| Warning notice date: May 14, 2024 |
|---|
| title | Decision of Jiangsu Securities Regulatory Bureau on Taking Supervision Measures of Issuing Warning Letter for Zheng Yi and Chen Qingling |
| Relevant regulations | Measures for the Administration of Securities Issuance and Listing Recommendation Business |
| Document batch number | Jiangsu Securities Regulatory Bureau [2004] No. 62 |
| Reason for approval | Through investigation, Huaxi Securities Co., Ltd. (hereinafter referred to as Huaxi Securities) failed to fulfill relevant obligations diligently and responsibly in the process of Jintongling Technology Group Co., Ltd. performing its continuous supervision responsibility in 2019 non-public offering of shares, some of the continuous supervision tracking reports and inspection reports issued during the continuous supervision period had false records, and the implementation of continuous supervision on-site inspection was not in place. |
| Approval content | Our bureau has decided to take the supervision and management measures of issuing a warning letter to you. |
| Handled by | Jiangsu Securities Regulatory Bureau |
|
| Announcement date of punishment decision: May 14, 2024 |
|---|
| title | Decision of Jiangsu Securities Regulatory Bureau on Taking Supervision Measures for Suspension of Sponsorship Business Qualification of Huaxi Securities Co., Ltd |
| Relevant regulations | Measures for the Administration of Securities Issuance and Listing Recommendation Business |
| Document batch number | Jiangsu Securities Regulatory Bureau [2004] No. 81 |
| Reason for approval | It is found that your company failed to be diligent and responsible in due diligence, false records in the recommendation letter for the listing of shares issued to specific objects, false records in the relevant reports issued during the continuous supervision stage, and the implementation of on-site inspection of continuous supervision was not in place during the practice of the 2019 non-public offering recommendation project of Jintongling Technology Group Co., Ltd |
| Approval content | Jiangsu Securities Regulatory Bureau has decided to suspend the recommendation business qualification of Huaxi Securities Co., Ltd. for six months from April 28 to October 27, 2024. |
| Handled by | Jiangsu Securities Regulatory Bureau |
|
| Announcement date of punishment decision: May 14, 2024 |
|---|
| title | Decision of Jiangsu Securities Regulatory Bureau on Taking Supervision Measures on Liu Jingfang as an Inappropriate Candidate |
| Relevant regulations | Measures for the Administration of Securities Issuance and Listing Recommendation Business |
| Document batch number | Jiangsu Securities Regulatory Bureau [2004] No. 80 |
| Reason for approval | Upon investigation, Huaxi Securities Co., Ltd. (hereinafter referred to as Huaxi Securities) failed to perform due diligence during the practice of the recommendation project for non-public offering of shares of Jintongling Technology Group Co., Ltd. (hereinafter referred to as Jintongling) in 2019, and the recommendation letter for listing of shares issued to specific objects was untrue |
| Approval content | Liu Jingfang (ID No.: 41 ******************* 06) is deemed to be an inappropriate candidate, and shall not hold the position related to securities issuance and listing recommendation business of securities companies or actually perform the above position within 2 years from the date of the decision on regulatory measures. |
| Handled by | Jiangsu Securities Regulatory Bureau |
|
| Announcement date of punishment decision: May 14, 2024 |
|---|
| title | Decision of Jiangsu Securities Regulatory Bureau on Taking Supervision Measures on Zhang Ran as an Inappropriate Candidate |
| Relevant regulations | Measures for the Administration of Securities Issuance and Listing Recommendation Business |
| Document batch number | Jiangsu Securities Regulatory Bureau [2004] No. 79 |
| Reason for approval | Upon investigation, Huaxi Securities Co., Ltd. (hereinafter referred to as Huaxi Securities) failed to perform due diligence during the practice of the recommendation project for non-public offering of shares of Jintongling Technology Group Co., Ltd. (hereinafter referred to as Jintongling) in 2019, and the recommendation letter for listing of shares issued to specific objects was untrue |
| Approval content | Zhang Ran (ID No.: 34 ******************* 19) is deemed to be an inappropriate candidate, and shall not take the position related to securities issuance and listing recommendation business of securities companies or actually perform the above duties within 2 years from the date of the decision on regulatory measures. |
| Handled by | Jiangsu Securities Regulatory Bureau |
|
| Announcement date of punishment decision: May 14, 2024 |
|---|
| title | Decision on Disciplinary Action against Huaxi Securities Co., Ltd. and Related Parties |
| Relevant regulations | Review Rules for the Issuance and Listing of Securities of Companies Listed on the GEM, Rules for the Listing of Shares on the GEM (Revised in 2023) |
| Document batch number | SZSJ [2004] No. 13 |
| Reason for approval | In the practice process of the recommendation project of Jintongling Technology Group Co., Ltd. (hereinafter referred to as Jintongling) to issue shares to specific objects in 2020, Huaxi Securities failed to be diligent and responsible in due diligence, and there were false records in the recommendation document for issuing shares to specific objects; In the process of performing the duty of continuous supervision, he failed to be diligent and dutiful, the on-site inspection work was not carried out in place, and the continuous supervision tracking report and inspection report issued during the continuous supervision had false records. |
