In response to the issue of performance fraud, huanrui century said that the company would earnestly implement and cooperate with the implementation of the decision on administrative punishment, and the relevant responsible persons would take it as a warning.
Huanrui century received the advance notice of administrative punishment from Chongqing regulatory bureau of CSRC on June 26
Huanrui Century
Sina entertainment news on July 29, huanrui century responded to the administrative punishment ordered to correct, given a warning and fined by the Chongqing regulatory bureau of the CSRC, saying that the company will earnestly implement and cooperate with the implementation of the decision on administrative punishment, and the relevant responsible persons will take a warning and strictly abide by various laws, regulations and relevant provisions, At the same time, it is revealed that the current operation of huanrui century is normal, no major changes have taken place, and its future operation has not been affected.
On July 28, huanrui century announced that the company received the advance notice of administrative punishment from Chongqing regulatory bureau of China Securities Regulatory Commission on July 26. The investigation of the case suspected of illegal information disclosure has been completed. The securities regulatory bureau plans to impose administrative penalties of ordering the company and relevant individuals to make corrections, giving warnings and fines in accordance with the law.
The announcement shows that the company's main suspected violations are as follows: huanrui film and television had the problem of less provision for bad debts from 2013 to 2016 and did not disclose the funds occupied by related parties; Huanrui film and television had the problem of recognizing revenue in advance in 2013 and 2014.
According to the first paragraph of Article 193 of the securities law, Chongqing Securities Regulatory Bureau plans to order huanrui century to make corrections, give a warning and impose a fine; The relevant responsible person shall be given a warning and fined. According to the illegal matters identified in the advance notice, the company adjusted the company's financial statements for 2016-2018 according to the listed matters. Before the adjustment, the company's net profit for 2016-2018 was 265 million, 422 million and 323 million, and after the adjustment, it was 244 million, 407 million and 323 million; According to relevant laws and regulations, the company is not terminated from listing.
Huanrui century said that the company will earnestly implement and cooperate with the implementation of the decision on administrative punishment. The company and relevant responsible persons will take warning, strictly abide by various laws, regulations and relevant regulations, continue to strengthen the standardization of the company's internal governance, and strive to repay all investors with good performance. The company will continue to strengthen the study of relevant laws and regulations by the actual controller and directors, supervisors and senior executives, improve the quality of information disclosure, standardize the construction of financial system, strengthen the management of accounts receivable, and establish an internal governance system and business philosophy of compliance, responsibility and standardized development.
The company also said that at present, the company's operation is normal, no major changes have taken place, and its future operation has not been affected. In its recent announcement in reply to the inquiry letter of the exchange's annual report, the company disclosed the copyright of 11 novels and scripts that have a great impact on the company, including "one product in ten years, Wen Ruyan", "operation Agkistrodon halys", "never close your eyes", "Kunlun", "call me special forces", "like you", etc. Among them, "glass beauty evil" was launched at the end of February, and "south wind knows my meaning" will be launched in October 2019. In 2018, the company invested in the production of film and television dramas such as Jiangshan Yongle, Tianmu crisis and Yunding Tiangong (Part 2). In 2019, the company will continue to focus on drama production and artist brokerage to strengthen its main business and steady operation.