China Development and Reform Commission and China Development Bank issued a document “ development finance strengthens support for industrial transformation of old industrial cities and resource-based cities”

As reported by Reuters, China's National Development and Reform Commission and China Development Bank recently issued a "Notice on Promoting Development Finance to Support the Construction of Demonstration Zones for Industrial Transformation and Upgrading," calling for further efforts to support development finance and support demonstration zones in building innovation platforms , improve the infrastructure of industrial transformation and upgrading demonstration parks, promote industrial transformation and upgrading, enhance the comprehensive carrying capacity of cities, and accelerate the green transformation of energy and resources industries. 

It's clear that China government actively engaged with business of China Development Bank as a related party. Has China Development Bank fully disclosed related party transactions in its financial statements presented using International Financial Reporting Standards?

南京大学、生物研究院分别作出生物研究院关停的内部决议对集萃药康的影响

根据会计师回复意见：在南京大学、生物研究院(Nanjing University Nanjing Biology Medicine Academe)分别作出内部决议形成对于生物研究院关停的相关原则性处理意见之后（即2018年8月21日之后），生物研究院方能与集萃药康开展实质谈判筹备具体合作方案，并进一步形成了关于小鼠品系转让、资产出租、人员安置等一系列明确安排。而在此之前的2018年4月和2018年7月，集萃药康与生物研究院的后续达成的相关安排和交易在当时的历史条件下不存在任何确定性安排。

集萃药康成立于2017年12月29日，在2018年6月取得实验动物生产资质之前公司销售规模较小，相关生产环节委托生物研究院开展；在取得实验动物生产资质之后，集萃药康逐步自行开展相关业务。2018年8月生物研究院决议明确关停生物研究院，集萃药康承接受让或租赁生物研究院相关小鼠品系、设备设施、人员等具有了现实可能性，业务面貌发生了重要变化。自2018年9月起，集萃药康员工数量、营业收入等明显增加。

2018年8月之后，集萃药康明确了与南京大学和生物研究院的相关安排，相继签署协议受让小鼠品系及相关知识产权、租赁生物研究院部分设备设施，同时承接部分人员等，一方面公司业务具备了快速发展的可靠预期，另一方面也意味着公司资产、业务、人员等能从法律层面与南京大学和生物研究院有一个清晰划分，明确释放了支持公司未来发展的重要信号。在此之后，集萃药康方可放手加大研发投入、广泛招募各类人才、全国性布局生产基地、不断开拓客户资源，业务经营进入快速发展的崭新时期。在此基础上，青岛国药、鼎晖投资等外部投资者方可判断集萃药康具有持续经营能力。

China's inter-bank bond market is tight. The official seal documents show that many corporate bond issuances from Guangzhou, Jiangsu, Henan, Shandong, Beijing, Chongqing, Hubei and other places have failed.

Xuzhou High-tech Industrial Development Zone State-owned Assets Management Co., Ltd. disclosed on 20 December 2021 that it would issue 250 million yuan of the second phase of 2021 ultra-short-term financing bonds with a maturity of 75 days on December 21. It claimed to cancel the issuance due to the volatility of the bond market.

However, from a macroeconomic perspective,  Jinping Xi’s regime focused its energy on centralizing power and abolishing local tax bureaus. All tax revenues were collected by the State Taxation Bureau and Customs, which implement the vertical management of the central government. The Xi Jinping regime also cut the salaries of ordinary civil servants and increased the salaries of Xi Jinping’s intelligent agencies who have nothing to do with value creation such as the military and emergency management. Ordinary civil servants will have more motivation to use their power to rob the local economy. As a result, investors in the inter-bank bond market are not optimistic about the cash flow of some local state-owned enterprises.

