A-share securities code: 600610a-share securities abbreviation: Shanghai Zhongyida Co.Ltd(600610) Announcement No.: 2021-101 B-share securities code: 900906 B-share securities abbreviation: Shanghai Zhongyida Co.Ltd(600610) B
Shanghai Zhongyida Co.Ltd(600610)
Announcement on change of accounting firm
The board of directors and all directors of the company guarantee that there are no false records, misleading statements or major omissions in the contents of this announcement, and bear individual and joint liabilities for the authenticity, accuracy and completeness of its contents.
Important content tips:
Name of accounting firm to be employed: Tianzhi international accounting firm (special general partnership) (hereinafter referred to as "Tianzhi international")
Name of the originally appointed accounting firm: Zhongxi accounting firm (special general partnership) (hereinafter referred to as "Zhongxi accounting firm")
Brief reasons for the change of accounting firm and objections of former accountants: according to the development needs of the company, the company plans to hire Tianzhi international as the company's 2021 financial report and internal control audit institution. The company has fully communicated with Zhongxi firm in advance on matters related to the change of accounting firm, and Zhongxi firm has no objection to this.
1、 Basic information of the accounting firm to be employed
(i) Institutional information
1. Basic information
Tianzhi International Certified Public Accountants (special general partnership) was founded in March 2012 in the form of special general partnership. Its registered address is area A-1 and a-5, building 68, No. 19, Chegongzhuang West Road, Haidian District, Beijing, and its chief partner is Qiu Jingzhi.
As of December 31, 2020, Tianzhi international has 58 partners, 1254 certified public accountants and more than 450 certified public accountants who have signed the audit report of securities service business. In 2020, the total audited revenue of Tianzhi international was 2.228 billion yuan, the audit revenue was 1.693 billion yuan, and the securities business revenue was 813 million yuan. In 2020, there were 185 audit clients of listed companies. The main industries (industries of the CSRC) include manufacturing, information transmission, software and information technology services, power, heat, gas and water production and supply, water conservancy, environment and public facilities management, transportation, warehousing and postal services, mining, wholesale and retail, leasing and business services, In the real estate industry, the total audit fees of listed companies are 207 million yuan, and the company has 13 audit customers of Listed Companies in the same industry.
2. Investor protection ability
In accordance with relevant laws and regulations, Tianzhi international has accrued full amount of occupational risk fund in previous years, and the cumulative compensation limit of accrued occupational risk fund and purchased occupational insurance shall not be less than 80 million yuan. The withdrawal of occupational risk fund and the purchase of occupational insurance comply with relevant regulations. In the past three years (2018, 2019, 2020 and since the beginning of 2021, the same below), Tianzhi international has not undertaken civil liability in relevant civil proceedings due to its practice.
3. Integrity record
In recent three years, Tianzhi international has received 0 criminal punishment, 0 administrative punishment, 7 Supervision and management measures, 0 self regulatory measures and 0 disciplinary sanctions for its practice. In recent three years, 16 employees have been subject to criminal punishment 0 times, administrative punishment 0 times, supervision and management measures 6 times and self-discipline supervision measures 0 times. （2） Project information
1. Basic information
The basic information of the project partner, signature certified public accountant and project quality control reviewer is as follows:
(1) Project partner: Tong Wenguang, who became a certified public accountant in 1999, began to engage in the audit of Listed Companies in 2010, began to practice in Tianzhi international in 2010, signed 6 audit reports of listed companies and reviewed 1 audit report of Listed Companies in recent three years.
(2) Signature certified public accountant: Liu Zonglei, who became a certified public accountant in 2014, began to engage in the audit of Listed Companies in 2010, began to practice in Tianzhi international in 2019, signed 2 audit reports of listed companies and reviewed 2 audit reports of Listed Companies in recent three years.
(3) Reviewer of project quality control: Wang Haodong, who became a certified public accountant in 2008, began to engage in the audit of Listed Companies in 2007, began to practice in Tianzhi international in 2007, signed 0 audit reports of Listed Companies in recent three years, and reviewed no less than 20 audit reports of listed companies.
