Changchun Engley Automobile Industry Co.Ltd(601279)
Performance report of the audit committee of the board of directors in 2021
As a member of the audit committee of the board of directors of Changchun Engley Automobile Industry Co.Ltd(601279) (hereinafter referred to as “the company”), we strictly comply with the provisions of normative documents such as the standards for corporate governance of listed companies, the rules for independent directors of listed companies, the guidelines for self-discipline supervision of listed companies of Shanghai Stock Exchange No. 1 and the relevant systems and regulations such as the articles of association, the working rules of the audit committee of the board of directors and the independent director system, With a diligent and conscientious working attitude, conscientiously perform their duties and give full play to the role of independent directors and members of special committees, the work of 2021 is reported as follows:
1、 Basic information of the audit committee
The members of the audit committee of the Fourth Board of directors of the company are independent directors Wang Jun, Meng Yan and director Lin Qibin. The chairman of the audit committee is Meng Yan, an independent director with professional accounting qualification.
2、 Convening of 2021 annual meeting
In 2021, the audit committee of the board of directors of the company held 6 meetings, and all members attended the meeting in person:
(I) on March 25, 2021, the company held the first meeting of the audit committee of the third board of directors in 2021. Three members should attend the meeting, three actually attended the meeting, and three members Meng Yan, Wang Jun and Lin Qibin attended the meeting. The meeting was presided over by Meng Yan, chairman of the audit committee of the board of directors. The meeting deliberated and adopted the proposal on the company’s 2020 financial final account plan, the proposal on the company’s 2021 financial budget plan, the proposal on the company’s 2020 profit distribution plan, and the proposal on employing PricewaterhouseCoopers Zhongtian Certified Public Accountants (special general partnership) as the company’s 2021 audit institution The proposal on confirming the company’s daily connected transactions in 2020, the proposal on predicting the company’s daily connected transactions in 2021, the proposal on reviewing the company’s internal control self-evaluation report in 2020, the proposal on reviewing the work plan of the company’s audit office in 2021, the proposal on providing guarantee for wholly-owned subsidiaries, the proposal on reporting the company’s financial report in 2020 Proposal on the company’s 2021 annual guarantee plan.
(II) on April 29, 2021, the company held the second meeting of the audit committee of the third board of directors in 2021. Three members should attend the meeting, three actually attended the meeting, and three members Meng Yan, Wang Jun and Lin Qibin attended the meeting. The meeting was presided over by Meng Yan, chairman of the audit committee of the board of directors, and the report for the first quarter of 2021 was considered and adopted at the meeting.
(III) on June 25, 2021, the company held the third meeting of the audit committee of the third board of directors in 2021. Three members should attend the meeting, three actually attended the meeting, and three members Meng Yan, Wang Jun and Lin Qibin attended the meeting. The meeting was presided over by Meng Yan, chairman of the audit committee of the board of directors. The meeting deliberated and adopted the proposal on providing guarantee for wholly-owned subsidiaries and holding subsidiaries to apply for comprehensive credit.
(IV) on July 12, 2021, the company held the first meeting of the audit committee of the Fourth Board of directors in 2021. Three members should attend the meeting, three actually attended the meeting, and three members Meng Yan, Wang Jun and Lin Qibin attended the meeting. The meeting was presided over by Meng Yan, chairman of the audit committee of the board of directors, deliberated and adopted the proposal on the election of members of the special committee of the Fourth Board of directors, and agreed to elect Mr. Meng Yan as chairman of the audit committee of the Fourth Board of directors of the company.
