Zhizhong Finance APP reported that *ST Tiancheng (600112.SH) announced that on June 4, 2024, the company received decisions from the Guizhou Securities Regulatory Bureau of the China Securities Regulatory Commission, which imposed warning letters on Guizhou Changzheng Tiancheng Holdings Co., Ltd., Gao Jian, and Huang Jufang, and regulatory talks on Gao Jian and Huang Zhuowei regarding the corrective measures against them for issuing corrective measures against Galaxy Tiancheng Group Co., Ltd.

After investigation, Galaxy Tiancheng Group Co., Ltd., the former controlling shareholder of the listed company, was found to have non-operational use of listed company funds in the equity transfer of Beijing Guohua Huiyin Technology Co., Ltd. involving *ST Tiancheng in 2017 but failed to disclose as required. The Guizhou Securities Regulatory Bureau has decided to adopt administrative regulatory measures requiring corrective action against Galaxy Tiancheng Group Co., Ltd.

After investigation, the company was found to have problems including, firstly, failure to timely and completely disclose the equity transfer and transfer back of Beijing Guohua Huiyin Technology Co., Ltd. ('Guohua Huiyin') since 2016 and the non-operational use of funds by the former controlling shareholder of *ST Tiancheng when it transferred Guohua Huiyin in 2017; in addition, accounting treatment issues of Guohua Huiyin led to inaccurate disclosure of the corresponding annual report. Secondly, several issues such as inaccurate provisions for some loan interests, penalty interests, and damages, inaccurate capitalization of development expenses, cross-period market expenses, inaccurate income and cost accounting, untimely accounts recording of management expenses, and inaccurate reserve provision for bad debt, led to inaccurate 2020 annual report disclosure.

The announcement shows that Gao Jian, the former acting chairman, general manager, and interim company secretary of the company, and Huang Jufang, the former financial director, are primarily responsible for the inaccurate disclosure in the 2020 annual report. The Guizhou Securities Regulatory Bureau decides to impose warning letters on the listed company, Gao Jian, and Huang Jufang as regulatory measures.

After investigation, in the announcement of 'Announcement on the Correction of Prior Accounting Errors' disclosed by the company on April 30, 2024, several financial data were inaccurate. In addition, there were errors in the relevant year and content disclosed in the '2023 Annual Report' and 'Announcement on Implementing Risk Warning of Delisting of Stocks, and Other Risk Warning and Suspension Measures'. Gao Jian, the acting chairman of the company, and Huang Zhuowei, the secretary of the board, are primarily responsible for this behavior. The Guizhou Securities Regulatory Bureau decides to issue warning letters to the listed company and hold regulatory talks with Gao Jian and Huang Zhuowei.