The debt problems of companies such as Fantasia and Evergrande have increased risk aversion in the market, and may also affect bond investors' credit risk, systemic risk measurement and related pricing. A debt default event with a large impact will not only quantitatively affect the calculation of the expected debt default loss rate (the expected debt default loss rate is affected by the expected debt default rate + the expected loss at the time of the default. It is necessary to refer to actual factors and also to consider the historical loss rate), it will also affect risk sentiment and affect the price of risk.

In addition, the December 2021 meeting of the Federal Reserve Board of the United States decided to reduce the balance sheet and raise interest rates at the same time. The Fed rate is the basis for pricing in all financial markets in the world. Participants in the inter-bank bond market can only be more cautious and would rather take more time to look at it. The financial statements of the invested companies are not willing to take the risk of losing liquidity and huge credit risk losses. After reading the financial statements of several local state-owned enterprises that issued bonds in the inter-bank bond market, it is common that the cash flow from operating activities is negative or the cash flow from operating activities is less than the cash outflow of interest payments, and the remuneration of key management personnel is generally concealed, and the non-disclosure is also under government control. Related party transactions between the bank and the company, concealing related party transactions such as land allocation and transfer between the government and the company, and the decline in inventory turnover days.

When reading the financial statements of state-owned enterprises of the Communist Party of China, it was also found that the financial statements of China National Nuclear Corporation had been issued by audit institutions for many consecutive years. The parent company of the Industrial Group and some of its subsidiaries are involved in state secrets, and the internal audit agency of China National Nuclear Corporation will carry out the audit work). However, the Chinese Communist Party's financial institutions still grant hundreds of billions of yuan in credit, and China National Nuclear Corporation has not disclosed in its financial statements the related party transactions of the Chinese Communist Party's financial institutions in terms of credit, underwriting bonds, and providing deposit services. China National Nuclear Corporation's 2020 financial statements must have material misstatements.

The financial statements of some state-owned enterprises show that the cash flow of operating activities and the cash flow of investment activities are both negative, and the cash flow of financing activities is positive, which means that debt repayment, investment and daily operations rely on borrowing, debt issuance or stock issuance. Some state-owned enterprises listed the unrecognized financing costs of financial leases to other non-current assets, which should have been listed as a reduction in long-term payables or lease liabilities.

Guangzhou Development Zone Investment Group Co., Ltd. disclosed on December 15, 2021 that the first phase of 2021 ultra-short-term financing bonds with a maturity of 270 days from December 16 to December 17, 2021 was 500 million yuan. It claims that in view of recent market changes, the company canceled the issuance of ultra-short-term financing bonds.

The 2020 financial statements of Guangzhou Development Zone Investment Company, which have been audited and signed and sealed by the management, show that the net cash flow of operating activities in 2019 and 2020 is 27 million yuan and -741 million yuan, but dividends, profits or interest payments are paid The cash of 205 million and 331 million respectively, it is obvious that the cash flow from operating activities is not enough to pay the debt interest. The related party transaction of key management personnel remuneration was not disclosed; the interest expense for 2019 and 2020 listed in the consolidated income statement is 0, which is inconsistent with the interest expense of 215 million and 325 million listed in the notes; increase of land use rights by 10.55 million yuan in 2020 , As a state-owned enterprise, it is likely that it has not disclosed related party transactions such as land transfer with the government (the note does not clarify whether the increase in land is purchased from an independent third party in the market); the capital contribution of not less than 1 billion yuan is included in other non-current assets , Did not explain the reason; in the long-term deferred expenses, the reconstruction project and the maintenance project are suspected of double accounting.

State-owned enterprises in the long-term deferred cost accounting reconstruction project are likely to fail to confirm the value of the replaced part of the asset when replacing the old fixed asset components, resulting in double accounting, which means that the depreciation and amortization expenses are both wrong; Internationally, it is usually listed in fixed assets and other fixed assets that have been repaired or transformed. According to fixed assets with different service lives or investment real estate, the possibility of double accounting is less.

