According to Zhitong Finance App, China Building Materials (03323) issued an announcement. The company was notified of the following matters by its subsidiary Tianshan Materials Co., Ltd. (“Tianshan Materials”), whose A shares are listed and traded on the Shenzhen Stock Exchange (stock code: 000877)):
Tianshan Materials recently received the “Notice of Case Filing” issued by the China Securities Regulatory Commission (“China Securities Regulatory Commission”), which mentioned that due to suspected illegal disclosure of information, the China Securities Regulatory Commission decided to file a case against Tianshan Materials in accordance with relevant laws and regulations.
Tianshan materials said that during the filing and investigation of the case, it will actively cooperate with the investigation work of the China Securities Regulatory Commission and promptly fulfill its information disclosure obligations in strict accordance with relevant laws, regulations and regulatory requirements. As of the date of this announcement, all business activities of Tianshan Materials have been carried out normally, and its directors and senior management have carried out their duties normally. Tianshan Materials does not anticipate that the above matters will have a significant impact on its production and operation.
Tianshan Materials and related personnel received a decision on administrative supervision measures issued by the Xinjiang Regulatory Bureau of the China Securities Regulatory Commission (“Xinjiang Securities Regulatory Bureau”), involving issues such as Tianshan Materials' careless goodwill impairment tests from 2023 to 2025, and unprudent calculation of bad accounts receivable (including underestimating bad debts to prepare RMB 21.0915 million in 2025), leading to inaccurate disclosure of relevant information. The Xinjiang Securities Regulatory Bureau issued a decision ordering the correction to Tianshan Materials and issued a decision to take warning letter measures to its three relevant managers, respectively requiring Tianshan Materials and related personnel to strengthen the management of information disclosure and improve the quality of information disclosure, and submit written rectification reports.
According to Tianshan materials, it and relevant personnel will carefully summarize and rectify in accordance with the requirements of the Xinjiang Securities Regulatory Bureau, strengthen the study of securities laws and regulations, strengthen their awareness of standardized operation, and improve the quality of information disclosure. Tianshan Materials anticipates that the above administrative supervision measures will not affect the normal production, operation and management activities of Tianshan Materials.
After evaluation with the company's auditors, the company believes that the matters covered by the above administrative supervision measures have not had a significant impact on the overall financial situation and performance of the company and its subsidiaries.