Zhitong Finance App News, ST Dinglong (002502.SZ) announced that the company recently received the “Decision on Issuing Warning Letter Measures against Dinglong Culture Co., Ltd., Long Xueqin, Wang Xiaoping, Liu Wenkang, and Fang Shupo” ([2023] No. 186) issued by the Guangdong Regulatory Bureau (“Guangdong Securities Regulatory Bureau”) of the China Securities Regulatory Commission. The details are now announced as follows:

Dinglong Culture Co., Ltd., Long Xueqin, Wang Xiaoping, Liu Wenkang, Fang Shupo: After investigation, Dinglong Culture had the following irregularities: From January to September 2021, Dinglong Culture's subsidiary Yunnan China Titanium Technology Co., Ltd. (“China Titanium Technology”) transferred a total of 69.3 million yuan of funds to Dinglong Culture's actual controller and related parties in the name of prepaid purchases and equity payments. As of December 2021, the actual controller and related parties have returned all of the above non-operating capital occupancy amounts and paid the capital usage fees. The above non-operating financial transactions of related parties have failed to fulfill the corresponding review procedures and information disclosure obligations in accordance with regulations. The relevant acts violate the provisions of Article 2 (1) and Article 48 of the “Administrative Measures on Information Disclosure of Listed Companies” (CSRC Order No. 40), and Article 3 (1) and Article 41 of the “Administrative Measures on Information Disclosure of Listed Companies” (CSRC Order No. 182).

Long Xueqin, Chairman of Dinglong Culture, Wang Xiaoping, Secretary of the Board of Directors, Liu Wenkang, then Financial Director, and Fang Shupo, then Chairman of China Titanium Technology and Chairman of Dinglong Culture, failed to perform diligent and conscientious duties in accordance with section 3 of the “Administrative Measures on Information Disclosure of Listed Companies” (CSRC Order No. 182) and section 4 of the “Administrative Measures on Information Disclosure of Listed Companies” (CSRC Order No. 182), and are mainly responsible for the company's related irregularities. According to the provisions of Article 59 of the “Administrative Measures on Information Disclosure of Listed Companies” (Securities Regulatory Commission Order No. 40) and Article 52 of the “Administrative Measures on Information Disclosure of Listed Companies” (CSRC Order No. 182), our bureau decided to take administrative supervision measures against Dinglong Culture, Long Xueqin, Wang Xiaoping, Liu Wenkang, and Fang Shupo. You should carefully learn the lessons, effectively strengthen your study of securities laws and regulations, and cooperate with listed companies to fulfill their information disclosure obligations in a true, accurate, complete, timely and fair manner in accordance with the law.