| Approval content | 1、 Huaxi Securities Co., Ltd. will be punished by refusing to accept the application documents for listing and information disclosure documents submitted by it for six months. During the period from May 14, 2024 to November 13, 2024, the application documents and information disclosure documents for securities issuance and listing submitted to the Exchange will not be accepted. 2、 Liu Jingfang and Zhang Ran will be punished for not accepting the issuance and listing application documents and information disclosure documents signed by them for two years. During the period from May 14, 2024 to May 13, 2026, the application documents and information disclosure documents for securities issuance and listing signed by them will not be accepted. 3、 Give a public reprimand to Huaxi Securities Co., Ltd. 4、 Liu Jingfang and Zhang Ran were publicly condemned. 5、 Zheng Yi and Chen Qingling were given a notice of criticism. |
| Handled by | Shenzhen Stock Exchange |
|
| Announcement date of punishment decision: May 6, 2024 |
|---|
| title | West China Securities: Announcement on Receiving the Decision on Administrative Supervision Measures of China Securities Regulatory Commission Jiangsu Regulatory Bureau |
| Relevant regulations | Measures for the Administration of Securities Issuance and Listing Recommendation Business |
| Document batch number | |
| Reason for approval | It is found that your company failed to be diligent and responsible in due diligence, false records in the recommendation letter for the listing of shares issued to specific objects, false records in the relevant reports issued during the continuous supervision stage, and the implementation of on-site inspection of continuous supervision was not in place during the practice of the 2019 non-public offering recommendation project of Jintongling Technology Group Co., Ltd |
| Approval content | Jiangsu Securities Regulatory Bureau has decided to suspend the recommendation business qualification of Huaxi Securities Co., Ltd. for six months from April 28 to October 27, 2024. |
| Handled by | Jiangsu Securities Regulatory Bureau |
|
| Announcement date of punishment decision: May 6, 2024 |
|---|
| title | Decision on Taking Supervision Measures for Liu Jingfang and Zhang Ran Identified as Inappropriate Candidates |
| Relevant regulations | Measures for the Administration of Securities Issuance and Listing Recommendation Business |
| Document batch number | |
| Reason for approval | It is found that your company failed to be diligent and responsible in due diligence, false records in the recommendation letter for the listing of shares issued to specific objects, false records in the relevant reports issued during the continuous supervision stage, and the implementation of on-site inspection of continuous supervision was not in place during the practice of the 2019 non-public offering recommendation project of Jintongling Technology Group Co., Ltd |
| Approval content | Jiangsu Securities Regulatory Bureau determines that Liu Jingfang and Zhang Ran are inappropriate candidates, and they shall not take the position related to securities issuance and listing recommendation business of securities companies or actually perform the above positions within 2 years from the date of the decision on regulatory measures. |
| Handled by | Jiangsu Securities Regulatory Bureau |
|
| Announcement date of punishment decision: April 13, 2024 |
|---|
| title | West China Securities: Announcement on Receiving the Prior Notice of Administrative Supervision Measures from China Securities Regulatory Commission Jiangsu Regulatory Bureau |
| Relevant regulations | Measures for the Administration of Securities Issuance and Listing Recommendation Business |
| Document batch number | |
| Reason for approval | Upon investigation, your company is suspected of the following violations in the practice of the recommendation project for non-public offering of shares in 2019 of Jintongling Technology Group Co., Ltd. (hereinafter referred to as Jintongling): the due diligence work is suspected of not being diligent and dutiful, and there are false records in the recommendation document for issuing shares to specific objects; Relevant reports issued during the continuous supervision stage are suspected to have false records; It is suspected that the continuous supervision and on-site inspection were not carried out properly. |
| Approval content | Our bureau plans to take the supervision measures of suspending your company's recommendation business qualification for six months. |
| Handled by | Jiangsu Securities Regulatory Bureau |
|
| Announcement date of punishment decision: April 13, 2024 |
|---|
| title | Notice in advance on the supervision measures taken against Liu Jingfang and Zhang Ran who are deemed as inappropriate candidates |
| Relevant regulations | |
| Document batch number | |
| Reason for approval | Upon investigation, your company is suspected of the following violations in the practice of the recommendation project for non-public offering of shares in 2019 of Jintongling Technology Group Co., Ltd. (hereinafter referred to as Jintongling): the due diligence work is suspected of not being diligent and dutiful, and there are false records in the recommendation document for issuing shares to specific objects; Relevant reports issued during the continuous supervision stage are suspected to have false records; Continuous supervision of on-site inspection is suspected of not being carried out in place |
| Approval content | It is proposed to take regulatory measures against Liu Jingfang and Zhang Ran, the recommendation representatives of Jintongling's 2019 non-public offering recommendation project, who are identified as inappropriate candidates. They shall not assume the relevant positions in the recommendation business of securities issuance and listing of securities companies or actually perform the above positions within 2 years from the date of the decision on regulatory measures |
