Securities code: 603102 securities abbreviation: Baihe stock Announcement No.: 2022016 Weihai Baihe Biotechnology Co., Ltd
Announcement on the renewal of accounting firm
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: Rongcheng accounting firm (special general partnership)
Weihai Baihe Biotechnology Co., Ltd. (hereinafter referred to as "the company") held the 14th meeting of the third board of directors and the 9th meeting of the third board of supervisors on April 18, 2022, deliberated and approved the proposal on renewing the company's audit institution in 2022, and planned to renew Rongcheng certified public Accountants (special general partnership) (hereinafter referred to as "Rongcheng certified public accountants") as the company's audit institution in 2022, This matter shall be submitted to the general meeting of shareholders of the company for deliberation. The relevant information is hereby announced as follows:
1、 Description of the proposed accounting firm
The company plans to appoint Rongcheng certified public accountants as the audit institution in 2022. The Institute provides annual report audit services for the company in 2021. There is no violation of the independence requirements of the code of professional ethics for Chinese certified public accountants. It implements integrated management, establishes a relatively perfect quality control system, has been engaged in securities service business for a long time, and the auditors have strong professional competence; Since its establishment, the Institute has not been subject to any criminal or administrative punishment. It has purchased professional liability insurance and has strong investor protection ability. Therefore, it is proposed to hire the audit institution to provide audit services for the company in 2022.
2、 Basic information of the accounting firm to be employed
(I) institutional information
1. Basic information
Rongcheng Certified Public Accountants (special general partnership) was renamed from the former Huapu Tianjian Certified Public Accountants (special general partnership). It was initially established in August 1988 and restructured into a special general partnership on December 10, 2013. It is one of the earliest certified public accountants approved to engage in securities service business in China and has been engaged in securities service business for a long time, The registered address is 901-22 to 901-26, building 1, No. 22, Fuchengmenwai street, Xicheng District, Beijing, and the chief partner is Xiao houfa.
2. Personnel information
As of December 31, 2021, Rongcheng accounting firm has 160 partners and 1131 certified public accountants, of which 504 have signed the audit report of securities service business.
3. Business scale
The total audited revenue of Rongcheng certified public accountants in 2020 is 1875787300 yuan, including 16312632 million yuan from audit business and 7361092 million yuan from securities and futures business.
Rongcheng certified public accountants Co., Ltd. undertakes the annual report audit of 274 listed companies in 2020, with a total audit fee of 318433900 yuan. Its customers are mainly concentrated in manufacturing (including but not limited to computer, communication and other electronic equipment manufacturing, special equipment manufacturing, electrical machinery and equipment manufacturing, chemical raw materials and chemical products manufacturing, automobile manufacturing and pharmaceutical manufacturing), information transmission Software and information technology service industry, construction industry, wholesale and retail industry, water conservancy, environment and public facilities management industry, transportation, storage and postal industry, scientific research and technical service industry, financial industry, power, heat, gas and water production and supply industry, culture, sports and entertainment industry, mining industry and other industries. Rongcheng certified public accountants has 185 audit clients for listed companies in the same industry where Weihai Lily Biotechnology Co., Ltd. is located.
4. Investor protection ability
Rongcheng certified public accountants has purchased professional liability insurance for certified public accountants, and the purchase of professional insurance complies with relevant regulations; As of December 31, 2021, the cumulative limit of liability and compensation is 900 million yuan.
In the past three years, there is no relevant civil litigation and civil liability in practice.
5. Integrity record
Rongcheng certified public accountants has received 0 criminal punishment, 0 administrative punishment, 1 supervision and management measure, 1 self-discipline supervision measure and 0 disciplinary punishment for its practice in recent three years.
Five employees have been subject to self-discipline supervision measures once due to their practice behavior during their practice in Rongcheng certified public accountants in recent three years, and 11 employees have been subject to supervision and management measures once each during their practice in Rongcheng certified public accountants in recent three years.
10 employees have been subject to supervision and management measures once each during their practice in other accounting firms in recent three years.
