Securities code: Henan Huaying Agricultural Development Co.Ltd(002321) securities abbreviation: ST Huaying Announcement No.: 2022042 Henan Huaying Agricultural Development Co.Ltd(002321)
Announcement on the proposed renewal of accounting firm
The company and all members of the board of directors guarantee that the information disclosed is true, accurate and complete without false records, misleading statements or major omissions.
Henan Huaying Agricultural Development Co.Ltd(002321) (hereinafter referred to as "the company") held the 57th meeting of the 6th board of directors and the 26th meeting of the 6th board of supervisors on April 28, 2022, deliberated and adopted the proposal on the proposed renewal of accounting firm. The specific situation is hereby announced as follows:
1、 Description of the proposed renewal of the accounting firm
In the audit of the company's 2021 financial report, Asia Pacific (Group) accounting firm (special general partnership) strictly abided by relevant national laws and regulations and provided audit services for the company independently, objectively and impartially. In order to maintain the continuity of the company's audit work, the 57th meeting of the sixth board of directors of the company considered and approved the company's plan to renew the appointment of Asia Pacific (Group) accounting firm (special general partnership) (hereinafter referred to as "Asia Pacific Institute") as the company's audit institution in 2022, and requested the general meeting of shareholders to authorize the company's management to negotiate and determine the audit expenses in 2022 according to the actual work content. This matter still needs to be considered at the 2021 annual general meeting of shareholders of the company.
2、 Basic information of the accounting firm to be renewed
(I) institutional information
1. Basic information
In 1998, with the approval of CAI Xie Zi (1998) No. 22 document of the Ministry of finance, the Asia Pacific Institute established the Asia Pacific Group accounting firm across regions; In 2013, it was restructured into a special general partnership in accordance with the notice on printing and distributing of the Ministry of Finance Cai Kuai [2010] No. 12. Its head office is located in Beijing and its registered address is 2001, 20 / F, building 3, yard 16, Lize Road, Fengtai District, Beijing. Asia Pacific Institute has the practicing certificate of accounting firm, the qualification of securities and futures related business license of accounting firm. Its business fields include audit, internal control system construction, tax consultation, etc. its business is widely distributed in more than 20 provinces and cities, and has long been engaged in Securities and futures related assurance business. In 2011, AsiaPacific joined the international organization cpaai and became its member in the mainland. Under its framework, AsiaPacific shared resources and developed together.
2. Personnel information
The chief partner of the Asia Pacific Institute is Zhao Qingjun. As of December 31, 2021, the number of partners of the Asia Pacific Institute is 126 (107 as of December 31, 2020), the number of Certified Public Accountants is 561 (562 as of December 31, 2020), and the number of certified public accountants who have signed the audit report of securities service business is 429.
3. Business scale
The total audited revenue of Asia Pacific exchange in 2021 was 981 million yuan, including 695 million yuan from audit business and 448 million yuan from securities business.
In 2021, there were 49 audit clients of listed companies, and the total audit fees of financial statements were 61.03 million yuan. The main industries of the listed companies audited include 8 computer, communication and other electronic equipment manufacturing industries, 7 software and information technology services industries, 4 wholesale industries, 3 electrical machinery and equipment manufacturing industries, 3 non-metallic mineral products industries, 3 Internet and related services, 2 coal mining and washing industries, 2 business services industries, 2 cultural and educational, industrial beauty, sports and entertainment products manufacturing industries, and 15 other industries, Asia Pacific Institute has audit experience in the industry in which the company is located.
4. Investor protection ability
Asia Pacific Institute has implemented integrated management. The headquarters and branches have accrued occupational risk fund and purchased occupational insurance together. The occupational risk fund has been accrued for 24.24 million yuan, and the cumulative compensation limit for purchasing occupational insurance is more than 80 million yuan. The provision of occupational risk fund and the purchase of occupational insurance comply with the provisions of CK [2015] No. 13. In the past three years (the last three complete natural years and the current year), the civil liability in the civil litigation related to the practice behavior is as follows: on December 28, 2020, the Asia Pacific Institute was sued by its investors for joint and several liability for the breach of a client's bond audited by it. The court of first instance ruled to pay the principal of 15 million yuan and its interest, and the Asia Pacific Institute appealed against the judgment. On December 30, 2021, the court of second instance upheld the judgment of first instance. The Asia Pacific Institute has applied for retrial, and now the case is under trial.
5. Integrity record
In the past three years (from 2019 to 2021), the Asia Pacific Institute has been subject to criminal punishment 0 times, administrative punishment 2 times, supervision and management measures 24 times, self-discipline supervision measures 3 times and disciplinary punishment 1 time for practice, involving 39 employees.