Kaifeng City Operation Investment Group Co., Ltd. disclosed on December 14, 2021 that it is scheduled to issue a 1.5-year 2021 second-phase medium-term note of 600 million yuan from December 16, 2021 to December 17, 2021, claiming that due to recent market fluctuations Larger, cancel the issuance of medium-term notes in this period.

Shandong Public Holding Co., Ltd. disclosed on December 13, 2021 that the basic issuance amount was RMB 0 million from December 15 to December 16, 2021, and the maximum issuance amount was RMB 500 million, and the short-term financing bills with a term of 1 year were disclosed. On December 17th, it claimed that in view of the recent market volatility, the face price was lower than expected, and the issuance was cancelled.

Companies that have recently cancelled bond issuance include: Huangshi Cihu High-tech Development Co., Ltd., Beijing Energy Group Co., Ltd., Chongqing Sanfeng Environmental Group Co., Ltd., Huainan Industrial Development (Group) Co., Ltd., Jinzhou Port Co., Ltd., Huai'an State-owned United Investment Development Group Co., Ltd., Huai'an Baima Lake Investment Development Co., Ltd., Jiangsu Xianxing Holding Group Co., Ltd., Ningxiang City Cultural Tourism Investment Co., Ltd., Bengbu High-tech Investment Group Co., Ltd., Tianma Microelectronics Co., Ltd., Poly Cultural Group Co., Ltd., etc.

习氏政权醉心玩弄权力，民不聊生，中国银行间债券市场资金紧张，已盖公章的文件显示广州、江苏、河南、山东、北京、重庆、湖北等地的多家企业债券发行失败

 徐州高新技术产业开发区国有资产经营有限公司于 2021 年 12 月 20 日披露即将于12月21日发行期限 75 天的2021 年度第二期超短期融资券 2.5 亿元。声称由于债券市场波动大，取消发行。

但从宏观经济来看，习近平政权把精力集中于集中权力，将地方税务局撤销，全部税收由实行中央垂直管理的国家税务局、海关等税务机关征收，弱化中共地方政府官员为地方经济服务的动力，习近平政权还对普通公务员降薪，给军队、应急管理局等和价值创造毫无关系的习近平的锦衣卫加薪，普通公务员会有更多动力去运用手中权力去搜刮地方经济，这种情况导致银行间债券市场投资者不看好部分地方国企的现金流。

花样年华、恒大等企业的债务问题，加大了市场的避险情绪，可能也影响了债券投资者对信用风险、系统风险计量和相关的定价。冲击力大的债务违约事件，既会从量上影响对预期债务违约损失率的计算（预期债务违约损失率受预期债务违约率+预期违约发生时损失大小的影响，既要参考现实因素，也要考虑历史损失率），也会影响风险情绪并影响到风险价格。

再加上美国联邦储备委员会2021年12月会议确定要缩表，同时加息，美联储利率是世界所有金融市场定价的基础，银行间债券市场参与者只能更加谨慎了，宁愿多花时间看看被投资企业的财务报表，也不愿意冒失去流动性以及巨大信用风险损失的风险。看了几家银行间债券市场发债的地方国企的财务报表，普遍存在经营活动现金流为负数或经营活动现金流小于偿付利息的现金流出，还普遍隐瞒关键管理人员薪酬，不披露同属政府控制的银行与该企业的关联方交易，隐瞒政府与该企业之间的土地划拨、出让等关联方交易，存货周转天数下降等问题。

在阅读这些中共国企财务报表时，还发现中国核工业集团有限公司的财务报表连续多年被审计机构出具了实质为无法表示意见的审计报告（表面上看是无保留意见，但是又披露由于中国核工业集团母公司及若干子公司涉及国家机密，由中核集团的内部审计机构开展审计工作）。但中共金融机构仍然给其数千亿元的授信，中核集团也未在财务报表披露中共金融机构对其授信、为其承销债券、提供存款服务等方面的关联方交易。中核集团2020年财务报表肯定存在重大错报。

