Changchai Company Limited(000570)
Work report of the board of supervisors in 2021
During the reporting period, Changchai Company Limited(000570) the board of supervisors conscientiously performed its duties in accordance with the company law, the articles of association, the rules of procedure of the board of supervisors and other relevant laws and regulations, strictly supervised the major decisions, production and operation and financial management of the board of directors and the management, promoted the standardized operation of the company and ensured the authenticity and legality of the economic operation of the enterprise. 1、 Meetings of the board of supervisors
1. The eighth meeting of the ninth session of the board of supervisors was held on April 13, 2021, The meeting deliberated and adopted the 2020 annual report and its summary, the 2020 work report of the board of supervisors, the 2020 profit distribution and capital reserve conversion plan, the overall evaluation of the company’s internal control, the proposal on the provision for asset impairment, the proposal on Amending the rules of procedure of the board of supervisors, and the proposal on extending the validity of the resolutions of the shareholders’ meeting of non-public development banks Proposal on requesting the general meeting of shareholders to extend the validity period of authorizing the board of directors to handle the non-public development of shares.
2. The ninth meeting of the ninth session of the board of supervisors was held on April 27, 2021. The meeting considered and adopted the report of the first quarter of 2021.
3. The first interim meeting of the board of supervisors in 2021 was held on June 28, 2021. The meeting deliberated and adopted the proposal on using raised funds to replace pre invested project funds and advance issuance expenses.
4. The second interim meeting of the board of supervisors in 2021 was held on July 13, 2021. The meeting considered and adopted the proposal on purchasing financial products with its own idle funds, the proposal on purchasing financial products with idle raised funds, and the proposal on changing the implementation subject of some investment projects with raised funds.
5. The third interim meeting of the board of supervisors in 2021 was held on July 26, 2021. The meeting considered and adopted the proposal on using idle raised funds to purchase income certificates of Donghai securities and related party transactions.
6. The 10th meeting of the ninth session of the board of supervisors in 2021 was held on August 16, 2021. The meeting deliberated and adopted the semi annual report of 2021 and its summary, the proposal on changing accounting policies, the proposal on withdrawing provision for asset impairment, the proposal on writing off some accounts receivable, and the special report on the storage and use of raised funds in the semi annual of 2021.
7. The fourth interim meeting of the board of supervisors in 2021 was held on October 28, 2021. The meeting deliberated and adopted the third quarter report of 2021 and the proposal on participating in the bidding for the public listing and transfer of 41.5% equity of Zhenjiang Siyang Diesel Engine Manufacturing Co., Ltd. 2、 Independent opinions of the board of supervisors
1. Legal operation of the company: the board of supervisors believes that the members of the board of directors and management are serious and responsible, can operate in strict accordance with the company law, the securities law and the articles of association, has basically established a good internal control system, and the decision-making procedures are legal.
2. Check the company’s financial situation: the board of supervisors has carefully inspected the company’s financial system and financial situation, and believes that the company’s 2021 financial report truly reflects the company’s financial situation and operating results, and the audit opinions issued by the accounting firm and the evaluation of relevant matters are objective and fair.
3. Loss of Equity: no loss of equity, and no damage to the interests of related companies during the reporting period.
4. Implementation of insider registration management system: during the reporting period, the company did not use insider information to buy and sell shares of the company, nor did it receive the investigation and rectification issued by the regulatory authorities for the above reasons.
5. The opinions of the board of supervisors on the self-evaluation of the company’s internal control are as follows:
The board of supervisors of the company carefully reviewed the self-evaluation report on internal control of the company in 2021 and believed that the company had established and improved the internal control system covering all links of the company in accordance with the relevant provisions of the CSRC and the Shenzhen Stock Exchange, followed the basic principles of internal control and its own actual situation, ensured the normal progress of the company’s business activities and protected the safety and integrity of the company’s assets. The company’s internal control organization is complete, and the internal audit department and personnel are fully equipped to ensure the full and effective implementation and supervision of the company’s key internal control activities. In 2021, the company did not violate the self regulatory guidelines for listed companies No. 1 – standardized operation of listed companies on the main board and the company’s internal control system.
To sum up, the board of supervisors believes that the self-evaluation of the company’s internal control is comprehensive, true and accurate, reflecting the actual situation of the company’s internal control.
Changchai Company Limited(000570)
Board of supervisors
April 13, 2022