| Handled by | Jiangsu Securities Regulatory Bureau |
|
| Warning notice date: April 13, 2024 |
|---|
| title | Decision on Taking Supervision Measures of Issuing Warning Letter for Zheng Yi and Chen Qingling |
| Relevant regulations | |
| Document batch number | |
| Reason for approval | Upon investigation, your company is suspected of the following violations in the practice of the recommendation project for non-public offering of shares in 2019 of Jintongling Technology Group Co., Ltd. (hereinafter referred to as Jintongling): the due diligence work is suspected of not being diligent and dutiful, and there are false records in the recommendation document for issuing shares to specific objects; Relevant reports issued during the continuous supervision stage are suspected to have false records; It is suspected that the continuous supervision and on-site inspection were not carried out properly. |
| Approval content | It was decided to take the supervision and management measures of issuing a warning letter to Zheng Yi and Chen Qingling, the sponsor representatives of Jintongling's 2019 recommendation project of non-public offering of shares, for continuous supervision. |
| Handled by | Jiangsu Securities Regulatory Bureau |
|
| Warning notice date: April 10, 2024 |
|---|
| title | Decision on Giving Written Warning to Huaxi Securities Co., Ltd |
| Relevant regulations | Management Rules of Shanghai Stock Exchange for Members, Listing Rules of Shanghai Stock Exchange for Corporate Bonds (Revised in 2022), Listing Rules of Shanghai Stock Exchange for Non public Development of Corporate Bonds, Implementation Measures of Shanghai Stock Exchange for Disciplinary Punishment and Supervisory Measures (Revised in 2022) |
| Document batch number | [2024] No. 7 |
| Reason for approval | The following problems exist in the internal control of investment banking business of West China Securities Co., Ltd.: First, in terms of investment banking business management system and internal control mechanism, the project management system has not been formulated to timely grasp the situation of corporate bond projects and the practice activities of business personnel; Second, in terms of project establishment management, individual projects that do not meet the project establishment standards stipulated by the company's system have been approved; Third, problems in internal control of other investment banking businesses, including some corporate bond project sales, where the business commitment team carried out bond sales inquiry at the same time; The senior manager in charge of the investment banking business line also serves as the general manager of the bond business department; In the issuance of individual bonds, the bond underwriting business department asks the self operating department to cooperate in bond subscription, and clearly specifies the target and amount of subscription; The exit focus pool of some major bond risk projects does not meet the requirements of the internal management system. |
| Approval content | In view of the above violation facts and circumstances, in accordance with Article 8.5 of the Administrative Rules of Shanghai Stock Exchange for Members, Article 6.2 of the Listing Rules of Shanghai Stock Exchange for Corporate Bonds (Revised in 2022), Article 7.2 of the Listing Rules of Shanghai Stock Exchange for Non public Corporate Bonds, and the Implementation Measures of Shanghai Stock Exchange for Disciplinary Actions and Supervisory Measures (Revised in 2022) Shanghai Stock Exchange has made the following regulatory measures: give a written warning to Huaxi Securities Co., Ltd |
| Handled by | Shanghai Stock Exchange |
|
| Announcement date of rectification notice: September 12, 2023 |
|---|
| title | Decision on Taking Administrative Supervision Measures to Order West China Securities Co., Ltd. to Correct |
| Relevant regulations | Measures for Compliance Management of Securities Companies and Securities Investment Fund Management Companies |
| Document batch number | Sichuan Securities Regulatory Bureau [2013] No. 57 |
| Reason for approval | It is found that the provisions on personnel appointment and removal procedures in your company's filing materials do not meet the relevant regulatory requirements |
| Approval content | Our bureau has decided to take administrative supervision and management measures to order your company to correct. |
| Handled by | Sichuan Securities Regulatory Bureau |
|
| Warning notice date: September 6, 2023 |
|---|
| title | Decision on Issuing Warning Letters to Du Guowen and Sun Zhaoming |
| Relevant regulations | Measures for the Management of Securities Issuance and Listing Recommendation Business, Measures for the Compliance Management of Securities Companies and Securities Investment Fund Management Companies, and Guidelines for the Internal Control of Securities Companies' Investment Banking Business |
| Document batch number | |
| Reason for approval | Du Guowen, Sun Zhaoming: After investigation, we found that Huaxi Securities Co., Ltd. had insufficient independence of internal control. The senior executives in charge of the quality control department acted as the sponsor representatives of IPO projects and participated in the quality control approval. Some internal control opinions were not replied, not implemented, or submitted to the outside without being approved after modification. The on-site quality control inspection was insufficient, and some investment banking projects employed third parties did not strictly perform the compliance review, Violation of Article 30 of the Measures for the Administration of Securities Issuance and Listing Recommendation Business (hereinafter referred to as the Measures for Recommendation), Article 6 of the Measures for the Compliance Administration of Securities Companies and Securities Investment Fund Management Companies (hereinafter referred to as the Measures for Compliance Administration), and Article 6 of the Regulations on the Integrity of Securities and Futures Business Institutions and Their Staff (hereinafter referred to as the Regulations on Integrity Practice) Article 7, 32, 46, 61 and 77 of the Guidelines on Internal Control of Investment Banking Business of Securities Companies. |