(II) project information
1. Basic information
Project partner: Wu Qiang, who became a Chinese certified public accountant in 1996, began to engage in the audit business of Listed Companies in 2004 and began to practice in Rongcheng certified public accountants in 2011; In recent three years, he has signed audit reports of listed companies such as Lizhong Sitong Light Alloys Group Co.Ltd(300428) , Zhongtai Securities Co.Ltd(600918) and so on.
Certified public accountant signing the project: Wang Yinghang, who became a Chinese certified public accountant in 2011, began to engage in the audit business of Listed Companies in 2009, began to practice in Rongcheng certified public accountants in 2011, and signed the audit reports of listed companies such as Bomesc Offshore Engineering Company Limited(603727) , Aofu Environmental Technology Co.Ltd(688021) in recent three years.
Reviewer of project quality control: Tian Zhongzhi, who became a Chinese certified public accountant in 2004, began to engage in the audit business of Listed Companies in 2002 and has 18 years of working experience in securities service business.
2. Integrity records of the above-mentioned relevant personnel
Wu Qiang, the partner of the project, Wang Yinghang, the signing certified public accountant, and Tian Zhongzhi, the reviewer of project quality control, have not been subject to criminal punishment, administrative punishment, supervision and management measures, self-discipline supervision measures and disciplinary sanctions for their professional behavior in recent three years.
3. Independence
Rongcheng certified public accountants and the above personnel do not violate the independence requirements of the code of professional ethics for Chinese certified public accountants.
4. Audit fees
Pricing principle of audit fees: the final audit fees shall be determined according to the business scale, industry, complexity of accounting treatment and other factors of the unit, as well as the auditors required for the audit of the annual report of the unit, the workload invested and the charging standard of the firm.
3、 Procedures to be performed by the accounting firm to be renewed
(I) description of the performance of the audit committee of the board of directors
According to the articles of association and other relevant laws and regulations, the audit committee of the board of directors of the company reviewed the company's renewal of Rongcheng Certified Public Accountants (special general partnership) as the company's audit institution in 2022, and considered that Rongcheng Certified Public Accountants (special general partnership) has rich audit experience and good professional ethics, and the audit reports issued by the company are objective Having fairly reflected the financial position, operating results and cash flow of the company in each period, we agree that the company will continue to employ him as the company's financial and internal control audit institution in 2022.
(II) prior approval and independent opinions of independent directors
The independent directors of the company have expressed their explicit prior approval opinions and independent opinions on the matter.
According to the prior approval opinion of the independent directors, Rongcheng Certified Public Accountants (special general partnership) has the audit qualification related to securities and futures business, has the experience and ability to provide audit services for listed companies, and can meet the audit needs of the company in 2022. The company's re employment of the accounting firm complies with the provisions of relevant laws and regulations, will not affect the audit quality of the company's accounting statements, and will not damage the interests of the company and shareholders. We unanimously agreed to submit the matter of the renewal of the accounting firm to the fourteenth meeting of the third board of directors of the company for deliberation.
According to the independent opinion of the independent directors, Rongcheng Certified Public Accountants (special general partnership) has the audit qualification related to securities and futures business, has the experience and ability to provide audit services for listed companies, and can meet the work needs of the company's financial audit and internal audit; The review and voting procedures of the company's renewal of the accounting firm comply with the provisions of relevant laws, regulations and the articles of association. We unanimously agree to continue to hire him as the company's financial and internal control audit institution in 2022.
(III) deliberations of the board of directors
The board of directors deliberated and approved the proposal on renewing the company's 2022 audit institution, and agreed to renew the appointment of Rongcheng Certified Public Accountants (special general partnership) as the company's 2022 audit institution.
(IV) deliberation of the board of supervisors
The board of supervisors deliberated and approved the proposal on the renewal of the company's audit institution in 2022, and agreed to renew the appointment of Rongcheng Certified Public Accountants (special general partnership) as the company's audit institution in 2022.
(V) effective date
The matter of renewing the appointment of the audit institution in 2022 needs to be submitted to the general meeting of shareholders of the company for deliberation and effective from the date of deliberation and approval by the general meeting of shareholders of the company.
It is hereby announced.
Board of directors of Weihai Lily Biotechnology Co., Ltd. April 19, 2022
