Work report of the board of supervisors in 2021
1、 Basic evaluation of the company’s operation and management behavior and performance in 2021
In 2021, the board of supervisors earnestly performed the duties of supervisors in strict accordance with the company law, securities law and other laws and regulations, as well as the requirements of the articles of association, rules of procedure of the board of supervisors and other rules and regulations.
The board of supervisors attended all the meetings of the board of directors in 2021 as nonvoting delegates, and believed that the board of directors earnestly implemented the resolutions of the general meeting of shareholders, performed its duties diligently, and did not harm the interests of the company and shareholders. The resolutions of the board of directors meet the requirements of the company law and other laws, regulations and the articles of association.
The board of supervisors effectively supervised the company’s production and operation activities during its term of office, and believed that the company’s management seriously implemented the resolutions of the board of directors, made efforts to promote various work according to the company’s established development direction, and achieved the goal of stable development of performance.
2、 Work of the board of supervisors during the reporting period
During the reporting period, the board of supervisors held 4 meetings. 20 topics including the work report of the board of supervisors in 2020, the proposal of the company’s financial final accounts report in 2020 and the annual profit distribution plan were reviewed and approved, as follows:
Serial number time session proposal convening method
Proposal 1: on the full text of the company’s 2020 annual report and
Its summary is “the motion of the people’s Republic of China”
Proposal 2: report on the work of the board of supervisors in 2020
Proposal to report to the general assembly
Proposal 3: about the company’s 2020 annual financial statement report
Proposal for
Proposal 4: about the company’s 2020 profit distribution plan
Proposal for
Proposal 5 of the second Supervision: on the deposit and use of raised funds in 2020
1. Proposal on the fourth special report on the use of the board meeting on April 7, 2021 proposal 6 of the on-site meeting: on the company’s internal control self-control in 2020
Proposal on Evaluation Report
Proposal 7: on the self inspection form for the implementation of internal control rules
Proposal
Proposal 8: on directors, supervisors and directors of the company in 2021
Proposal on compensation (allowance) scheme for senior managers
Proposal 9: on the company’s use of some idle raised funds and
Proposal on idle self owned funds for cash management
Serial number, method and time of proposal
Proposal 10: on the 2019 restricted stock incentive plan
The conditions for lifting the restrictions on sales in the two lifting periods have not been fulfilled and the repurchase note
Proposal on selling some restricted shares and reducing registered capital
Proposal 11: proposal on the change of the company’s accounting policies
Proposal 12: on the temporary use of some idle raised funds
Proposal on replenishing working capital
Proposal 13: on adding new implementation entities for some raised investment projects
And the proposal on establishing a special account for raised funds
Proposal 14: proposal on the extension of some raised investment projects
Proposal 1 of the second Supervision: on the company’s report for the first quarter of 2021
2. The fifth proposal communication meeting of the board of directors on April 28, 2021
Proposal 1: on the full text of the company’s 2021 semi annual report
Proposal on the second session of the supervisory committee and the summary
3. Proposal 2 of the sixth communication meeting of the board of directors on August 26, 2021: about the deposit of raised funds in the half year of 2021
Proposal on special report on and use
Proposal 1: on the third quarter report of the company in 2021
Proposal of the second supervision
4. Proposal 2 of the seventh meeting of the board of directors on October 29, 2021: proposal on adjusting the main body of the implementation of some raised investment projects
Proposal 3: on adjusting the investment of raised funds of some raised investment projects
Proposal on input amount and implementation method
3、 Review opinions of the board of supervisors on relevant matters of the company in 2021
During the reporting period, the board of supervisors of the company strictly complied with the provisions of the company law, the securities law and other laws, regulations and rules, the articles of association and the rules of procedure of the board of supervisors, and carefully supervised and inspected the operation of the company according to law, the company’s financial situation, related party transactions and other matters.
According to the inspection results, the following audit opinions are issued on the relevant situation of the company during the reporting period:
(I) legal operation of the company
In 2021, the supervisors attended all the board of directors and shareholders’ meetings of the company as nonvoting delegates according to law, and strictly supervised the decision-making procedures of the company and the performance of the directors and managers of the company. The board of supervisors believes that the company has established a relatively perfect internal control system, and the company’s decision-making procedures strictly comply with the company law, securities law and other laws and regulations, as well as the provisions made by the CSRC and the articles of association, and the relevant information disclosure is timely and accurate. The directors and senior managers of the company do not violate laws, regulations and
(II) check the financial situation of the company
During the reporting period, the company strictly complied with the provisions of the accounting law and the accounting standards for business enterprises and the requirements of the CSRC, Shenzhen Stock Exchange and other regulatory bodies, standardized the accounting, financial management and preparation of financial reports in accordance with the requirements of the company’s financial systems, and disclosed the accounting information in a timely, accurate, standardized and complete manner.