| Approval content | I will decide to take administrative supervision and management measures to issue a warning letter to you. |
| Handled by | China Securities Regulatory Commission |
|
| Announcement date of rectification notice: September 6, 2023 |
|---|
| title | Decision on Ordering West China Securities Co., Ltd. to Take Corrective Measures |
| Relevant regulations | Measures for the Administration of Securities Issuance and Listing Recommendation Business, Measures for the Compliance Administration of Securities Companies and Securities Investment Fund Management Companies, and Regulations on the Integrity of Securities and Futures Operating Institutions and Their Staff |
| Document batch number | |
| Reason for approval | West China Securities Co., Ltd.: After investigation, we found that your company has insufficient independence of internal control. The senior executives in charge of the quality control department acted as the sponsor representatives of IPO projects and participated in the quality control approval. Some opinions on internal control were not replied to, implemented or revised, and were submitted to the outside without the core. The on-site quality control inspection was insufficient, and some investment banking projects employed third parties that did not strictly perform the compliance review. |
| Approval content | I will decide to take administrative supervision and management measures to order your company to correct. |
| Handled by | China Securities Regulatory Commission |
|
| Warning notice date: May 19, 2023 |
|---|
| title | Decision of Shenzhen Securities Regulatory Bureau on Issuing Warning Letter to Shenzhen Mintian Road Securities Business Department of Huaxi Securities Co., Ltd |
| Relevant regulations | Measures for Compliance Management of Securities Companies and Securities Investment Fund Management Companies, Interim Provisions on Securities Investment Consulting Business, and Trial Measures for Securities Companies to Provide Intermediary Business for Futures Companies |
| Document batch number | Decision on Administrative Supervision Measures [2013] No. 50 |
| Reason for approval | Shenzhen Mintian Road Securities Business Department of Huaxi Securities Co., Ltd.: After investigation, your business department has the following problems: the personnel who are not registered as securities investment consultants in the China Securities Association provide investment advice to customers, and the information publicized by the business department on the spot shows that they have "investment advisory qualification"; There is no reasonable basis for individual investment advisers to provide investment advice to clients; Individual non marketing personnel participate in fund sales to obtain rewards; Individual employees who do not meet the conditions for futures practitioners to engage in intermediary business are rewarded. |
| Approval content | Our bureau has decided to take administrative supervision measures to issue a warning letter to your business department. Your business department should strengthen compliance management, standardize employees' practice behavior, effectively prevent risks, and ensure standardized operation. |
| Handled by | Shenzhen Securities Regulatory Bureau |
|
| Warning notice date: April 18, 2023 |
|---|
| title | Decision on Administrative Supervision Measures for Issuing Warning Letter to Zhengzhou Jingsan Road Securities Business Department of Huaxi Securities Co., Ltd |
| Relevant regulations | Measures for the Administration of Suitability of Securities and Futures Investors |
| Document batch number | Henan Securities Regulatory Bureau [2013] No. 6 |
| Reason for approval | It is found that your business department failed to scrupulously review some client's asset certification materials during the account opening process, which resulted in lax implementation of the investor suitability system. |
| Approval content | Our bureau has decided to take administrative supervision measures to issue a warning letter to your business department. |
| Handled by | Henan Securities Regulatory Bureau |
|
| Announcement date of rectification notice: July 15, 2022 |
|---|
| title | Huaxi Futures was administratively punished by Sichuan Securities Regulatory Bureau (Sichuan Securities Regulatory Bureau [2020] No. 56) |
| Relevant regulations | |
| Document batch number | Sichuan Securities Regulatory Bureau [2020] No. 56 |
| Reason for approval | In the process of carrying out asset management business through wholly-owned subsidiary Huashi Wutong, West China Futures has the following violations: First, the isolation of key positions such as traders, investment managers and risk controllers is not in place, and there are mixed operations and mixed offices; Second, the prevention mechanism of interest conflicts of investment consultants is not perfect; Third, there are errors in the content of information disclosure, and the content of publicity is inconsistent with the content of the appendix. |
| Approval content | Order correction |
| Handled by | Sichuan Securities Regulatory Bureau |
|
| Announcement date of rectification notice: July 15, 2022 |
|---|
