Securities code: Shareate Tools Ltd(688257) securities abbreviation: Shareate Tools Ltd(688257) Announcement No.: 2022007 Shareate Tools Ltd(688257)
Announcement on re employment of financial audit institutions and internal control audit institutions 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 legal responsibility for the authenticity, accuracy and integrity of its contents according to law.
Shareate Tools Ltd(688257) (hereinafter referred to as “the company” or ” Shareate Tools Ltd(688257) “) held the 9th meeting of the 4th board of directors and the 5th meeting of the 4th board of supervisors on April 19, 2022, deliberated and adopted the proposal on renewing the employment of financial audit institutions and internal control audit institutions in 2022. In order to maintain the continuity and stability of audit work, We agree to renew the employment of notary Tianye Certified Public Accountants (special general partnership) (hereinafter referred to as “notary Tianye”) as the company’s financial audit institution and internal control audit institution in 2022 for one year. This matter needs to be submitted to the general meeting of shareholders for deliberation. The specific announcement is as follows:
1、 Basic information of the accounting firm to be renewed
（1） Institutional information
1. Basic information
Notary Tianye Certified Public Accountants (special general partnership) was established in 1982 and transformed into a special general partnership certified public accountants in August 2013. Its registered address is room 5-1001, JIAYE wealth center, Taihu new town, Wuxi City. Notarial Tianye has obtained the practice certificate of accounting firm issued by Jiangsu Provincial Department of finance. It is one of the earliest accounting firms engaged in securities business in China and has been engaged in securities service business for a long time. In November 2020, the Ministry of Finance and China Securities Regulatory Commission announced the list and basic information of accounting firms engaged in securities service business, and notary Tianye became the first batch of accounting firms engaged in securities service business.
The chief partner of notarial Tianye is Mr. Zhang caibin. At the end of last year, there were 49 partners, 318 certified public accountants and 130 certified public accountants who signed the audit report of securities service business. In 2021, the total audited income was 349573200 yuan, the audit income was 281903800 yuan, and the securities business income was 174260300 yuan. There were 59 annual audit clients of Listed Companies in the previous year, with an average asset of 4.821 billion yuan and a total annual audit fee of 54.74 million yuan. The industries of listed companies include manufacturing, information transmission software and information technology services, scientific research and technology services, wholesale and retail, real estate, transportation, warehousing and postal services, mining, power, heat, gas and water production and supply Water conservancy, environment and public facilities management The company has 2 audit clients of Listed Companies in the same industry, and notary Tianye has audit experience in the industry in which the company is located.
2. Investor protection ability
The cumulative compensation limit of professional insurance purchased by notarial Tianye is 150 million yuan. The purchase of professional insurance complies with the notice of the Ministry of Finance on printing and distributing the Interim Measures for professional liability insurance of accounting firms (CAI Kuai (2015) No. 13). In the past three years, there has been no civil liability in relevant civil proceedings due to practice.
3. Integrity record
Notarial Tianye and its employees have not been subject to criminal punishment, administrative punishment, self-discipline supervision measures and disciplinary sanctions due to their practice in the past three years; In the past three years, notarial Tianye has been subject to supervision and management measures for its practice for four times, five practitioners have been subject to supervision and management measures for their practice for one time, and one practitioner has been subject to supervision and management measures for their practice for two times.
（2） Project information
1. Basic information
(1) Project partner: Zhao Ming, who became a Chinese certified public accountant in 2010, has been engaged in the audit of listed companies since 2006, has been practicing in notary Tianye since 2006, and has provided audit services for Shareate Tools Ltd(688257) since 2018. In recent three years, he has signed the annual audit reports of several listed companies such as Wuxi Paike New Materials Technology Co.Ltd(605123) ( Wuxi Paike New Materials Technology Co.Ltd(605123) ), Wuxi Best Precision Machinery Co.Ltd(300580) ( Wuxi Best Precision Machinery Co.Ltd(300580) ), Jiangsu Jiangnan Water Co.Ltd(601199) ( Jiangsu Jiangnan Water Co.Ltd(601199) ).
(2) Signature certified public accountant: Jiang Ming, who became a Chinese certified public accountant in 2012, has been engaged in the audit of listed companies since 2010, has been practicing in notary Tianye since 2009, and has provided audit services for Shareate Tools Ltd(688257) since 2021. In recent three years, he has signed the annual audit reports of several listed companies such as Flying Technology Co.Ltd(603488) ( Flying Technology Co.Ltd(603488) ) and Jiangsu Asia-Pacific Light Alloy Technology Co.Ltd(002540) ( Jiangsu Asia-Pacific Light Alloy Technology Co.Ltd(002540) ).