部分国企的财务报表显示经营活动现金流和投资活动现金流都是负数，就筹资活动现金流为正数，意味着还债、投资和日常营运全靠借款、发债或发行股票。还有一些国企把融资租赁的未确认融资费用列示到其他非流动资产，本应列示为长期应付款或租赁负债的减项。

广州开发区投资集团有限公司于2021 年 12 月 15 日披露 2021 年12 月 16 日至 12 月 17 日发行期限 270 天的 2021 年度第一期超短期融资券5 亿元。声称鉴于近期市场变化，该公司取消本次超短期融资券的发行。

经审计并且经管理层签字盖章的广州开发区投资公司2020年财务报表显示2019、2020年经营活动现金流量净额分别为0.27亿元、-7.41亿元，但分配股利、利润或偿付利息支付的现金分别达到2.05亿、3.31亿，明显经营活动现金流不足以偿付债务利息。未披露关键管理人员薪酬这一关联方交易；合并利润表列示的2019、2020年利息费用为0，与附注列示的2.15亿、3.25亿利息费用不符；2020年增加土地使用权1,055万元,作为国企很可能未披露与政府的土地出让等关联方交易(附注未明确该土地增加是否为从市场上独立第三方购得)；不少于10亿元的出资款列到其他非流动资产，未解释原因；在长期待摊费用列报改造工程、维修工程涉嫌重复记账。

在长期待摊费用核算改造工程的国企很可能在替换掉旧有的固定资产部件时未能终止确认被替换部分资产价值，导致重复记账，意味著折旧费和摊销费都是错的；国际上通常都列在固定资产等被维修、被改造固定资产部分，按使用寿命不同的固定资产ppe、或投资性房地产列示，重复记账可能性就要小一些。

开封城市运营投资集团有限公司  2021 年 12 月 14 日披露定于 2021 年 12 月 16 日至 2021 年 12 月 17 日发行1.5年期的2021 年度第二期中期票据6亿元，声称由于近期市场波动较大，取消本期中期票据的发行。

山东公用控股有限公司于 2021 年 12 月 13 日披露于2021 年 12 月 15 日-12 月 16 日基础发行金额为0 亿元，发行金额上限为 5 亿元，期限为 1 年的短期融资券。12月17日声称鉴于近期市场波动较大，票面价格不及预期，取消发行。

近期取消了债券发行的公司还有：黄石磁湖高新科技发展有限公司、北京能源集团有限责任公司、重庆三峰环境集团股份有限公司、淮南市产业发展(集团)有限公司、锦州港股份有限公司、淮安市国有联合投资发展集团有限公司、淮安市白马湖投资发展有限公司、江苏先行控股集团有限公司、宁乡市文化旅游投资有限公司、蚌埠高新投资集团有限公司、天马微电子股份有限公司、保利文化集团股份有限公司等。

习近平的集权工具国家应急管理部将用哪个公司开发的平台收集数据

 

（本文图片及主要信息均来源于咸亨国际招股说明书，咸亨国际的管理层、会计师、律师、券商承诺招股说明书无虚假记载、误导性陈述或重大遗漏，愿对招股说明书的真实、准确、完整承担法律责任）

据海外中文媒体报道，习近平集权的一个工具是国家应急管理部，将其他政府机关的职能都集中在该部门，那么应急管理部会用谁的平台呢？

习氏政权高度重视应急管理工作，提出建设和强化公共安全体系，从制度上保障了应急产业的发展，习氏政权治国无能或者是故意导致各类突发事件发生概率高、破坏力大、影响力强，公共安全形势严峻复杂，防控难度加大。应对突发事件就要求发展应急产业，以推动应急产业的发展。例如郑州水灾事件明显是人为故意造成的水灾，网民在质疑为何不及时通知时，习氏政权直接删除网络评论，而不是回应，那就直接说明习氏政权故意制造郑州水灾，故意伤害郑州纳税人。例如武肺病毒，习氏政权不回应不及时通知公告传染病暴发的情况，而是打压李文亮等吹哨人，那就说明习氏政权故意投放病毒，不让被害人提前知道。

