Jiangsu Gian Technology Co.Ltd(300709)
Internal control assurance report
Zhongxinghua Certified Public Accountants (special general partnership)
Zhongxinghuacitified publicaccountants LLP address: 20 / F, tower sohob, Lize, No. 20, Lize Road, Fengtai District, Beijing zip code: 100073 Tel: (010) 51423818 Fax: (010) 51423816
Jiangsu Gian Technology Co.Ltd(300709)
Internal control assurance report
(as of December 31, 2021)
Table of contents page 1, internal control assurance report 1-2, 2, Jiangsu Gian Technology Co.Ltd(300709) internal control self-evaluation report 1-10
Zhongxinghua Certified Public Accountants (special general partnership) Z ho N G x i n g Hu a c e RT i f i e d p u b l i c a c o n TA n t s l p address (l o c a t i o n): 20 / F, Tower B, Lize SOHO, 20 Lize Road, Fengtai District, No. 20 Lize Road, Fengtai District, Beijing, Beijing PR China Tel (t e l): 0 1 0 – 5 1 4 2 3 8 1 8 fax (f a x): 0 1 0 – 5 1 4 2 3 8 1 6 internal control assurance report
ZTE Huashen Zi (2022) No. 020031 Jiangsu Gian Technology Co.Ltd(300709) all shareholders:
We have accepted the entrustment to verify the confirmation of the effectiveness of internal control related to the financial statements on December 31, 2021 involved in the attached self-evaluation report on internal control prepared by the management of Jiangsu Gian Technology Co.Ltd(300709) (hereinafter referred to as Jiangsu Gian Technology Co.Ltd(300709) ).
1、 Responsibilities of management
Jiangsu Gian Technology Co.Ltd(300709) the responsibility of the management is to establish and improve the internal control and maintain its effectiveness in accordance with the basic norms of enterprise internal control and relevant regulations, and ensure that the internal control self-evaluation report truly and completely reflects the internal control related to the financial statements as of December 31, 2021.
2、 Responsibilities of Certified Public Accountants
Our responsibility is to express assurance opinions on the effectiveness of Jiangsu Gian Technology Co.Ltd(300709) internal control related to financial statements as of December 31, 2021. We have carried out the assurance business in accordance with the provisions of other assurance business standards for Chinese certified public accountants No. 3101 – assurance business other than audit or review of historical financial information. The standard requires us to plan and perform assurance work to obtain reasonable assurance on whether Jiangsu Gian Technology Co.Ltd(300709) has maintained effective internal control related to financial statements in all material aspects. In the process of assurance, we have implemented other procedures including understanding, testing and evaluating the integrity, rationality and effectiveness of the internal control system design related to the financial statements, as well as other procedures that we consider necessary. We believe that our assurance work provides a reasonable basis for expressing opinions.
Zhongxinghua Certified Public Accountants (special general partnership)
3、 Inherent limitations of internal control
Internal control has inherent limitations, and there is the possibility of misstatement and undetected due to error or fraud. In addition, due to the change of circumstances, the internal control may become inappropriate, or the compliance with control policies and procedures may be reduced. According to the internal control evaluation results, it is speculated that there are certain risks in the effectiveness of internal control in the future.
4、 Assurance opinion
In our opinion, Jiangsu Gian Technology Co.Ltd(300709) in accordance with the basic norms of enterprise internal control and relevant regulations, has maintained effective internal control related to the financial statements in all major aspects on December 31, 2021.
5、 Restrictions on the users and purposes of the report
This report is only for use when Jiangsu Gian Technology Co.Ltd(300709) discloses the annual report and shall not be used for any other purpose. The consequences caused by improper use have nothing to do with the certified public accountants and accounting firms performing the business. We agree that this report, as a necessary document of Jiangsu Gian Technology Co.Ltd(300709) 2021 annual report, should be submitted together with other materials and disclosed to the public. Zhongxinghua Certified Public Accountants (special general partnership) Chinese certified public accountant:
Beijing, China Certified Public Accountant:
March 31, 2002
Jiangsu Gian Technology Co.Ltd(300709)
Self evaluation report on internal control in 2021
Jiangsu Gian Technology Co.Ltd(300709) all shareholders:
In accordance with the provisions of the basic norms of enterprise internal control and its supporting guidelines and other internal control regulatory requirements (hereinafter referred to as the “enterprise internal control standard system”), combined with the internal control system and evaluation methods of Jiangsu Gian Technology Co.Ltd(300709) (hereinafter referred to as the “company” or ” Jiangsu Gian Technology Co.Ltd(300709) “), on the basis of daily and special supervision of internal control, We evaluated the effectiveness of the company’s internal control on December 31, 2021 (the benchmark date of the internal control evaluation report).