(V) on August 27, 2021, the company held the second meeting of the audit committee of the Fourth Board of directors in 2021. Three members should attend the meeting, three actually attended the meeting, and three members Meng Yan, Wang Jun and Lin Qibin attended the meeting. The meeting was presided over by Meng Yan, chairman of the audit committee of the board of directors, and deliberated and adopted the company’s 2021 semi annual report and its summary, the proposal on providing guarantee for wholly-owned subsidiaries’ application for comprehensive credit, and the special report on the deposit and actual use of the company’s 2021 semi annual raised funds. (VI) on October 29, 2021, the company held the third meeting of the audit committee of the Fourth Board of directors in 2021. Three members should attend the meeting, three actually attended the meeting, and three members Meng Yan, Wang Jun and Lin Qibin attended the meeting. The meeting was presided over by Meng Yan, chairman of the audit committee of the board of directors, and deliberated and adopted the report of the company for the third quarter of 2021 and the proposal on providing guarantee for wholly-owned subsidiaries to apply for comprehensive credit.
3、 Performance of the audit committee
(I) supervise and evaluate the work of external audit institutions and put forward renewal suggestions
The external audit institution employed by the company is PricewaterhouseCoopers Zhongtian Certified Public Accountants (special general partnership), which has the professional qualification to engage in securities related business, can better complete all the work entrusted by the company, has no relationship with the company, and can maintain independence in the process of issuing audit report. During the reporting period, the committee had full discussion and communication with them on the audit scope, audit plan, audit methods and other matters, and believed that PricewaterhouseCoopers Zhongtian Certified Public Accountants (special general partnership) was diligent and responsible during the audit of the company and followed the professional standards of independence, objectivity and impartiality. During the reporting period, the audit committee checked the performance and professional quality of PWC Zhongtian Certified Public Accountants (special general partnership) and certified public accountants audited in 2020, and made a comprehensive and objective evaluation on the service awareness, professional ethics and performance ability of the accounting firm, It is suggested to continue to appoint PricewaterhouseCoopers Zhongtian Certified Public Accountants (special general partnership) as the audit institution of the company in 2021.
(II) guide internal audit
During the reporting period, the audit committee carefully reviewed the annual internal audit work plan of the Audit Department of the company in accordance with the requirements of the company law, the securities law, the basic norms of enterprise internal control and supporting guidelines, combined with the actual situation of the company, defined the key points of the audit work of the company in 2021, timely supervised and inspected the implementation of the plan, and put forward guiding opinions on the problems found in the internal audit, After reviewing the internal audit work report, no major errors and problems were found in the internal audit work of the audit department.
(III) review and comment on the company’s financial report
During the reporting period, the audit committee reviewed the company’s financial report and believed that the company’s financial report was true, complete and accurate, and there were no fraud, fraud and material misstatement related to the financial report. We have focused on the major accounting and audit issues and accounting policy changes in the company’s financial report, and believe that there are no major accounting error adjustments, matters involving important accounting judgments, etc.
(IV) evaluate the effectiveness of internal control
During the reporting period, the company strictly implemented various laws, regulations, rules, articles of association and internal management systems, and standardized the operation of the general meeting of shareholders, the board of directors, the board of supervisors and the management, effectively protecting the legitimate rights and interests of the company and shareholders.
(V) coordinate the communication between the management, internal audit department and relevant departments and external audit institutions
During the reporting period, on the basis of fully listening to the opinions of all parties, the audit committee actively coordinated the communication between the company’s management and the external audit institutions and the communication between the external audit institutions and the company’s internal audit department, which made the communication between the company’s management, the internal audit department and relevant departments and the external audit institutions more effective and improved the efficiency of the audit work.
4、 Performance evaluation
During the reporting period, the audit committee performed its duties in accordance with the requirements of relevant laws and regulations, performed its functions of supervision and guidance, and performed the duties of the audit committee well.
In 2022, we will continue to fulfill our duties and responsibilities, pay close attention to the regulatory priorities of the CSRC and Shanghai Stock Exchange, actively explore more effective daily supervision mechanisms, improve the decision-making ability of the management with professional knowledge, promote the standardized operation and stable operation of the company, and actively safeguard the overall interests of the company and the legitimate rights and interests of all shareholders. It is hereby reported.
Changchun Engley Automobile Industry Co.Ltd(601279) board of directors audit committee
March 28, 2022
