Securities code: Zhejiang Jiahua Energy Chemical Industry Co.Ltd(600273) stock abbreviation: Zhejiang Jiahua Energy Chemical Industry Co.Ltd(600273) No.: 2022012
Zhejiang Jiahua Energy Chemical Industry Co.Ltd(600273)
Announcement on reappointment of the company’s audit institution and internal control audit institution 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: Lixin Certified Public Accountants (special general partnership)
This matter needs to be submitted to the general meeting of shareholders of the company for deliberation
Zhejiang Jiahua Energy Chemical Industry Co.Ltd(600273) (hereinafter referred to as “the company”) held the 16th meeting of the ninth board of directors on March 29, 2022, deliberated and adopted the proposal on renewing the appointment of the company’s audit institution and internal control audit institution in 2022. Lixin Certified Public Accountants (special general partnership) (hereinafter referred to as “Lixin certified public accountants” or “Lixin”) performed audit duties and completed various audits and internal control audits of the company in 2021 in accordance with independent, objective and impartial professional standards. Due to business needs, in order to maintain the continuity and stability of audit and internal control work, it is proposed to continue to employ Lixin Certified Public Accountants (special general partnership) as the company’s audit and internal control audit agency in 2022. It is estimated that the financial audit fee in 2022 will not exceed RMB 1.75 million and the internal control audit fee in 2022 will not exceed RMB 500000. The relevant information is hereby announced as follows:
1、 Basic information of the accounting firm to be employed
(I) institutional information
1. Basic information
Lixin Certified Public Accountants (special general partnership) was founded in Shanghai in 1927 by Dr. pan Xulun, a leading Chinese accountant, and reopened in 1986. In 2010, it became the first special general partnership certified public accountants firm in China to complete the restructuring. Its registered address is on the fourth floor, No. 61, Nanjing East Road, Huangpu District, Shanghai, and its chief partner is Mr. Zhu Jiandi. As a member of the international accounting network BDO, Lixin has been engaged in securities service business for a long time. Before the implementation of the new securities law, it has a securities and futures business license, has H-share audit qualification, and has been registered with the American public company accounting supervision board (PCAOB).
2. Personnel information
By the end of 2021, Lixin had 252 partners, 2276 certified public accountants and 9697 employees. The certified public accountants and practitioners of Lixin have been engaged in securities service business.
3. Business scale
In 2020, the business income (audited) of Lixin was 4.106 billion yuan, including 3.431 billion yuan from audit business and 1.357 billion yuan from securities business. In 2021, Lixin provided annual report audit services for 587 listed companies. The audited listed companies are mainly distributed in computer, communication and other electronic equipment manufacturing industry (69), pharmaceutical manufacturing industry (43), software and information technology service industry (42), chemical raw materials and chemical products manufacturing industry (35), special equipment manufacturing industry (43), electrical machinery and equipment manufacturing industry (35) Automobile manufacturing industry (25), general equipment manufacturing industry (25), rubber and plastic products industry (20).
4. Investor protection ability
By the end of 2021, Lixin had withdrawn 129 million yuan from the occupational risk fund, and the cumulative compensation limit of the occupational insurance purchased was 1.25 billion yuan. The relevant occupational insurance can cover the civil liability caused by audit failure.
5. Independence and integrity record
Lixin does not violate the independence requirements of the code of professional ethics for Chinese certified public accountants.
In 2019, 2020 and 2021, Lixin was subject to criminal punishment, administrative punishment once, supervision and management measures 24 times, self-discipline and supervision measures and disciplinary punishment twice for practicing behavior, involving 63 employees.
(II) project member information
1. Personnel information
The project partner and the certified public accountant to be signed have corresponding qualifications and professional competence, as follows: the project partner to be signed: Mr. Chen Li, who obtained the qualification of Chinese certified public accountant in 2002, began to engage in the audit of Listed Companies in 1999, began to work in the exchange in 2002, began to provide audit services for the company in 2018, and 7 listed companies signed and reviewed in recent three years.
Certified public accountant to be signed: Mr. LV Jun, who obtained the qualification of Chinese certified public accountant in 2018, began to engage in the audit of Listed Companies in 2015, began to practice in the exchange in 2018, began to provide audit services for the company in 2020, and one listed company signed and reviewed in recent three years.
Proposed independent review partner: Ms. Wan Lingling, who obtained the qualification of Chinese certified public accountant in 1998, began to engage in the audit of Listed Companies in 2001, began to practice in the exchange in 2001, and began to provide audit services for the company in 2021. Four listed companies have signed and reviewed in recent three years.
2. Record the independence and integrity of the above-mentioned relevant personnel.
The project partner, the signing certified public accountant and the quality control reviewer do not violate the independence requirements of the code of professional ethics for Chinese certified public accountants. Not subject to criminal punishment, administrative punishment, administrative supervision measures and self-discipline supervision measures.
(III) audit fees
1. Audit fee pricing principle
Pricing is mainly based on the responsibility of professional services and the degree of professional technology investment, and comprehensively considering the experience and level of employees involved in the work, the corresponding charging rate and the working hours invested.
2. Year on year changes in audit fees
Increase or decrease of the project in 2021 and 2022 (%)
The annual financial audit fee is 1.45 million yuan, no more than 1.75 million yuan, 20.69%
Internal control audit fee of 500000 yuan, no more than 500000 yuan 0.00
2、 Procedures to be performed by the accounting firm to be renewed
(I) the audit committee of the board of directors of the company reviewed Lixin certified public accountants and believed that Lixin Certified Public Accountants (special general partnership) has the qualification for securities and futures related business, has many years of experience and ability to audit listed companies, adheres to the principle of independent audit in the process of practice, earnestly performs the duties of the audit institution, and can objectively, fairly and fairly reflect the financial status and operating results of the company, Indeed protect the interests of investors and agree to submit the matter of employing Lixin certified public accountants as the audit institution and internal control audit institution of the company in 2022 to the board of directors for deliberation.
(II) the company held the 16th meeting of the 9th board of directors on March 29, 2022. With 8 votes in favor, 0 against and 0 abstention, the proposal on the renewal of the company’s audit institution and internal control audit institution in 2022 was deliberated and adopted. Now it plans to renew the appointment of Lixin Certified Public Accountants (special general partnership) as the company’s audit and internal control audit institution in 2022. It is estimated that the financial audit fee in 2022 will not exceed RMB 1.75 million, The internal control audit fee in 2022 shall not exceed RMB 500000.
(III) the independent directors of the company recognized and expressed their independent opinions on the above matters in advance: after review, Lixin Certified Public Accountants (special general partnership) showed strong professional ability and performance ability during the period of providing audit and internal control evaluation services for the company, could provide services with due diligence and issue objective and fair audit reports for the company. Therefore, we unanimously agree that the company will continue to employ Lixin Certified Public Accountants (special general partnership) as the auditor and internal control auditor of the company’s 2022 financial report.
(IV) the renewal of the company’s 2022 audit institution and internal control audit institution still needs to be submitted to the general meeting of shareholders for deliberation, which will take effect from the date of deliberation and approval by the general meeting of shareholders.
It is hereby announced.
Zhejiang Jiahua Energy Chemical Industry Co.Ltd(600273) board of directors March 30, 2022