2. Integrity record
In the past three years, the project partner, the signing certified public accountant and the project quality control reviewer have not been subject to criminal punishment due to their professional behavior, administrative punishment and supervision 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
There are no circumstances that may affect the independence of Tianzhi international, project partners, signing certified public accountants and project quality control reviewers.
4. Audit fees
The audit service charge of Tianzhi international to be employed in 2021 is determined according to the business responsibility, complexity, work requirements, required working conditions and working hours, as well as the professional knowledge and working experience invested by staff at all levels actually participating in the business. The total audit cost in 2021 is RMB 1.55 million, including financial report audit cost of RMB 1.2 million and internal control audit cost of RMB 350000. The total audit cost in 2020 is RMB 1.45 million, including financial report audit cost of RMB 1.15 million and internal control audit cost of RMB 300000. 2、 Description of the proposed change of accounting firm
(i) Previous accounting firms and audit opinions of the previous year
Zhongxi firm, the original audit institution of the company, has provided financial report audit services and internal control audit services for the company for three consecutive years. In 2020, Zhongxi office issued standard unqualified audit report and internal control audit report to the company. The company does not dismiss the former accounting firm after entrusting the former accounting firm to carry out some audit work.
（2） Reasons for proposed change of accounting firm
According to the company's development needs, the company plans to hire Tianzhi international as the company's 2021 financial report and internal control audit institution. The company sincerely thanks Zhongxi firm for the audit services provided to the company during the employment period.
（3） Communication between the listed company and previous accounting firms
The company has fully communicated with Zhongxi firm in advance on matters related to the change of accounting firm, and Zhongxi firm has no objection to this. With the consent of the company, the previous and subsequent accounting firms have communicated in accordance with the provisions of China Auditing Standards for certified public accountants No. 1153 - communication between former certified public accountants and subsequent certified public accountants, and will cooperate as required.
3、 Procedures to be performed by the accounting firm to be changed
(i) Performance and review opinions of the audit committee
The audit committee of the board of directors has reviewed the independence, professional competence and investor protection ability of Tianzhi international, and believes that it adheres to the principle of independent audit, abides by the code of professional ethics, performs the audit work in accordance with the audit standards of Chinese certified public accountants, and has the experience and ability to provide audit services for listed companies. The audit committee of the board of directors agreed to propose to the board of directors to hire Tianzhi international as the audit institution of the company's 2021 financial report and internal control audit institution, and submit the matter to the board of directors for deliberation.
（2） Prior approval and independent opinions of independent directors
1. Prior approval opinion
Tianzhi international is a professional audit institution qualified to engage in Securities and futures related businesses. It has the experience and ability to provide audit services for listed companies and can meet the company's annual audit requirements. There is no violation of the independence requirements of the code of professional ethics for Chinese certified public accountants. Hiring Tianzhi international is in the interests of the company and all shareholders. The independent directors agreed to submit the proposal on changing the accounting firm in 2021 to the board of directors of the company for deliberation.
2. Independent opinion
Tianzhi international has sufficient independence, professional competence and investor protection ability, can meet the requirements of the company's annual audit, and is conducive to protecting the interests of listed companies and all shareholders, especially the interests of minority shareholders. The decision-making process is in line with the company law of the people's Republic of China Relevant laws and regulations such as the Listing Rules of Shanghai Stock Exchange and the provisions of the Shanghai Zhongyida Co.Ltd(600610) articles of association. The independent directors agreed to employ Tianzhi international as the company's financial report audit institution and internal control audit institution in 2021, and submitted the proposal on changing the accounting firm in 2021 to the company's general meeting of shareholders for deliberation.
（3） Deliberation and voting of the board of directors
At the 9th meeting of the 8th board of directors of the company, the proposal on changing the accounting firm in 2021 was deliberated and adopted with 7 affirmative votes, 0 negative votes and 0 abstention votes, and Tianzhi international was agreed to be employed as the audit institution of the company's financial report and internal control in 2021.
（4） Effective date
This change to the accounting firm in 2021 needs to be submitted to the general meeting of shareholders of the company for deliberation, and will take effect from the date of deliberation and approval by the general meeting of shareholders of the company.
It is hereby announced.
Shanghai Zhongyida Co.Ltd(600610) board of directors December 30, 2021
