Aoshikang supervisor Wen Jinnong received a warning letter to reduce his own stock without prior trust

Source: China Economic Network

China Economic Network Beijing, September 10, 2021 The Hunan Securities Regulatory Bureau Administrative Supervision Measures Decision ([2021] No. 015) recently published on the website of the China Securities Regulatory Commission shows that after investigation, Wen Jinnong, as a supervisor of Aoshikang Technology Co., Ltd. (hereinafter referred to as "Aoshikang", 002913.sz), did not disclose the share reduction plan in advance in accordance with relevant regulations 15 trading days before the first sale when reducing the company's shares on July 8, 2021. Wen Jinnong's conduct violated Article 8 of the Several Provisions on the Reduction of Shares Held by Shareholders, Directors, Supervisors and Gao of Listed Companies (CSRC Announcement [2017] No. 9) and Article 3 of the Measures for the Administration of Information Disclosure of Listed Companies (Order No. 182 of the CSRC).

In accordance with Article 14 of the Several Provisions on the Reduction of Shareholdings by Shareholders and Directors and Supervisors of Listed Companies and Article 52 of the Measures for the Administration of Information Disclosure of Listed Companies, the Hunan Securities Regulatory Bureau decided to take administrative supervision measures of issuing a warning letter to Wenjinnong. Wenjinnong should strengthen the study of relevant securities laws and regulations, strictly regulate the reduction of holdings, and prevent the recurrence of such violations.

After more than 10 years of steady development, Aoshikang Technology Co., Ltd. has now become a joint-stock enterprise with Aoshikang Technology Co., Ltd., Aoshikang Precision Circuit (Huizhou) Co., Ltd., Aoshikang Technology (Hong Kong) Co., Ltd., Shenzhen Xizhen Industrial Co., Ltd. and other enterprise operating entities, and was successfully listed on the Shenzhen Stock Exchange on December 1, 2017 (stock code: 002913). The total investment of Aoshikang Technology Co., Ltd. is more than 5.1 billion yuan, and the total design and planning annual production capacity of high-density printed circuit boards is 11.12 million square meters (including under construction). Shenzhen Nortel Investment Co., Ltd. is the largest shareholder, holding 50.36% of the shares.

From October 23, 2015 to August 11, 2021, Wen Jinnong served as a staff supervisor of Aoshikang. As of August 26, 2021, it directly held 45,100 shares of Auscon.

Article 8 of the Several Provisions on the Reduction of Shares by Shareholders and Directors and Supervisors of Listed Companies (CSRC Announcement [2017] No. 9) stipulates that the major shareholders and directors and supervisors of listed companies who plan to reduce their shares through centralized auction transactions on the stock exchange shall report to the stock exchange 15 trading days before the first sale and disclose the reduction plan in advance, which shall be filed by the stock exchange.

The content of the shareholding reduction plan of the major shareholder and the director and supervisor of the listed company shall include, but is not limited to: the number, source, time range, method, price range and reason for the reduction of the shares to be reduced. The time period for reducing holdings shall comply with the provisions of the stock exchange.

Within the pre-disclosed time period for the reduction of shareholdings, the major shareholders, directors and supervisors shall disclose the progress of the reduction in accordance with the provisions of the stock exchange. After the implementation of the shareholding reduction plan, the major shareholder, the director and supervisor shall report to the stock exchange within two trading days and make an announcement; Within the pre-disclosed time period for reducing holdings, if the reduction has not been implemented or the implementation of the reduction plan has not been completed, it shall report to the stock exchange within two trading days after the expiration of the time period for the reduction and make an announcement.

Article 14 of the Several Provisions on the Reduction of Shares By Shareholders and Directors and Supervisors of Listed Companies stipulates that if the shareholders and directors and supervisors of a listed company fail to reduce their shares in accordance with these Provisions and the rules of the stock exchange, the CSRC shall take regulatory measures such as ordering corrections in accordance with the relevant provisions.

Article 3 of the Measures for the Administration of Information Disclosure of Listed Companies (Order No. 182 of the Csrc) stipulates that issuers, directors, supervisors and senior management of listed companies shall faithfully and diligently perform their duties to ensure that the disclosed information is true, accurate, complete, timely and fair.

Article 52 of the Measures for the Administration of Information Disclosure of Listed Companies stipulates that sponsors and securities service institutions that issue special documents for the information disclosure obligors to perform their information disclosure obligations shall be diligent and conscientious, honest and trustworthy, and issue professional opinions in accordance with the business rules, industry practice norms and ethical standards formulated in accordance with law, so as to ensure the authenticity, accuracy and completeness of the documents issued.

The following is the original text:

Decision on the supervision measures of issuing warning letters to Wenjinnong

Decision on Administrative Supervision Measures [2021] No. 015

WenJinnong:

After investigation, as a supervisor of Aoshikang Technology Co., Ltd. (hereinafter referred to as "Aoshikang" or the "Company"), when you reduced your shareholding in the Company on July 8, 2021, you did not disclose the share reduction plan in advance 15 trading days before the first sale in accordance with the relevant regulations. Your conduct violated Article 8 of the Several Provisions on the Reduction of Shareholdings by Shareholders, Directors, Supervisors and Gao of Listed Companies (CSRC Announcement [2017] No. 9) and Article 3 of the Administrative Measures for Information Disclosure of Listed Companies (Order No. 182 of the CSRC).

In accordance with Article 14 of the Several Provisions on the Reduction of Shares by Shareholders and Directors and Supervisors of Listed Companies and Article 52 of the Measures for the Administration of Information Disclosure of Listed Companies, our bureau has decided to take administrative supervision measures of issuing a warning letter to you. You should strengthen your study of the relevant securities laws and regulations, strictly regulate the reduction of holdings, and prevent the recurrence of such violations.

If you are dissatisfied with these supervision and management measures, you may submit an application for administrative reconsideration to the China Securities Regulatory Commission within 60 days of receiving this decision, or you may file a lawsuit with a people's court with jurisdiction within 6 months from the date of receipt of this decision. During the period of reconsideration and litigation, the implementation of the above-mentioned supervision and management measures shall not be stopped.

Hunan Securities Regulatory Bureau

September 8, 2021