(3) Reviewer of project quality control: Wang Wei, who became a Chinese certified public accountant in 2004, has been engaged in the audit of listed companies since 2002, has been practicing in notary Tianye since 2000, and has provided audit services for Shareate Tools Ltd(688257) since 2018. Reviewed the annual audit reports of several listed companies in recent three years, including Wuxi Huaguang Environment & Energy Group Co.Ltd(600475) ( Wuxi Huaguang Environment & Energy Group Co.Ltd(600475) ), Flying Technology Co.Ltd(603488) ( Flying Technology Co.Ltd(603488) ), Wuxi Honghui New Materials Technology Co.Ltd(002802) ( Wuxi Honghui New Materials Technology Co.Ltd(002802) ).
2. Integrity record
In the past three years, the project partner, the signing certified public accountant and the project quality control reviewer have not been subject to criminal punishment due to their professional behavior, administrative punishment and supervision measures by the CSRC, its dispatched offices and industry competent departments, and self-discipline supervision measures and disciplinary sanctions by self-discipline organizations such as securities trading places and industry associations.
3. Independence
The proposed appointment of notarial Tianye and project partners, signing certified public accountants and project quality control reviewers does not violate the independence requirements of the code of professional ethics for Chinese certified public accountants.
2、 Audit fees
The financial audit fee in 2021 is 850000 yuan. The pricing principle of this audit fee is mainly based on the company’s business scale, industry and complexity of accounting treatment, as well as the time spent by staff at all levels of the firm in this work. In 2022, the specific audit fee was submitted to the general meeting of shareholders for approval, and the board of directors authorized the management to determine it according to the specific workload and market price level of the audit in 2022.
3、 Procedures to be performed by the accounting firm to be reappointed
(I) performance of the audit committee
The audit committee of the board of directors of the company has reviewed notarial Tianye and believes that it has the qualification to engage in securities business and rich experience and professional quality in auditing listed companies. In the process of cooperation with the company, they can adhere to the principle of independent audit, and the project personnel are independent, objective and fair, serious and responsible in the audit process, showing a good professional standard. Therefore, it is agreed that the company will continue to hire notary Tianye to be responsible for the company’s financial audit and internal control audit in 2022 for one year, and submit it to the board of directors for deliberation.
(II) deliberation and voting of the board of directors and the board of supervisors
The company held the 9th meeting of the 4th board of directors on April 19, 2022. At the meeting, the proposal on renewing the appointment of financial audit institution and internal control audit institution in 2022 was considered and approved by a unanimous vote of 7 votes in favor, 0 votes against and 0 abstentions, and the company agreed to renew the appointment of notary Tianye as the financial audit institution and internal control audit institution in 2022.
The company held the 5th meeting of the 4th board of supervisors on April 19, 2022. At the meeting, the proposal on renewing the employment of financial audit institution and internal control audit institution in 2022 was considered and adopted by 3 votes in favor, 0 votes against and 0 abstentions, and the company agreed to renew the employment of notarial Tianye as the company’s financial audit institution and internal control audit institution in 2022.
(III) prior approval and independent opinions of independent directors
Prior approval opinion: notarial Tianye is qualified to engage in the audit business of listed companies. The accounting firm and its employees meet the requirements for independence in the code of professional ethics for Chinese certified public accountants. The project partner, signing certified public accountant and project quality control reviewer have corresponding professional experience and professional competence. As the audit institution of the company’s long-term cooperation, notarial Tianye is diligent, independent, objective and impartial, has the ability and requirements to continue to provide annual audit services for the company, and does not damage the interests of the company and shareholders, especially the interests of minority shareholders. The company agreed to renew the appointment of notary Tianye as the company’s financial audit institution and internal control audit institution in 2022, and submitted the proposal on renewing the appointment of financial audit institution and internal control audit institution in 2022 to the ninth meeting of the Fourth Board of directors for deliberation.
Independent opinion: in the audit process, notarial Tianye can abide by its duties and follow the independent, objective and fair practice standards. The relevant deliberation procedures of the board of directors are sufficient and appropriate, and comply with the provisions of relevant laws, regulations and the articles of association. Agree to renew the appointment of notary Tianye as the company’s financial audit institution and internal control audit institution in 2022.
(IV) effective date
This matter shall be submitted to the general meeting of shareholders of the company for deliberation and shall take effect from the date of deliberation and approval by the general meeting of shareholders of the company. It is hereby announced.
Shareate Tools Ltd(688257) board of directors April 20, 2022