| title | Chongqing Business Department of Huaxi Futures Co., Ltd. was punished by Chongqing Securities Regulatory Bureau. Chongqing Securities Regulatory Bureau [2021] No. 44 |
| Relevant regulations | |
| Document batch number | Chongqing Securities Regulatory Bureau [2021] No. 44 |
| Reason for approval | Chongqing Business Department of West China Futures accepted the on-site inspection of Chongqing Securities Regulatory Bureau, and Chongqing Business Department has: employees of comprehensive post and anti money laundering post participate in marketing work and receive marketing commission. |
| Approval content | Chongqing Securities Regulatory Bureau issued the Decision on Ordering Chongqing Business Department of Huaxi Futures Co., Ltd. to Take Corrective Measures ([2021] No. 44). |
| Handled by | Chongqing Securities Regulatory Bureau |
|
| Warning notice date: May 6, 2022 |
|---|
| title | Decision on Administrative Supervision Measures for Issuing Warning Letter to Fuzhou Branch of West China Securities Co., Ltd |
| Relevant regulations | Measures for Compliance Management of Securities Companies and Securities Investment Fund Management Companies |
| Document batch number | Decision on Administrative Supervision Measures [2022] No. 14 |
| Reason for approval | Fuzhou Branch of West China Securities Co., Ltd.: Through investigation, some employees of your branch have facilitated the financing between customers. |
| Approval content | Our bureau has decided to take administrative supervision and management measures to issue a warning letter to your branch. |
| Handled by | Fujian Securities Regulatory Bureau |
|
| Announcement date of rectification notice: May 6, 2022 |
|---|
| title | Decision on Taking Administrative Supervision Measures to Order Li Jiaxing to Correct |
| Relevant regulations | Interim Provisions on the Administration of Securities Brokers |
| Document batch number | Decision on Administrative Supervision Measures [2022] No. 13 |
| Reason for approval | Li Jiaxing: It is found that during your employment in Fuzhou Branch of West China Securities Co., Ltd., you have acted as an intermediary for financing between customers. |
| Approval content | Our bureau has decided to take administrative supervision and management measures to order you to make corrections. |
| Handled by | Fujian Securities Regulatory Bureau |
|
| Warning notice date: September 18, 2021 |
|---|
| title | Decision on Issuing a Warning Letter to Lai Gang |
| Relevant regulations | Regulations on Incorruptible Employment of Securities and Futures Operating Institutions and Their Staff |
| Document batch number | |
| Reason for approval | It is found that during your tenure as the head of the securities business department of West China Securities Co., Ltd. (hereinafter referred to as West China Securities) in Yinghuashan Road, Shifang, you sought illegitimate interests and caused losses to investors. |
| Approval content | Our bureau has decided to take administrative supervision measures to issue a warning letter to you. |
| Handled by | Sichuan Securities Regulatory Bureau |
|
| Warning notice date: September 18, 2021 |
|---|
| title | Decision on Issuing a Warning Letter to Yang Lanfang |
| Relevant regulations | Interim Provisions on the Administration of Securities Brokers |
| Document batch number | |
| Reason for approval | After investigation, we found that you handled securities subscription, trading and other acts for customers when you were the customer manager in the business department of West China Securities Co., Ltd., Mianyang Anchang Road. |
| Approval content | Our bureau has decided to take administrative supervision measures to issue a warning letter to you. |
| Handled by | Sichuan Securities Regulatory Bureau |
|
| Warning notice date: September 18, 2021 |
|---|
| title | Decision on Issuing Warning Letter to Huaxi Securities Co., Ltd |
| Relevant regulations | Measures for Compliance Management of Securities Companies and Securities Investment Fund Management Companies, and Regulations on Incorruptible Practice of Securities and Futures Operating Institutions and Their Staff |
| Document batch number | |
| Reason for approval | Through investigation, your company and its business departments in Mianyang Anchang Road and Shifang Yinghuashan Road have the following problems: First, the incorruptible practice requirements were not fully implemented. For example, some functional departments did not carry out internal inspection and annual self inspection of incorruptible practice as required, and the incorruptible practice system of some business lines did not cover all risk points. Second, it failed to timely discover and effectively prevent and control individual employees' securities violations. |
| Approval content | We are now taking regulatory measures to issue a warning letter to your company. |
| Handled by | Sichuan Securities Regulatory Bureau |
|
| Warning notice date: May 26, 2021 |
|---|
| title | Decision on Issuing Warning Letter to Huaxi Securities Co., Ltd |
| Relevant regulations | Guidelines on Internal Control of Investment Banking Business of Securities Companies, Compliance Management Measures of Securities Companies and Securities Investment Fund Management Companies |
| Document batch number | |
