Securities code: Shanghai Environment Group Co.Ltd(601200) securities abbreviation: Shanghai Environment Group Co.Ltd(601200) Announcement No.: pro 2022009 Shanghai Environment Group Co.Ltd(601200)
Announcement on reappointment of audit institutions in 2022
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: Ernst & Young Huaming Certified Public Accountants (special general partnership) on March 24, 2022, Shanghai Environment Group Co.Ltd(601200) (hereinafter referred to as "the company" or "the company") held the 21st Meeting of the second board of directors, deliberated and adopted the proposal on renewing the appointment of audit institution in 2022, It is proposed to renew the appointment of Ernst & Young Huaming Certified Public Accountants (special general partnership) (hereinafter referred to as "Ernst & Young Huaming") as the accounting firm for the audit of the company's financial statements and internal control audit in 2022. The above matters must be submitted to the general meeting of shareholders of the company for deliberation. Relevant matters are hereby announced as follows:
1、 Basic information of the accounting firm to be employed
(I) institutional information
1. Basic information
Ernst & Young Huaming, established in September 1992, completed the localization transformation in August 2012, and transformed from a Sino foreign cooperative limited liability firm to a special general partnership firm. Ernst & Young Huaming is headquartered in Beijing and its registered address is room 01-12, 17th floor, Ernst & Young building, Oriental Plaza, No. 1, East Chang'an Street, Dongcheng District, Beijing. By the end of 2021, it has 203 partners, and the chief partner is Mr. Mao Anning. An Yonghua Ming has always paid attention to talent training. By the end of 2021, it has 1604 certified public accountants, including more than 1300 certified public accountants with experience in securities related business services, and more than 400 certified public accountants who have signed the audit report of securities service business. Ernst & Young Huaming's total business income in 2020 was RMB 4.76 billion, including audit business income of RMB 4.589 billion (including securities business income of RMB 2.146 billion)
Yuan). In 2020, there were 100 annual report audit clients of A-share listed companies, with a total charge of RMB 824 million. The main industries of these listed companies involve manufacturing, finance, wholesale and retail, information transmission, software and information technology services, real estate, etc. The company has 0 audit clients of Listed Companies in the same industry. 2. Investor protection ability
Ernst & Young Huaming has good investor protection ability, and has withdrawn occupational risk fund and purchased occupational insurance in accordance with relevant laws and regulations, covering Beijing head office and all branches. The sum of the accrued occupational risk fund and the purchased occupational insurance cumulative compensation limit exceeds 200 million yuan. Ernst & Young Huaming has not borne any civil liability due to civil litigation related to practice in recent three years.
3. Integrity record
Ernst & Young Huaming and its employees have not been subject to any criminal punishment or administrative punishment due to their professional behavior in recent three years, as well as the self-discipline supervision measures and disciplinary sanctions of self-discipline organizations such as stock exchanges and industry associations. It has twice received the decision of warning letter measures issued by the securities regulatory authority, involving 13 employees. The aforesaid decision to issue a warning letter is a supervisory and administrative measure, not an administrative penalty. According to the provisions of relevant laws and regulations, the supervision and management measures will not affect an Yonghua ming to continue to undertake or perform securities service business and other businesses.
(II) project information
1. Basic information
Mr. Pan Jianhui, the project partner and signing accountant, has long been involved in and responsible for the professional services of many central and local state-owned enterprises, foreign-invested enterprises, private enterprises and various types of industry companies. He has rich practical experience. Now he is a certified public accountant in China and a senior member of the China Institute of certified public accountants. He has been engaged in audit related business services in the firm since 1998, He obtained the qualification of Chinese certified public accountant on December 19, 2000 and began to practice in the exchange on April 23, 2007. He has more than 22 years of working experience and has not been punished. He began to engage in the audit of Listed Companies in 1988. He once served as the project partner and signing accountant of the audit of many domestic and foreign listed companies. He has rich experience in the audit of listed companies. His customers are involved in many industries such as environmental protection, real estate, equipment manufacturing, chemical industry, oil and gas, supply chain logistics and so on. Provide audit services for the company since 2020.
Mr. Wu Bo, the accountant to be signed, is a Chinese certified public accountant. He has been engaged in audit related business services in the firm since 2007. He obtained the qualification of Chinese certified public accountant on September 30, 2009 and began to practice in the firm on December 13, 2010. He has nearly 14 years of practice experience and has not received relevant punishment. He has been engaged in the audit of listed companies since 2014 and has rich experience in the audit of listed annual reports in environmental protection, manufacturing, real estate, biomedicine, consumer goods and other industries. He has provided audit services for the company since 2020.
