1. Basic information
Project partner to be signed: Li Chaohong
He has the qualification of certified public accountant and has worked for 21 years. He is now the partner and department manager of Daxin firm. He began to engage in the audit of Listed Companies in 1998, began to practice in the exchange in 1998, and began to provide audit services for the company in 2021. The listed companies signed in recent three years are mainly Hubei Donper Electromechanical Group Co.Ltd(601956) ( Hubei Donper Electromechanical Group Co.Ltd(601956) ), Guozhen environmental protection ( Cecep Guozhen Environmental Protection Technology Co.Ltd(300388) ), Winall Hi-Tech Seed Co.Ltd(300087) ( Winall Hi-Tech Seed Co.Ltd(300087) ), Chengxin Lithium Group Co.Ltd(002240) ( Chengxin Lithium Group Co.Ltd(002240) ) and many other listed companies. Not part-time in other units.
Certified public accountant to be signed: Tang Ping
Certified public accountant qualification. He became a certified public accountant in 2009 and began to engage in the audit of Listed Companies in 2009. He began to practice in the exchange in 2009 and began to provide audit services for the company in 2021. The audit reports of listed companies signed in recent three years include Hubei Yihua Chemical Industry Co.Ltd(000422) 2018, 2019 and 2020. Not part-time in other units.
Proposed quality control reviewer: Xiao Xianmin
The reviewer has the qualification of certified public accountant. He became a certified public accountant in 2006 and has been engaged in audit related work in Daxin Certified Public Accountants (special general partnership) since 2005. Having experience in securities business quality review, not working part-time in other units.
2. Integrity record
In the past three years, the partners of the project to be signed, the signing certified public accountants and the quality review personnel have not been subject to criminal punishment due to their professional behavior, administrative punishment, supervision and management measures by the CSRC, its dispatched offices and industry competent departments, and self-discipline supervision measures and disciplinary sanctions by self-discipline organizations such as stock exchanges and industry associations. 3. Independence
The partners of the project to be signed, the signing certified public accountants and the quality review personnel do not violate the independence requirements of the code of professional ethics for Chinese certified public accountants, do not hold and buy or sell the company's shares, and do not have other economic interests that affect the independence. Regular rotation meets the requirements.
4. Audit fees
The charge in 2021 is 900000 yuan (including 350000 yuan of internal control audit fee), a decrease of 100000 yuan compared with the previous period. The pricing principle of audit fees is mainly determined according to the audit workload.
3、 Procedures to be performed by the proposed accounting firm
(I) performance of the audit committee
The audit committee of the board of directors of the company fully understood Daxin and verified its professional qualification, business ability, independence and investor protection ability. After verification, it is agreed that he has the qualification requirements for serving the company and is competent for the work. It is agreed to propose to the board of directors to appoint Daxin as the audit accounting firm of the company in 2022.
(II) prior approval and independent opinions of independent directors
Prior approval: we agree to submit the proposal of Hubei Shuanghuan Science And Technology Stock Co.Ltd(000707) appointment of accounting firm to the 8th meeting of the 10th board of directors for deliberation.
Independent opinion: Daxin Certified Public Accountants (special general partnership) is qualified for securities business. In its audit of the company in 2021, the Institute was diligent and conscientious, adhered to the independent, objective and fair audit standards, and completed the annual audit business with due diligence. We agree to continue to employ Daxin Certified Public Accountants (special general partnership) as the accounting firm for the audit of the company's financial statements and internal control in 2022.
(III) deliberation and voting of proposals by the board of directors
At the 8th meeting of the 10th board of directors of the company, the proposal on renewing the appointment of accounting firm was considered and adopted by 9 votes in favor, 0 votes against and 0 abstentions.
(IV) effective date
The renewal of the accounting firm needs to be submitted to the general meeting of shareholders of the company for deliberation, which will take effect from the date of deliberation and approval by the general meeting of shareholders of the company.
4、 Filing documents
1. Resolutions of the 8th meeting of the 10th board of directors of the company;
2. Independent opinions of independent directors on matters related to the eighth meeting of the 10th board of directors;
3. Explanations on the basic information of the proposed accounting firm;
4. The business license of Daxin Certified Public Accountants (special general partnership), the information and contact information of the main person in charge and the contact person of the regulatory business, and the signature of the certified public accountant's license to be responsible for the specific audit business.
Hubei Shuanghuan Science And Technology Stock Co.Ltd(000707) board of directors March 10, 2022