习氏政权出台了《国务院办公厅关于加快应急产业发展的意见》、《中共中央、国务院关于推进安全生产领域改革发展的意见》、《国家突发事件应急体系建设“十三五”规划》、《应急产业培育与发展行动计划（2017－2019年）》、《安全生产应急管理“十三五”规划》等政策。有个公司叫咸亨国际科技股份有限公司，英文名Xianheng International Science&Technology Co., Ltd.将应急产业作为未来发展的重点。

为此在组织结构中设计应急产业单元，通过推动应急安全文化传播、增强全民应急安全能力、提升社会应急保障水平来促进公司应急产业发展；开拓政府应急管理系统这个应急市场；成为公司整合应急物资的平台，包括产品、团队、品牌、传媒、培训服务等内容。应急安全文化传播包括公众安全知识普及、专业应急队伍技能实训、应急管理人才培养等。

二级子公司也有直接和应急管理相关的，例如杭州咸亨国际应急救援装备有限公司、咸亨国际应急科技研究院（北京）有限公司、杭州咸亨国际应急科技有限公司、杭州咸亨国际应急发展有限公司等。

2020年前五大客户包括湖南省应急管理厅，对湖南省应急管理厅的销售金额2,247.92万元，2019 年中标的湖南省应急管理厅省级防汛抗旱类应急物资采购项目，销售冲锋舟，橡皮艇等应急物资，湖南省应急管理厅的回款方为湖南省国库集中支付核算中心，收到了2,501.23 万元，差额部分一般是增值税。2020 年新增客户当期销售收入较高， 其中 200 万元以上新增客户销售收入占当期新增客户销售收入比例接近 50%，主要由于湖南省应急管理厅、山东省应急管理厅等因洪涝灾害向发行人采购应急物资等原因。

2020年10月咸亨国际同杭锦旗应急管理局签订了1,158万元的应急物资销售合同。2020年末列示了对杭锦旗应急管理局的合同负债 597.55万元，反映咸亨国际已经取得收款权利金额超过已完成工作部分的合同款项。杭锦旗应急管理局的回款方为杭锦旗财政局国库集中支付中心，金额为231.6 万元。

咸亨国际IPO的募投项目包括立智能化应急装备储备云平台，依托咸亨国际在应急装备领域的供应链体系，建设的服务于应急装备储备、流动的综合性大数据平台。云平台通过物联网传输手段，建立云装备大数据库，建立咸亨国际智能化库房。平台通过技术手段，能够对库房内的各项设备，进行在线管理，能够实时了解全国范围内各个库房设备储备情况以及使用情况，还能可在各个库存之间进行应急设备的调拨，针对不同地区灾害可能发生概率，及时储备相应应急设备。

云平台建成后，将开放查询权限给国家应急管理部、省级应急管理厅、应急救援国家队、应急救援民间组织等。应急装备储备云平台服务于未来咸亨国际进一步深入开展的应急装备事业，

通过形成全国性平台，形成规模，从而在平时能够以低成本购入相应的应急装备，入库仓储，并与各级政府形成战略合作，一旦灾害发生，能够通过应急装备储备云平台，查阅全国范围内应急装备储备和使用情况，将库存及时调拨到灾害现场。

平台架构如下：

应急管理部门既是该公司客户，又是处罚该公司的行政监管部门。

杭州贝特设备制造有限公司于2020年9月被杭州市应急管理局（杭应急罚基础〔2020〕04号），就其存在“未在有较大危险因素的场所设置安全警示标志，储存、使用危险物品未采取可靠安全措施”的情况“罚款人民币三万元整（30,000 元）”。

杭州市上城区应急管理局、温州市龙湾区应急管理局、杭州市下城区应急管理局、海宁市长安镇（高新区）应急管理办公室、笕桥街道办事处安全生产监督管理站出具的证明，报告期内，咸亨国际未受到安全生产方面的重大行政处罚。