(II) project member information
1. Personnel information
(1) Main person in charge and certified public accountant to be signed: Ma Shenglin
Ma Shenglin, partner, certified public accountant, has been engaged in securities service business for 16 years. He became a certified public accountant in 2005. He began to engage in the audit of Listed Companies in 2016, began to practice in the Asia Pacific Institute in 2016, and began to provide audit services for the company in 2020. In the past three years, he has signed the audit reports of two listed companies and more than 20 companies listed on the new third board. During his employment, he has provided many enterprises with securities businesses such as annual report audit of listed companies and merger and reorganization audit. He has experience in securities service business and has corresponding professional competence.
(2) Signature of certified public accountant: Yang Wenjie
Yang Wenjie, male, began to work in Asia Pacific accounting firm in October 2010 and became a certified public accountant in May 2014. Since practicing, he has organized and participated in the project audit of many listed companies and has corresponding professional competence. The company began to provide audit services in 2021.
(3) Proposed quality control reviewer: Zhao Li
In May, 2014, Zhao became a certified public accountant in charge of auditing the assets of more than three listed companies. Have securities service business experience and corresponding professional competence. The company began to provide audit services in 2021.
2. Integrity record
Project partners, signed certified public accountants and project quality control reviewers have not been subject to criminal punishment for their professional behavior in recent three years, 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 Asia Pacific Institute and its project partners, signing certified public accountants, project quality control reviewers and other practitioners do not violate the independence requirements of the code of professional ethics for Chinese certified public accountants.
(III) audit fees
The pricing principle of audit fees in 2022 is to determine the final audit fees according to various factors such as the company's business scale, industry and complexity of accounting treatment, as well as the auditors required for the audit of the company's annual report, the workload invested and the fee standard of the firm. It is expected that there will be no significant difference between 2022 and 2021.
3、 Procedures to be performed by the accounting firm to be renewed
(I) performance of the audit committee
The audit committee of the board of directors of the company reviewed the Asia Pacific Institute and believed that the Asia Pacific Institute met the qualification requirements for providing audit services for the company and had the professional ability of audit. In the audit of the company's 2021 financial report, it strictly complied with relevant national laws and regulations, provided audit services for the company independently, objectively and fairly, and completed the audit tasks of the company. Agree to renew the appointment of Asia Pacific Institute as the audit institution of the company in 2022, and submit the matter to the board of directors of the company for deliberation.
(II) prior approval opinions and independent opinions of independent directors on the reappointment of the audit institution in 2022
Prior approval opinion: as an independent director of the company, we have obtained and carefully reviewed the proposal on the company's plan to continue to hire an accounting firm and relevant materials before the meeting. It is understood that during the period when Asia Pacific (Group) accounting firm (special general partnership) undertook the audit of the company's 2021 annual report and other audit work, the firm and its auditors completed the relevant audit work of the company with a rigorous, objective and fair working attitude. In view of this, we unanimously agree to submit the above proposal to the board of directors of the company for deliberation.
Independent opinion: 1. After audit, Asia Pacific (Group) Certified Public Accountants (special general partnership) has the securities and futures related business license of Certified Public Accountants issued by the Ministry of Finance and China Securities Regulatory Commission, has the experience and ability to provide audit services for listed companies, can meet the needs of the company's future financial audit work, and can independently audit the company's financial situation;
2. The decision-making procedures for the re employment of the audit institution in 2022 comply with the relevant provisions of the company law, the securities law, the stock listing rules of Shenzhen Stock Exchange and the articles of Association;
3. There is no damage to the rights and interests of the company and minority shareholders in the matter of the proposed re employment of the audit institution in 2022.
To sum up, we agree that the company will continue to employ Asia Pacific (Group) accounting firm (special general partnership) as the company's audit institution in 2022, and agree to submit it to the general meeting of shareholders for deliberation.
(III) deliberation and voting of proposals by the board of directors
The company held the 57th meeting of the 6th board of directors and the 26th meeting of the 6th board of supervisors on April 28, 2022, deliberated and adopted the proposal on the proposed renewal of accounting firm, and agreed to renew the appointment of Asia Pacific Institute as the company's audit institution in 2022.
(IV) effective date
The renewal 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.
4、 Documents for future reference
1. Resolutions of the 57th meeting of the 6th board of directors of the company;
2. Resolutions of the 26th meeting of the 6th board of supervisors of the company;
3. Prior approval and independent opinions of independent directors on the 57th meeting of the sixth board of directors;
It is hereby announced
Henan Huaying Agricultural Development Co.Ltd(002321) board of directors April 30, 2002
