Xu Jiayin's cronies, Evergrande Property gave the most negative votes

  Text/Leju Finance Xu Jiumian

  On November 16, Evergrande Property (6666. HK) announced the voting results of the 2021 Annual General Meeting and the 2022 Annual General Meeting held on October 16, 2023, and passed the re-election of Duan Shengli as an executive director.

  There is no surprise in Duan Shengli's re-election, but looking at the results of the votes of several other directors, Duan Shengli received the lowest number of votes in favor, with 95.171626% in favor and 4.828374% against.

  On July 22 last year, the preliminary investigation results of the 13.4 billion yuan "disappeared" of Evergrande Property were published, and Evergrande Property and China Evergrande issued a "execution order" for the "masterminds" of the case, six executives of two listed companies.

  Among them, Zhen Litao, then executive director, chairman of the board of directors and chairman of the nomination committee of Evergrande Property. At that time, it was Duan Shengli who was appointed to be in danger and pushed out to take charge of Evergrande Property.

  Duan Shengli, 41 years old this year, joined Evergrande Group after graduating from Tsinghua University in July 2005, starting from Evergrande Henan Company for more than 18 years. When he moved to Evergrande Property last year, he was serving as the executive vice president of China Evergrande Group and the chairman of Evergrande Children's World Group.

  Duan Shengli is a management trainee of Evergrande Group, and Xu Jiayin trusts him. On June 25, 2021, the shareholding of Evergrande Cultural Industry Group Co., Ltd. changed, and Duan Shengli and Yang Chao, another management trainee of Evergrande, took over 98% and 2% of the shares from Evergrande Real Estate.

  This has made Evergrande Cultural Industry Group and Evergrande Group isolated from debts and has a firewall. Xu Jiayin's approach is very resolute and very rare.

  Interestingly, he took over as chairman of Evergrande Property on July 22 last year and worked for nearly half a year, but Duan Shengli did not receive a salary from Evergrande Property last year. On the contrary, Zhen Litao, who was arranged to resign due to the 13.4 billion deposit pledge arrangement involving Evergrande Property, received 101,000 yuan of director's robe money, 560,000 yuan of salary and other benefits, and 19,000 yuan of pension plan contributions, with a total annual salary of about 814,000 yuan.

  Leju Finance's "Property K-line" looked at the announcement of the change of directors published by Evergrande Property in July last year, and for the appointment of Duan Shengli, Evergrande Property said: "The company has entered into a service contract with Mr. Duan for a period of three years... Mr. Duan will not receive his director's remuneration as an Executive Director of the Company. ”

  If you do not receive the remuneration of directors who are the executive directors of Evergrande Property, will you receive the remuneration of being the chairman of the board of directors this year? This should need to be revealed in the 2023 financial report.

  According to the data, as of June 30, 2023, Duan Shengli has shares in the three major listed platforms of Evergrande. Among them, 10,000 shares are held in China Evergrande, 2.42 million shares are held in Evergrande Automobile, and 3.55 million shares are held in Evergrande Property. According to the previous announcement, in addition, Duan Shengli also holds 20.6 million shares of China Evergrande that can be subscribed for the same number of options.

  Now, the "Evergrande system" has all resumed trading, but the stock price has shrunk significantly.

Related companies: Evergrande Property HK06666