The board of supervisors held that during the reporting period, the preparation, review and disclosure of the company’s financial report met the requirements of laws, regulations and relevant rules and regulations of the company, truly, accurately and completely reflected the company’s financial status, operating results and cash flow, and there were no false records, misleading statements or major omissions.
(III) use and management of the company’s raised funds
The board of supervisors inspected the use and management of the company’s raised funds during the reporting period. The board of supervisors believed that the company used and managed the raised funds in strict accordance with the stock listing rules of Shenzhen Stock Exchange, the self regulatory guidelines for listed companies of Shenzhen Stock Exchange No. 1 – standardized operation of listed companies on the main board, the articles of association and the management system of raised funds.
(IV) acquisition and sale of assets by the company
There was no major acquisition or sale of major assets in this year.
(V) review opinions on the company’s internal control
The board of supervisors believes that the company has established a relatively perfect and reasonable internal control system in accordance with the company law, the securities law, the stock listing rules of Shenzhen Stock Exchange, the self regulatory guidelines for listed companies of Shenzhen Stock Exchange No. 1 – standardized operation of listed companies on the main board, the basic norms of enterprise internal control, the articles of association and relevant provisions, and in combination with the actual situation of the company, And has been effectively implemented. The establishment and effective implementation of the internal control system ensure the orderly and efficient development of the company’s business activities, play a better role in risk prevention and control, ensure the safety and integrity of the company’s assets, and safeguard the interests of the company and all shareholders. The company has been effectively controlled in all major aspects in 2021.
(VI) review opinions of the company on external guarantee
During the reporting period, due to the needs of the operation and development of its subsidiaries, the company provided joint and several liability guarantee for its subsidiaries and buyer’s credit guarantee for customers with good reputation. The guarantee items fulfilled the obligations of examination and approval and information disclosure in accordance with the stock listing rules of Shenzhen Stock Exchange, the articles of association and other normative documents. During the reporting period, the company did not have any illegal external guarantee.
(VII) related party transactions
The related party transactions of the company meet the actual production and operation needs of the company. The decision-making procedures of related party transactions comply with the provisions of relevant laws and regulations such as the stock listing rules of Shenzhen Stock Exchange, the self regulatory guidelines for listed companies of Shenzhen Stock Exchange No. 1 – standardized operation of listed companies on the main board, the articles of association and the management system of related party transactions. The pricing of related party transactions is fair, follows the principles of openness, fairness and impartiality, does not affect the independence of the company’s operation, does not harm the interests of the company and minority shareholders, and is in line with the overall interests of the company.
(VIII) insider information management
In order to strengthen the management of the company’s inside information and keep the inside information confidential, the company has formulated the internal reporting system of major matters and the registration and filing system of insiders of inside information in accordance with the requirements of relevant laws and regulations. During the reporting period, the company strictly implemented the system, timely paid attention to and summarized important information related to the company, and clearly informed the insider of relevant confidentiality obligations by email before entering the sensitive period. At the same time, conduct self inspection and supervision on the confidentiality of insiders. During the reporting period, the company did not find any insider trading or rectification required by the regulatory authorities.
The board of supervisors will continue to faithfully perform its duties in strict accordance with the company law, the articles of association and relevant national regulations and policies, and further promote the standardized operation of the company.
(IX) inspection on the implementation of the company’s information disclosure management system
In order to protect the legitimate rights and interests of investors, especially small and medium-sized investors, during the reporting period, the board of supervisors continued to pay attention to the company’s information disclosure and urged the company to truly, accurately and completely perform its information disclosure obligations in strict accordance with the relevant provisions of the stock listing rules of Shenzhen Stock Exchange and the company’s information disclosure management system.
4、 2022 annual work plan of the board of supervisors
In 2022, the board of supervisors will fulfill its duties and continue to play an active role in safeguarding the interests of the company, shareholders, employees and other stakeholders, mainly doing the following work:
(I) continuously strengthen process supervision and prevent decision-making risks
In accordance with the responsibilities entrusted by the articles of association, attend the general meeting of shareholders and the meeting of the board of directors as nonvoting delegates, supervise the convening and decision-making procedures of the general meeting of shareholders and the meeting of the board of directors, as well as the implementation of resolutions by the management, ensure the legality and compliance of the decision-making process and effectively prevent decision-making risks.
(II) continuously implement the strategic orientation and highlight the key points of supervision
Flexibly adopt the methods of on-site investigation, listening to reports and consulting materials to focus on the supervision of the company’s major investments and matters closely related to the company’s strategic direction, pay attention to the integrity and compliance of decision-making procedures, and urge the whole process of strategic business to identify and prevent and control risks to ensure that risks are controllable.
(III) master new regulatory regulations and improve the ability to perform duties
In 2022, the company’s supervisors will continue to participate in relevant training in accordance with the requirements of the regulatory authorities, master the new regulatory requirements, combine the new regulatory regulations with the company’s reality, and continuously improve the performance ability and supervision level.
Hitevision Co.Ltd(002955) board of supervisors April 27, 2022