| Reason for approval | West China Securities Co., Ltd.: Our bureau found the following problems in the on-site inspection: First, as the lead underwriter and trustee of the non-public issuance of corporate bonds of Nanning Sugar Industry Co., Ltd. in 2017, your company did not continue to pay attention to the credit status of the issuer. When the credit rating of the bonds changed, you did not issue a temporary trustee affairs report as required, Second, there was incomplete collection of relevant data in the working paper confirming the purpose of raised funds, which violated the provisions of Article 6 of the Administrative Measures for the Issuance and Trading of Corporate Bonds (CSRC Order No. 180). 2、 During your due diligence on Shandong Guangyue Chemical Co., Ltd.'s non-public issuance of green corporate bonds in 2018, there were insufficient due diligence and failure to make independent judgment based on comprehensive analysis of various due diligence materials, which violated the provisions of Article 6 of the Administrative Measures for Corporate Bond Issuance and Trading. 3、 The internal control of investment banking business is not perfect. In the initial public offering of shares and listing on the GEM of Guangdong South New Media Co., Ltd., some documents submitted, submitted and disclosed to the outside world have not strictly followed the core procedures. In addition, some projects still have problems such as weak tracking and management of project processes, incomplete working papers, and untimely filing. The above acts violate the provisions of Articles 10, 13, 66, 83 and 85 of the Guidelines on Internal Control of Investment Banking Business of Securities Companies and Article 6 of the Compliance Management Measures of Securities Companies and Securities Investment Fund Management Companies (hereinafter referred to as the Compliance Management Measures). |
| Approval content | Take administrative supervision measures to issue a warning letter to your company. |
| Handled by | Sichuan Securities Regulatory Bureau |
|
| Warning notice date: April 12, 2021 |
|---|
| title | Decision on Issuing Warning Letter to Qin Yanhong |
| Relevant regulations | Interim Provisions on Securities Investment Consulting Business |
| Document batch number | |
| Reason for approval | Qin Yanhong: Upon investigation, we found that during your tenure in Huaxi Securities Co., Ltd. Chongqing Wanzhou Yulan Road Securities Business Department, without being registered as a securities investment consultant with the China Securities Association, you issued investment suggestions on buying and selling specific securities through Sina Weibo, Xiaohongshu APP and other public media from June to November 2020. |
| Approval content | The above behavior violates the provisions of Article 7 and Article 32 of the Interim Provisions on Securities Investment Consulting Business (CSRC Announcement [2020] No. 20, hereinafter referred to as the Interim Provisions). According to the provisions of Article 33 of the Interim Provisions, our bureau has decided to take administrative supervision measures to issue a warning letter to you. You should learn lessons carefully, strengthen the study of securities laws and regulations, practically standardize the practice behavior, and prevent similar problems from happening again. |
| Handled by | Chongqing Securities Regulatory Bureau |
|
| Warning notice date: April 1, 2021 |
|---|
| title | Decision on Giving Written Warning to Huaxi Securities Co., Ltd |
| Relevant regulations | Management Rules of Shanghai Stock Exchange for Members, Listing Rules of Shanghai Stock Exchange for Corporate Bonds, and Guidelines of Shanghai Stock Exchange for Credit Risk Management of Corporate Bonds Duration (Trial) |
| Document batch number | Decision on Disciplinary Punishment of Shanghai Stock Exchange [2021] No. 7 |
| Reason for approval | 1、 Failure to conduct comprehensive due diligence on the authenticity of the issuer's mortgage filing procedures 2、 Failure to continuously track and timely disclose major events related to the issuer's solvency |
| Approval content | In view of the above violation facts and circumstances, according to the relevant provisions of Article 8.5 of the Administrative Rules of Shanghai Stock Exchange for Members, Article 6.2 of the Listing Rules of Shanghai Stock Exchange for Corporate Bonds and the Implementation Measures of Shanghai Stock Exchange for Disciplinary and Supervisory Measures, Shanghai Stock Exchange (hereinafter referred to as the Exchange) The following regulatory measure decision was made: give a written warning to Huaxi Securities Co., Ltd. |
| Handled by | Shanghai Stock Exchange |
|
| Announcement date of rectification notice: October 15, 2020 |
|---|
| title | Decision on Ordering Dujiangyan Shudian Investment Co., Ltd. to Correct Administrative Supervision and Management Measures |
| Relevant regulations | Regulations on Equity Management of Securities Companies, Regulations on Implementation of Equity Management Regulations of Securities Companies |
| Document batch number | Sichuan Securities Regulatory Bureau [2020] No. 47 |
| Reason for approval | Dujiangyan Shudian Investment Co., Ltd.: We found in our daily supervision that your company now holds 50.7948 million shares of Huaxi Securities Co., Ltd. (hereinafter referred to as "Huaxi Securities"), with a shareholding ratio of 1.94%. After the issuance of the Regulations on Equity Management of Securities Companies (CSRC Order No. 156, hereinafter referred to as the "Administrative Regulations"), the pledge of this part of equity expired and continued to be pledged, with the pledge rate of 100%, which is not in line with the first paragraph of Article 26 of the Administrative Regulations and the Provisions on the Implementation of the Regulations on Equity Management of Securities Companies (CSRC Announcement [2019] No. 16) The relevant provisions of Paragraph 3 of Article 2 on the pledge of shareholders' equity of securities companies. |
| Approval content | Our bureau has decided to take supervision and management measures to order your company to correct. Your company should submit the rectification plan to our bureau within 5 working days from the date of receiving this decision, complete the rectification within 6 months, and report the implementation of the rectification to our bureau in writing. |