可见习氏政权在运用应急管理部门集权方面，灵活自如，既能对中国大陆的奴隶进行任意处罚（网络防火墙、没有司法独立、没有媒体自由、非民选产生、没有独立的国会监督），又可以利用应急管理部门能够产生收入、为IPO开具无重大违法违规证明的机会激励奴隶干活，让奴隶竞相讨好习氏政权（竞标机制、合同款项支付及时性得看平时脸色），把应急管理的奴役管理体制建设得更加完美。

但是咸亨国际的实际控制人、董事长王来兴1956年出生，曾任绍兴县供销社鉴湖供销社副主任，是浙江省优秀企业家，那么和习近平在理念上存在一定交集。

咸亨国际的副董事长李灯东2002 年 8 月至 2003 年 12 月，担任江苏省宿迁市洋河中学教师，2003 年 12 月至 2005 年 12 月，参军于解放军 73021部队，并无特殊的履历却担任副董事长；独立董事罗会远先生曾任中国人民解放军海军士官学校政治教研室讲师、中国人民解放军海军政治部办公室司法秘书。

从这个应急管理相关上市公司的董事会构成来看，又可以看出习氏政权的应急管理体系相关主要人员包括中国人民解放军、习惯毛贼东那一套的极左，而习近平就是在实行毛贼东那一套又打算将中共政权转换为帝制的极左，俗话说道不同不相为谋，这里体现得淋漓尽致。

为了终结习氏政权奴役制度，需要推翻网络防火墙，还中国纳税人以自由，将违反中华民国宪法、制造并投放武汉肺炎病毒的习氏政权绳之以法。

Breaking : The United States may sanction the Chinese Academy of Sciences that had serious accounting fraud from 2017 to 2019

Chinese Academy of Sciences had been engaged in serious accounting fraud.

As reported by Lude Media, the United States may sanction the Chinese Academy of Sciences .  

There were material misstatements in the final accounts of the Chinese Academy of Sciences in 2017 . The financial appropriation revenue is 36.776 billion yuan, which is the fund that the Chinese Academy of Sciences obtained from the central government that year to increase support for national defense scientific and technological innovation projects. 

Shenguang project is for undertaking national defense scientific research tasks, and data sharing solves national security issues.  The scientific research facility special operation and maintenance budget performance on page 42 of the 2017 Chinese Academy of Sciences final accounts report was scored 9.82 , instead of a full score of 10. The reasons include: due to the signing of a new round of escrow agreement, maintenance failed to be provided to the Chinese People’s Liberation Army Navy’s two remote sensing Aircraft provides. However, the budget did not show defense expenditures, so why to maintain naval aircrafts?

 In 2017 , the Chinese Academy of Sciences allocated funds for the operation and maintenance of major national scientific projects (including the Wuhan National Biosafety Laboratory, etc.) to solve national security issues, with a budget of 1.16 billion and a final account of 1.15 billion. 

But no penny was allocated to the defense expenditure account. The Chinese Academy of Sciences and the departments and personnel that instructed the Chinese Academy of Sciences to classify the wrong subjects shall bear legal responsibility for major misstatements in the final accounts of the departments of the Chinese Academy of Sciences.

On pages 40-42 of the final accounts of the Chinese Academy of Sciences in 2018 , “Special Business Expenses for Scientific Research Institutions”, the budget is 7.77 billion yuan, and the execution is 7.23 billion yuan, including targets for national defense technology innovation, building the largest and most complete biological resource collection and preservation institution in the country to serve national defense and security in biology and information. These two goals had full scores in 2018. But there was still 0 budget allocated to national defense account. Material misstatement.