1、 Important statement
It is the responsibility of the board of directors of the company to establish, improve and effectively implement internal control, evaluate its effectiveness and truthfully disclose the internal control evaluation report in accordance with the provisions of the enterprise’s internal control standard system.
The board of supervisors shall supervise the establishment and implementation of internal control by the board of directors. The management is responsible for organizing and leading the daily operation of the enterprise’s internal control. The board of directors, the board of supervisors and the directors, supervisors and senior managers of the company guarantee that there are no false records, misleading statements or major omissions in the contents of this report, and bear individual and joint legal liabilities for the authenticity, accuracy and completeness of the contents of the report.
The objective of the company’s internal control is to reasonably ensure the legal compliance of operation and management, asset safety, authenticity and integrity of financial reports and relevant information, improve operation efficiency and effect, and promote the realization of development strategy. Due to the inherent limitations of internal control, it can only provide reasonable assurance for the realization of the above objectives. In addition, as changes in circumstances may lead to inappropriate internal control or reduced compliance with control policies and procedures, there is a certain risk to speculate the effectiveness of internal control in the future according to the internal control evaluation results.
2、 Internal control evaluation conclusion
According to the identification of major defects in the company’s internal control over financial reporting, there are no major defects in the internal control over financial reporting on the benchmark date of the internal control evaluation report. The board of Directors believes that the company has maintained effective internal control over financial reporting in all major aspects in accordance with the requirements of the enterprise’s internal control standard system and relevant regulations.
According to the identification of major defects in the company’s internal control over non-financial reports, the company found no major defects in the company’s internal control over non-financial reports on the benchmark date of the internal control evaluation report. There are no factors affecting the evaluation conclusion of the effectiveness of internal control from the base date of the internal control evaluation report to the date of issuance of the internal control evaluation report.
3、 Internal control evaluation
(I) evaluation scope of internal control
According to the risk oriented principle, the company determines the main units, businesses and matters included in the evaluation scope and high-risk areas. The main units included in the scope of evaluation include:
1 Jiangsu Gian Technology Co.Ltd(300709) ；
2. Changzhou Boyan Technology Co., Ltd;
3. Jingyan (Dongguan) Technology Development Co., Ltd;
4. Daoyan (Shanghai) Electronic Technology Development Co., Ltd;
5. Jingyan (Hong Kong) Technology Development Co., Ltd;
6、GIAN TECH. AMERICA, INC；
7. Suzhou Yiyan Intelligent Technology Co., Ltd;
8. Shenzhen antexin Technology Co., Ltd;
9. Shenzhen anxinko Technology Co., Ltd;
10. Shenzhen antexin Software Co., Ltd;
11. Antexin Technology (Changzhou) Co., Ltd.
The total assets of the units included in the evaluation scope account for 100% of the total assets in the company’s consolidated financial statements, and the total operating revenue accounts for 100% of the total operating revenue in the company’s consolidated financial statements.
When determining the scope of internal control evaluation, the company comprehensively considered all businesses and matters of the company and all departments and subordinate units. The main businesses and matters included in the scope of evaluation include: corporate governance structure, corporate organizational structure, raised funds management, financial management system and financial report, internal audit supervision, sales and collection, procurement and expenses and payment, asset and infrastructure project management, quality and safety and environment, contract management Related party transactions, foreign investment and foreign guarantee, information disclosure, management system of subsidiaries and branches, development strategy, human resources, it information system, corporate culture, social responsibility, etc. The above businesses and matters included in the evaluation scope cover the main aspects of the company’s operation and management, and there are no major omissions. The high-risk areas of focus mainly include: corporate governance structure, raised funds management, financial management system and financial report, procurement and expenses and payment, sales and collection, quality and safety and environment, and asset management.