| Handled by | Sichuan Securities Regulatory Bureau |
|
| Date of inquiry announcement: October 9, 2019 |
|---|
| title | West China Securities: Announcement on the Reply to the Inquiry Letter of 2019 Semi annual Report |
| Relevant regulations | |
| Document batch number | SME Board Semi annual Report Query Letter [2019] No. 54 |
| Reason for approval | West China Securities Co., Ltd. (hereinafter referred to as "West China Securities" and "the Company") received the Inquiry Letter on the Semi annual Report of West China Securities Co., Ltd. in 2019 (the Inquiry Letter on Semi annual Report of Small and Medium sized Board [2019] No. 54) issued by the Management Department of Small and Medium sized Board Companies of Shenzhen Stock Exchange on September 24, 2019. |
| Approval content | After receiving the Inquiry Letter, the Company attached great importance to it, carefully verified and analyzed the problems involved in the Inquiry Letter, and now replies to the Inquiry Letter. |
| Handled by | Management Department of Small and Medium Board Companies of Shenzhen Stock Exchange |
|
| Warning notice date: September 11, 2018 |
|---|
| title | Decision on Administrative Supervision Measures for Issuing Warning Letter to Huaxi Securities Co., Ltd |
| Relevant regulations | Measures for the Administration of Corporate Bond Issuance and Trading, and Measures for the Supervision and Administration of Non listed Public Companies |
| Document batch number | Sichuan Securities Regulatory Bureau [2018] No. 20 |
| Reason for approval | West China Securities Co., Ltd.: Our bureau conducted on-site inspection on your company's investment banking business and found the following problems: 1、 Your company, as the trustee of 16 Shunfeng 01 bonds (135576. SH) privately issued by Shunfeng Optoelectronics Investment (China) Co., Ltd. (hereinafter referred to as the "Issuer") on June 22, 2016, in accordance with Article 4.6 of the Trustee Agreement of Shunfeng Optoelectronics Investment (China) Co., Ltd. on Non public Issuance of Corporate Bonds in 2016 (hereinafter referred to as the "Trustee Agreement"), "In case of any circumstance specified in Article 3.4 of this Agreement that has a significant impact on the rights and interests of bondholders, Party B shall, within five working days from the date when it knows or should have known such circumstance, inquire Party A or the guarantor, request Party A or the guarantor to explain, provide relevant evidence, documents and materials, and announce the temporary entrusted management affairs report to the market." After investigation, Your company has the following non performance: 1. The purpose of the funds in the prospectus is "after deducting the issuance costs, all of them are used to supplement working capital, including purchasing components, components and payment of project funds". The actual amount of the bonds issued is 500 million yuan, and the actual funds received after deducting the costs are 498 million yuan. Of which, the issuer transferred 39.52 million yuan to Jiangxi Shunfeng Optoelectronics Investment Co., Ltd. on June 27, 2016 to pay the bank loan deposit, which falls under the circumstances of item 13 "Party A intends to change the agreement on the prospectus" and item 18 "other matters that have a significant impact on the rights and interests of bond holders" in Article 3.4 of the trustee agreement, The trustee has not disclosed in the report on temporary entrusted affairs. 2. On June 21, 2016, Jiangxi Shunfeng Optoelectronics Investment Co., Ltd. signed with Chongqing Future Investment Co., Ltd. to cancel the equity transfer agreement it signed on December 16, 2015. According to the prospectus, the income from equity transfer is one of the sources of debt repayment of the company, The matter falls under the circumstance of "significant changes in the guarantor, collateral or other debt repayment guarantee measures" in Item 10 of Article 3.4 of the Trustee Agreement, and the Trustee has not issued a temporary trustee report on the matter. 3. On December 29, 2016, the issuer was included in the national list of dishonest executors, which falls under the circumstances of Item 9 of Article 3.4 "Party A is involved in major litigation, arbitration matters or is subject to major administrative penalties" and Item 18 "Other matters that have a significant impact on the rights and interests of bondholders" of the trustee agreement. The trustee did not issue an interim trustee report on this matter. The above behavior violates the provisions of Article 52 of the Administrative Measures for the Issuance and Trading of Corporate Bonds that "in case of non-public issuance of corporate bonds, the bond trustee shall perform its duties in accordance with the bond trustee agreement", Article 43 The provisions on "the time and content of information disclosure of issuers of non-public corporate bonds shall be performed in accordance with the provisions of the prospectus". 2、 Your company failed to be diligent and responsible in the recommended due diligence process of the new three board listing project of Yibin Minsheng Cold Chain Co., Ltd. (hereinafter referred to as "Minsheng Cold Chain"). 1. The industrial and commercial registration data of Minsheng Cold Chain included in Minsheng Cold Chain Due Diligence Draft has a special seal for copying, which fails to reflect the total number of pages of the copied data, and the copied data cannot reflect the connection between the first and last page numbers. Upon investigation, the project team did not actually participate in the industrial and commercial inquiry work during the due diligence process, nor verified the authenticity and integrity of the industrial and commercial registration information through on-site interviews and other means, resulting in the failure to discover and pay attention to the fact that Wang Lan, the actual controller of Minsheng Cold Chain, personally owes 14 million yuan to other natural persons and Wang Lan and Zhao Jie pledged their equity. 