Mr. Bao Xiaogang, the reviewer of quality control, began to engage in the audit of Listed Companies in 2005, began to practice at Ernst & Young Huaming in 2005, became a certified public accountant in China in 2007, and began to provide audit services for the company in 2022; Annual reports / internal control audits of four listed companies have been signed in the past three years, involving industries including education and manufacturing.
2. Integrity record
In recent three years, project partners, signed certified public accountants and project quality control reviewers have not been subject to criminal punishment due to their professional behavior, administrative punishment, supervision and management measures of the CSRC and its dispatched offices and industry competent departments, or self-discipline supervision measures and disciplinary sanctions of self-discipline organizations such as stock exchanges and industry associations.
3. Independence
Ernst & Young Huaming and the above project partners, signed certified public accountants and project quality control reviewers do not violate the independence requirements of the code of professional ethics for Chinese certified public accountants.
4. Audit fees
In 2021, the audit fee of Ernst & Young Huaming (including internal control audit) was RMB 3.3 million. The audit fee of the company in 2022 is calculated based on the estimated time cost of the partners, managers and other employees of Ernst & Young Huaming in the audit work; The 21st Meeting of the second board of directors of the company deliberated and approved the proposal on renewing the appointment of the audit institution in 2022, agreed to appoint an Yonghua Ming as the accounting firm for the audit of the company's financial statements in 2022 and the audit of internal control in 2022, and requested the general meeting of shareholders to authorize the board of directors to decide on the remuneration for audit services in 2022.
2、 Procedures to be performed by the accounting firm to be reappointed
(I) opinions of the audit committee of the board of directors
At the 13th meeting of the audit committee of the second board of directors of the company, the proposal on renewing the appointment of the audit institution in 2022 was considered and approved, and it was considered that Ernst & Young Huaming scrupulously abided by its responsibilities in the process of 2021 financial report audit and internal control audit, followed the independent, objective and fair practice standards, and successfully completed the audit of the company's 2021 financial report and internal control audit; With rich professional experience and strong investor protection ability, no bad credit record has been found in the past three years. In order to ensure the continuity and stability of the audit work, we agree to propose to the board of directors that the company continue to employ an Yonghua Ming as the company's audit institution in 2022. The audit contents include the audit of the financial report and internal control of the company and its subsidiaries within the scope of consolidated statements.
(II) prior approval opinions and independent opinions of independent directors
The independent directors of the company issued the following prior approval opinions on the renewal of the accounting firm:
Ernst & Young Huaming has professional practice ability and qualification, and has not been subject to major criminal punishment, administrative punishment, administrative supervision measures and self-discipline supervision measures in recent three years. The members of the project team have professional competence, adhere to the principle of independent audit in the service process, better perform the responsibilities and obligations specified by both parties, and ensure the smooth development of all work of the company, It is agreed to submit the matter of renewing the appointment of an Yonghua Ming as the audit institution of the company in 2022 to the board of directors for discussion and voting.
The independent directors of the company expressed their independent opinions on the renewal of the accounting firm as follows:
An Yonghua Ming is qualified to engage in securities related business, and has many years of experience and professional ability in providing audit services for listed companies. Its auditors have the necessary professional certificates and work experience, and can perform their duties in accordance with independent, objective and impartial professional standards in the professional process. Have professional competence and good professional ethics, successfully completed the audit of the company's financial report and internal control audit in 2021, and can meet the company's audit requirements. In order to ensure the continuity and stability of the audit work, the company agreed to renew the appointment of an Yonghua Ming as the audit institution in 2022, and agreed to submit the proposal to the general meeting of shareholders for deliberation.
(III) deliberation and voting of the board of directors
At the 21st Meeting of the second board of directors of the company, the proposal on renewing the appointment of the audit institution in 2022 was deliberated and approved by 9 votes in favor, 0 votes against and 0 abstentions, and agreed to continue to employ Ernst & Young Huaming Certified Public Accountants (special general partnership) as the audit firm of the company's annual report and internal control audit in 2022. (IV) effective date
The appointment of the audit institution in 2022 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.
3、 Documents for future reference
1. Resolutions of the 21st Meeting of the second board of directors of the company;
2. Prior approval opinions and independent opinions of independent directors;
3. Resolution of the 13th meeting of the audit committee of the second board of directors of the company.
It is hereby announced.
Shanghai Environment Group Co.Ltd(601200) board of directors March 26, 2022
