Beijing Media (01000.HK) announced that it has received notification from one of the company's independent non-executive directors, Chen Yiping, that the Securities and Futures Commission has initiated legal proceedings in the original court of Hong Kong under section 214 of the Securities and Futures Ordinance. The proceedings are seeking a court order to disqualify seven former directors (including Chen Yiping) and two former de facto directors of Beijing Jiuyi Medical Health (00648.HK) for alleged breach of fiduciary duty.

The Securities and Futures Commission alleges that the seven former directors of Beijing Jiuyi Medical Health violated their duty to the company by issuing false and misleading information in the relevant announcement. Chen Yiping has resigned as an independent non-executive director, chairman of the board's audit committee, chairman of the remuneration committee, and chairman of the nomination committee of Beijing Jiuyi Medical Health effective May 31, 2022.

Beijing Media states that Chen Yiping is an independent non-executive director and chairman of the audit committee of the company. He is not involved in the day-to-day operations of the group. The company expects that the incident will not have any significant adverse impact on the group's business and operations. The board of directors will continue to monitor the progress of the incident and evaluate the suitability of Chen Yiping as an independent non-executive director.