Henan Kedi Dairy Co.Ltd(002770)
Work report of the board of supervisors in 2021
Dear supervisors
In 2021, the board of supervisors of the company performed its duties in strict accordance with the company law, the articles of association, the rules of procedure of the board of supervisors and other relevant laws and regulations, in order to effectively safeguard the interests of the company’s shareholders. The board of supervisors supervised the company’s production and operation, financial status and the performance of directors and senior managers to ensure the standardized operation of the company. The work report of the board of supervisors of the company in this year is as follows:
1、 Meetings of the board of supervisors
In 2021, the company held three meetings of the board of supervisors. The details are as follows: 1. The sixth meeting of the Fourth Board of supervisors was held on April 29, 2021, which reviewed and adopted the work report of the company’s board of supervisors in 2020, the company’s 2020 financial final account report and 2021 financial budget report, and the proposal on the full text and summary of the company’s 2020 annual report Proposal on the prediction of daily related party transactions in 2021, proposal on the company’s profit distribution plan in 2020, opinions of the board of supervisors on the company’s inability to express the special description of matters involved in the audit report in 2020 financial report, report on the self-evaluation of the company’s internal control, proposal on the full text and body of the company’s report in the first quarter of 2021.
2. On August 29, 2021, the 7th Meeting of the 4th board of supervisors was held to review and approve the proposal on the full text and summary of the company’s 2021 semi annual report and the proposal on changes
3. The 8th meeting of the 4th board of supervisors was held on October 29, 2021. The proposal on the third quarter report of the company in 2021 and the proposal on correction and retroactive adjustment of accounting errors in the early stage were considered and adopted.
2、 Main work of the board of supervisors in 2021
In 2021, the members of the board of supervisors attended all meetings of the board of directors and the general meeting of shareholders, supervised the standardized operation of the company, regularly reviewed the company’s financial reports, and supervised and inspected the implementation of related party transactions and internal control system. The specific work is as follows:
(I) legal operation of the company
In 2021, the company can operate in strict accordance with the company law, the articles of association and other relevant laws, regulations and systems. The company’s major business decision-making procedures are legal and effective; The internal control system of the company has been further established and improved; When performing their duties, the directors and senior managers of the company strictly implement the national laws and regulations, the articles of association and the resolutions of the general meeting of shareholders and the board of directors, and have not found any behavior of the directors and senior managers of the company in violation of laws, regulations, the articles of association or damaging the interests of the company.
(II) check the company’s financial situation
In 2021, the board of supervisors comprehensively inspected and reviewed the company’s financial report. The preparation of the financial report complies with the provisions of the accounting system for business enterprises and the accounting standards for business enterprises, and can truly reflect the financial status and operating results of the company. The company has standardized financial management and strict internal control system. No illegal guarantee is found, and there are no guarantee matters that should be disclosed but not disclosed.
(III) related party transactions of the company
In 2021, the board of supervisors supervised and verified the performance of the company’s related party transactions, and believed that the related party transactions of the company were conducted in accordance with the principle of fair transaction, with fair pricing and compliance procedures, and there was no behavior damaging the interests of the company and shareholders.
(IV) implementation of internal control system
In 2021, the company continued to implement and improve the work plan of internal control norms according to the requirements of the regulatory authorities for the internal control norms of listed companies, and successively organized and implemented the inspection of the implementation of the company’s internal control and the internal control evaluation in 2021, ensuring the authenticity, integrity and accuracy of the company’s financial information; Organized and implemented the supervision and inspection of the company’s projects under construction to ensure the standardized operation of the company’s projects under construction. The company has established a relatively perfect internal control system. The existing internal control system meets the requirements of national laws and regulations, meets the actual needs of current production and operation, has been effectively implemented in the company’s operation and management, and has played a better role in control and prevention.
(V) establishment and implementation of insider information management system by the company
During the reporting period, in strict accordance with the relevant requirements of the insider information management system, the company implemented the insider information confidentiality system and insider registration system for various regular reports, major contracts, capital operation projects and other matters, so as to effectively prevent the disclosure of insider information and the use of insider information for trading. After verification, the board of supervisors believes that during the reporting period, no directors, supervisors, senior managers and other insider information related personnel of the company have used the insider information or bought and sold the company’s shares through others.
(VI) review opinions of the board of supervisors on periodic reports
During the reporting period, the board of supervisors of the company carefully reviewed the periodic reports prepared by the board of directors of the company, and considered that the preparation and review procedures of each periodic report comply with the provisions of laws, regulations, the articles of association and the company’s internal management system, its content and format comply with the provisions of the CSRC and Shenzhen Stock Exchange, and the information contained can truly and accurately reflect the financial situation of the company in all aspects, No personnel involved in the preparation and consideration of periodic reports were found to have violated the confidentiality provisions. Zhejiang Tianping Certified Public Accountants (special general partnership) audited the financial situation of the company in 2021 and issued an audit report with standard opinions. The company’s 2021 financial report truly reflects the company’s financial situation and operating results.
3、 2021 work plan of the board of supervisors
In 2022, the board of supervisors of the company will perform its supervisory duties with a more rigorous working attitude, continue to faithfully and diligently perform its supervisory duties in strict accordance with the company law, the articles of association, the rules of procedure of the board of supervisors and relevant national laws and regulations, further promote the standardized operation of the company and safeguard the interests of the company’s shareholders and the majority of small and medium-sized investors. The main work plan is as follows:
1. Conscientiously perform their duties in accordance with laws and regulations.
In 2022, the board of supervisors will continue to explore and improve the working mechanism and operation mechanism of the board of supervisors, earnestly implement the company law, securities law, articles of association and other laws and regulations, improve the supervision and management of the company’s operation according to law, strengthen work communication with the board of directors and management, and supervise directors and senior managers according to law, so as to make their decision-making and business activities more standardized and legal. In accordance with the provisions of the rules of procedure of the board of supervisors, regularly organize and hold the working meeting of the board of supervisors, continue to strengthen the implementation of the supervision function, attend the board of directors and general meeting of shareholders according to law, and timely grasp the legitimacy of the company’s major decision-making matters and decision-making procedures, so as to better protect the rights and interests of shareholders.
2. Strengthen supervision and inspection to prevent business risks.
Adhere to financial supervision as the core and supervise and inspect the company’s financial situation according to law. Further strengthen the internal control system, regularly learn from the company and master the company’s business conditions, especially major business activities and investment projects. Once problems are found, timely put forward suggestions, stop and correct them. At the same time, keep in touch with the internal audit department and the accounting firm entrusted by the company, make full use of the internal and external audit information, and timely understand and master the relevant situation. Focus on the company’s high-risk areas, and inspect the company’s major investment, raised fund management, related party transactions and other important aspects.
3. Strengthen the self construction of the board of supervisors.
Actively participate in relevant trainings organized by regulatory authorities and the company, strengthen the study of accounting audit and legal and financial knowledge, constantly improve the skills of supervision and inspection, broaden professional knowledge and improve business level, earnestly perform their duties in strict accordance with laws, regulations and the articles of association, and give better play to the supervision function of the board of supervisors. Strengthen the construction of professional ethics and safeguard the interests of shareholders.
Henan Kedi Dairy Co.Ltd(002770) board of supervisors April 30, 2022