Given that Wuhan National Laboratory Biosafety continued running in 2019, major scientific project budget carried at 17.99 billion yuan,  the research institutes fundamental research budget partly for the national security of 20.29 billion yuan, special brain science budget of 83.29 million yuan , But the national defense expenditure account continues to be 0. Material misstatement. The Lude Media show in the afternoon London time on December 17 mentioned brain science and the use of monkeys as experiments. The CCP’s scientific research is completely anti-human.

According to other people’s tweets, the Chinese Academy of Sciences also signed a strategic cooperation agreement with the Chinese People’s Liberation Army Military Medical Research Institute in 2018 , and the Wuhan Institute of Virology is affiliated with the Chinese Academy of Sciences. The Wuhan Institute of Virology also has the aforementioned Wuhan National Biosafety laboratory.

According to the website of the Chinese Academy of Sciences, the Chinese Academy of Sciences has established a State Key Laboratory of Highly Pathogenic Pathogen Biology and Biosafety at the Wuhan Institute of Virology.

It can be seen that the Chinese Academy of Sciences is a highly militarized academic institution and an organic part of the Chinese People's Liberation Army. Wuhan Institute of Virology is also suspected of releasing covid19.

All Chinese Communist Enterprises made Material Misstatements

Chinese Communist enterprises have serious agency problems, including financial reporting and compensation of management. The Ministry of Finance of People's Republic of China made misleading Acccounting Standards that worsen the corporate governance and prevent effective allocation of resources. As a result, all Chinese Communist Enterprises made Material Misstatements.

A book explores the misstatements arising from failed corporate governance. It depicts the accounting fraud of Chinese biggest companies, including shareholder of largest banks.

China recognizes Taiwan as an independent country in essence and it's non sense for Chinese unifying Taiwan

China bans Taiwan websites ending with .tw. I have tried to visit Taiwan websites from China. China bans free exchange of Chinese Yuan with Taiwan dollars. China regards those living or companies in Taiwan as non-residents for tax purposes. China uses different characters from Taiwanese in spite of some Taiwanese words being used for writing checks or bills of exchange. China blocks US PCAOB's access of audit documentation related to US listed companies with operation in China. Taiwan doesn't block US PCAOB's access of audit documentation related to US listed companies with operation in China, Hong Kong and Taiwan. 

Listed companies on Chinese stock exchange doesn't adopt International Financial Reporting Standards (IFRS). Listed companies on Taipei Exchange adopt IFRS (translated from English after alternatives reduction). In the Chinese Accounting Standards for Business Enterprises, said by China in convergent with IFRS, China intentionally didn't define enterprises under common control of state as not related parties and classified land use rights as intangibles rather right of use assets under the cirumstances that there are tremendous land use rights transactions for free or low cost and subsidies between state and state-owned entities and there are tremendous loan, mergers and acquisitions and underwriting transactions among state-owned entities. State owned financial institutions in China never disclosed themselves as related parties to the issuers when they underwrote or sold securities of other state-owned enterprises.

 China violates Constitution of Republic of China effective since 1947.

Taiwan follows Constitution of Taiwan effective since 1947 followed by modification made afterwards.

China recognizes Taiwan as an independent country in essence. 

Chinese military operation against Taiwan is aggression.

Considering that China neglected UN resolution on ceasing aggression in Korea in 1951, it's necessary for the International Community to take preemptive action against China to stop aggression or hold Chinese accountable to aggression in Korea for violating UN Resolution immediately.

9 December 2021 Covid19 is related to military bioweapon program of China; Genocide was Held to Be True by UK Tribunal and condemned by US Congress and Cash Flow to China was Cut off

 

(Picture source: Daily Mail)

Daily Signal: EXCLUSIVE: Chinese Virologist Says Communist Regime Targeted Her for Exposing COVID-19 Origin

BARRON: UYGHUR TRIBUNAL concluded that, despite the absence of large-scale mass killing, the People’s Republic of China has committed genocide on the ground of Article 2d of the UN General Convention

US Congress: Condemning the ongoing genocide and crimes against humanity being committed against Uyghurs and members of other religious and ethnic minority groups by the People's Republic of China.