Related party transactions, internal audit, information system, control of external guarantee, management of subsidiaries and branches, control of information disclosure. The company designs and establishes the company’s internal control system and control system according to the requirements of relevant laws and regulations such as the basic norms of enterprise internal control issued by the Ministry of finance.
(II) the company’s businesses and matters included in the evaluation scope are as follows:
1. Corporate governance structure
In accordance with the requirements of the company law, the securities law and relevant laws and regulations of the CSRC, the company has established a standardized governance structure and rules of procedure, defined the responsibilities and authorities in decision-making, implementation and supervision, formed a scientific and effective division of responsibilities and check and balance mechanism, and the corporate governance structure is reasonable and sound.
According to the provisions of the articles of association, the powers of the general meeting of shareholders comply with the provisions of the company law and the securities law. The general meeting of shareholders shall be held at least once a year, and an extraordinary general meeting of shareholders may be held under the circumstances specified in the company law. The board of directors is composed of seven directors, including three independent directors. Authorized by the general meeting of shareholders, the board of directors is fully responsible for the operation and management of the company, formulating the company’s business plan, investment plan, financial budget and final settlement plan, and formulating the basic management system. It is the center of the company’s business decision-making and is responsible for the general meeting of shareholders. The board of supervisors of the company is composed of three supervisors, including one employee supervisor. The management of the company is responsible for formulating specific work plans, obtaining business and financial information in time, assessing the implementation of the plans, and making appropriate amendments to the plans according to the analysis results of the actual implementation.
The board of directors of the company has four special committees: Audit Committee, strategy committee, nomination committee and salary and assessment committee, and has formulated the rules of procedure of each special committee. Since its establishment, the special committees have operated well, and the members can perform their duties, ensuring the healthy operation of the company. The company has established and improved the independent director system. The independent directors express independent opinions in strict accordance with relevant regulations in the use of the company’s raised funds, foreign investment, foreign guarantee, related party transactions and other aspects, which has played a necessary supervisory role.
The company has established a corporate governance structure system composed of the general meeting of shareholders, the board of directors, the board of supervisors and the management team, and formulated the Jiangsu Gian Technology Co.Ltd(300709) articles of association, the working system of the Secretary of the board of directors, the working rules of the strategy committee, the working rules of the audit committee, the working rules of the nomination committee, the working rules of the remuneration and assessment committee, the working rules of the general manager, the internal reporting system of major information External guarantee management system, related party transaction management system, internal audit management measures and other systems and rules.
2. Management of raised funds
The company strictly abides by the relevant laws and regulations of the CSRC on the raised funds of listed companies, formulates and strictly implements the raised funds management system, defines the use, management and supervision procedures of the special account for raised funds, and makes clear provisions on the storage, use, management, supervision and accountability of the special account for raised funds, so as to safeguard the legitimate interests of all shareholders. The company strictly implements the relevant laws and regulations of the raised funds and the provisions of the company’s management system, and strictly performs the application and approval procedures for the use of the raised funds.
3. Financial management system and financial report
The financial department of the company is fully responsible for financial management and reporting activities. In accordance with the company law, accounting law, accounting standards for business enterprises and other laws and regulations and their supplementary provisions, the financial department has formulated a series of financial management systems, set up more reasonable post responsibilities and authorities in financial management and accounting audit, and equipped with corresponding personnel to ensure the smooth development of financial and accounting work, and the financial department is clear, Implement the post responsibility system, and all posts can check and balance each other. The internal control of the company’s accounting management is complete, reasonable and effective. The company’s accountants at all levels have corresponding professional quality, participate in relevant business training from time to time, and formulate and implement clear authorization regulations for important accounting business and computerized operation.
The company has formulated the annual financial report preparation plan, specifying the preparation method of the annual financial report, the accounting adjustment policy and disclosure policy of the annual financial report, as well as the time requirements of the report; Collect and summarize relevant accounting information; Prepare annual, semi annual, quarterly and monthly financial reports, etc.
The company has established a reasonable internal control system for monetary capital, procurement and payment, sales and collection through ERP and OA systems