2. In the process of equity transfer of Yibin Xuebei Frozen Food Co., Ltd. (the original affiliated company of Minsheng Cold Chain), your company failed to visit the equity transferee, verify and timely discover the relationship between Yu Bin, the equity transferee of Yibin Xuebei Frozen Food Co., Ltd., and Li Shuping, the director and chief financial officer of Minsheng Cold Chain. 3. On September 18, 2015, Minsheng Cold Chain held its first extraordinary general meeting of shareholders, which reviewed and passed the Proposal on the Share Issuance Plan of Yibin Citizens Cold Chain Co., Ltd., the Proposal on Signing the Share Subscription Agreement of Yibin Citizens Cold Chain Co., Ltd. and other proposals. According to the proposal, 5 million shares were newly issued this time, and the investors paid 10 million yuan in total. Your company has reviewed the documents of the corresponding shareholders' meeting, the bank voucher for shareholders' payment, the Capital Verification Report, the industrial and commercial registration and other materials, but the due diligence draft does not include the share subscription agreement signed by the shareholders. The above behavior violates Article 6 of the Measures for the Supervision and Administration of Unlisted Public Companies, which stipulates that securities companies, law firms, accounting firms and other securities service institutions that issue special documents for the company shall be diligent, responsible, honest and trustworthy, and conscientiously perform the obligation of prudent verification, Article 54 Provisions on "Securities companies shall, in their business activities such as stock transfer and directional issuance, diligently and responsibly conduct due diligence in accordance with the relevant provisions of the CSRC, standardize the implementation of core procedures, carefully prepare relevant documents, and continuously supervise the recommended companies to timely perform their information disclosure obligations and improve corporate governance". |
| Approval content | In accordance with the provisions of Articles 58 and 65 of the Administrative Measures for the Issuance and Trading of Corporate Bonds and Article 62 of the Administrative Measures for the Supervision and Administration of Unlisted Public Companies, our bureau has decided to take administrative supervision measures to issue a warning letter to your company. |
| Handled by | Sichuan Securities Regulatory Bureau |
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| Announcement date of punishment decision: April 25, 2016 |
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| title | The No. 1 Taxation Office of Haidian District Office of the State Administration of Taxation of Beijing issued the Decision on Administrative Penalty for Taxation (Simplified) (HYGJJ [2016] No. 2253) to Beijing Zhanghua Road Securities Business Department on April 25, 2016 |
| Relevant regulations | |
| Document batch number | HYGJF [2016] No. 2253 |
| Reason for approval | Beijing Changhua Road Securities Business Department failed to declare enterprise income tax within the time limit. |
| Approval content | A fine of 100 yuan will be imposed. |
| Handled by | Beijing Haidian District State Administration of Taxation No. 1 Taxation Office |
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| Announcement date of punishment decision: July 17, 2015 |
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| title | On July 17, 2015, the tax branch directly under Guangzhou Municipal Office of the State Administration of Taxation issued the Letter of Decision on Tax Administrative Punishment (Simple) to the Securities Business Department of Zhujiang East Road, Guangzhou (SGSZJJ [2015] No. 22) |
| Relevant regulations | |
| Document batch number | SGSZJJ [2015] No. 22 |
| Reason for approval | The Securities Business Department of Zhujiang East Road, Guangzhou failed to declare VAT within the time limit. |
| Approval content | A fine of 60 yuan will be imposed. |
| Handled by | Guangzhou Municipal Office, SAT Direct Taxation Branch |
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| Warning notice date: April 2, 2015 |
|---|
| title | The CSRC takes warning measures against the company |
| Relevant regulations | |
| Document batch number | |
| Reason for approval | On April 2, 2015, in the process of carrying out margin trading business, the Company had problems with margin trading from customers who had been engaged in securities trading for less than half a year. |
| Approval content | Cautionary measures were taken by the CSRC. In the month when the CSRC issued the warning letter, the Company has completed the rectification of the above problems. |
| Handled by | China Securities Regulatory Commission |
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| Announcement date of punishment decision: January 16, 2015 |
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| title | On January 16, 2015, the State Administration of Taxation of Chengdu Hi tech Industrial Development Zone of Sichuan Province issued the Letter of Decision on Tax Administrative Penalty (Simple) to the Securities Business Department of Chengdu Tianfu Second Street (GSJX [2015] No. 292) |
| Relevant regulations | |
| Document batch number | GSJJ [2015] No. 292 |
| Reason for approval | The securities business department of Chengdu Tianfu Second Street failed to declare VAT within the time limit. |
| Approval content | Fine 400 yuan. |
| Handled by | Sichuan Chengdu Hi tech Industrial Development Zone State Administration of Taxation |
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