Securities code: Zhejiang Sanfer Electric Co.Ltd(605336) securities abbreviation: Zhejiang Sanfer Electric Co.Ltd(605336) Announcement No.: 2022028 Zhejiang Sanfer Electric Co.Ltd(605336)
Announcement on reappointment of accounting firm 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 the accounting firm to be employed: Ernst & Young Huaming accounting firm (special general partnership) ● internal control audit institution to be employed: the 17th meeting of the second board of directors of Ernst & Young Huaming accounting firm (special general partnership) was held on April 13, 2022. The meeting considered and adopted the proposal on renewing the company's audit institution in 2022, It is agreed to continue to employ Ernst & Young Huaming Certified Public Accountants (special general partnership) (hereinafter referred to as "Ernst & Young Huaming") as the audit institution of the company in 2022 and its internal control audit institution in 2022 for one year.
This matter still needs to be submitted to the 2021 annual general meeting of shareholders of the company for deliberation, which will take effect from the date of adoption by the general meeting of shareholders.
1、 Basic information of the accounting firm to be employed
(I) institutional information
1. Basic information
Ernst & Young Huaming Certified Public Accountants (special general partnership), 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 focused on talent training. By the end of 2021, he had 1604 certified public accountants, including more than 1300 certified public accountants with experience in securities related business services, and 400 certified public accountants who signed the audit report of securities service business.
The total business income of Ernst & Young Huaming 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). 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 3 audit clients of Listed Companies in the same industry.
2. Investor protection ability
Ernst & Young Huaming has good investor protection ability and has purchased professional 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
Ms. Zhouhua, the project partner and the first signing certified public accountant, became a certified public accountant in 2007, began to engage in the audit of Listed Companies in 2005, began to practice at Ernst & Young Huaming in 2002, and began to provide audit services for the company in 2021; Annual reports / internal control audits of five listed companies have been signed in the past three years, involving industries including manufacturing, scientific research and technical services, leasing and business services.
The signing accountant is Mr. Feng Bingzhang, who became a certified public accountant in 2019, began to engage in the audit of Listed Companies in 2014, began to practice at Ernst & Young Huaming in 2014, and began to provide audit services for the company in 2020; Signed the annual report / internal control audit report of a listed company in the past three years, involving industries including manufacturing.
The reviewer of project quality control is Mr. Pan Jianhui, who became a certified public accountant in 2000, began to audit listed companies in 1988 and began to practice at Ernst & Young Huaming in 2007; In 2021, it began to provide audit services for the company, and signed the annual report / internal control audit report of a listed company in recent three years, involving industries including water conservancy, environment and public facilities management.
2. Integrity record
The above project partners, quality control reviewers and current signing accountants have not violated the independence requirements of the code of professional ethics for Chinese certified public accountants, and have not been subject to criminal punishment, administrative punishment, administrative supervision measures and self-discipline supervision measures in the past three years.
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
The audit fee of the company's annual report in 2021 is RMB 1.1 million (an increase of RMB 300000 compared with the previous period, with a change rate of 37.5%, which is due to the growth of the company's asset scale and business scale and the corresponding increase of audit workload after the company's successful listing). The internal control audit fee is RMB 270000, which is charged according to the number of staff days required by Ernst & Young Huaming to provide audit services and relevant charging standards. The number of staff days shall be determined according to the nature and complexity of audit services, and the charging standard shall be determined according to the professional skill level of practitioners. The board of directors of the company requests the general meeting of shareholders to authorize the management of the company to negotiate with Ernst & Young Huaming to determine the relevant audit fees in 2022 according to the specific workload and market price level of the audit.
2、 Procedures to be performed for the renewal of accounting firm
(I) opinions of the audit committee of the board of directors
On April 13, 2022, the company held the fifth meeting of the audit committee of the second board of directors, deliberated and approved the proposal on the renewal of the company's audit institution in 2022. The audit committee believed that Ernst & Young Huaming's professional competence, investor protection ability, independence and integrity met the relevant requirements in the audit process of 2021 financial report, and adhered to the principle of independent audit in the process of practice, Be able to issue various professional reports for the company on time, and the contents of the reports are objective and fair. There is no damage to the interests of the company and shareholders, especially non affiliated shareholders. Be able to meet the requirements of the company's audit work in the future, and be able to audit the company's financial status and internal control status independently.
Agree to continue to appoint Ernst & Young Huaming Certified Public Accountants (special general partnership) as the auditor of the company's financial report in 2022, and appoint it as the auditor of internal control in 2022, and submit the matter to the board of directors for deliberation.
(II) prior approval 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 Certified Public Accountants (special general partnership), as the company's audit institution in 2021, can earnestly perform its audit responsibilities, objectively evaluate the company's financial status and operating results through the implementation of audit work, and independently express audit opinions. Ernst & Young Huaming Certified Public Accountants (special general partnership) has no relationship or other interest relationship with the company, which can meet the requirements of the company's financial audit and internal control audit in 2022.
We unanimously agree to continue to appoint Ernst & Young Huaming Certified Public Accountants (special general partnership) as the audit institution of the company's financial report in 2022 and its internal control audit institution in 2022, and submit this proposal to the 17th meeting of the second board of directors for review.
The independent directors of the company expressed their independent opinions on the renewal of the accounting firm as follows:
After verification, during the period of acting as the company's audit institution in 2021, Ernst & Young Huaming Certified Public Accountants (special general partnership) followed the independent audit standards for Chinese certified public accountants, diligently checked the company's 2021 financial report, the occupation of funds by controlling shareholders and their related parties, and the use of raised funds, and issued audit opinions objectively and fairly, reflecting good professional norms and ethics. We agree to renew the appointment of Ernst & Young Huaming Certified Public Accountants (special general partnership) as the company's audit institution in 2022, and agree to submit the matter to the company's 2021 annual general meeting for deliberation.
(III) deliberation and voting of the board of directors
The board of Directors believes that Ernst & Young Huaming and its auditors have always maintained both formal and substantive independence in this audit, and complied with the requirements of maintaining independence in the basic principles of professional ethics. At the same time, the audit team should be competent and cautious, and be able to undertake the audit work. In this year's audit, the audit team carried out appropriate audit procedures in accordance with the requirements of the auditing standards for Chinese certified public accountants, and obtained sufficient and appropriate audit evidence for expressing audit opinions. The firm's unqualified audit opinion on the financial statements is made on the basis of obtaining sufficient and appropriate audit evidence.
Based on Ernst & Young Huaming's professional competence and professional ethics, the 17th meeting of the second board of directors of the company considered and approved the proposal on renewing the appointment of the company's 2022 audit institution, and agreed to renew the appointment of Ernst & Young Huaming as the company's 2022 financial audit institution and internal control audit institution for one year.
Voting results: 7 in favor, 0 abstention and 0 against
(IV) the appointment of an accounting firm needs to be submitted to the 2021 annual 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.
It is hereby announced.
Zhejiang Sanfer Electric Co.Ltd(605336) board of directors April 14, 2022