BBC: China's detention camps: Held in chains for using WhatsApp

Financial Times: US to blacklist Chinese AI company SenseTime over Xinjiang ahead of IPO

Financial Times: Bitcoin mining nears record pace as industry shrugs off China clampdown

Financial Times: ‘Essentially dead’: China closes off foreign investors’ route into tech deals 

Le Canard républicain: Japan Health Ministry issues warning of potential heart problems from the Moderna and Pfizer vaccines.

Washington Times: Pentagon gets new reporting tasks for China. China linked to Facebook disinformation, Biden official acknowledges Taiwan

8 December 2021 US Congress punishes China's Human Rights Abuses

 

(Picture source: WBUR)

Washington Times: Chinese diplomats have Twitter links to porn sites banned at home

Wall Street Jounal: China Increasingly Obscures True State of Its Economy to Outsiders

NIKKEI: China-Pakistan Belt and Road Initiative hits buffers

Disagreements, terrorism and COVID-19 stymie CPEC projects

The Hill: @SenTomCotton: "20 years after China entered the WTO, it's clear that China has betrayed our trust and is waging an economic war against us. We didn't seek out this conflict, but now that it's started, we have no choice but to finish it."

US Congress: Expressing the sense of the House of Representatives that the International Olympic Committee failed to adhere to its own human rights commitments

US Congress: H.R.1155Uyghur Forced Labor Prevention Act

Lude Media(GMT Morning): The three major themes of the Democracy Summit are "Fight against totalitarianism, combat corruption, and promote human rights protection." What do all the themes mean for the CCP? Australia announced that it will join the diplomatic boycott of the Beijing Winter Olympics.

Lude Media(GMT Afternoon): In response to Lude’s comment, the CCP’s press comment should not think that Xi Jinping can be hit with "face"; what signal is hidden in Biden Putin's 2-hour closed-door video conference? What is the code name of the Bayi hard drive owner in the United States? 

Amazon: All Chinese Communist Enterprises made Material Misstatements

China Increasingly Obscures True State of Its Economy to Outsiders

CRRC unable to satisfy debt interest payment with net negative operating cash flow made material misstatements in 2020 financial statements

 On 6 Dec 2021 CRRC Corporation Limited(中国中车股份有限公司, CRRC), an enterprise controlled by the State Council of the People's Republic of China (CCP regime) under the CCP's leadership, published its 2021 3Q financial statements according to which operating cashflow both in 2021 and 2020, net negative, was unable to be used to pay debt interest and dividend. CCP regime and its associates are related parties to CRRC.  

The interest was incurred on the loans mainly from state-owned banks. As of 31 December 2020, among other things, it obtained credit facility respectively from China Development Bank, Bank of China, China Exim Bank and China Construction Bank for 25 billion, 18.25 billion, 13.4 billion and 13 billion, all of which share the same control of CCP regime as CRRC.

But CRRC failed to disclose the credit facility transactions as with related parties and corresponding pricing policies.

In 2020, CRRC had acquired land use rights accounted for as intangible assets and failed to account for land use rights as right of use assets. In China, state-owned entities often acquired land use rights at low price from CCP regime. But CRRC failed to disclose land use acquisition transaction as related party transactions and corresponding pricing policies. According to land use tax regulation of China, CRRC used at least 8.8 million square meters land.

China State Railway Group Co., Ltd, a state-owned enterprise, is the major customer of CRRC but failed to be disclosed as a related party and corresponding information of related party transactions failed to be disclosed.

Owner of Chinese Largest Banks Made Significant Misstatements in the Financial Statements

 Central Huijin Investment Ltd (CHI,中央汇金投资有限责任公司) is an enterprise whose paid-in capital 828 billion Chinese Yuan is completely from China Investment Corporation (CIC，中国投资有限责任公司) which is wholly owned by the State Council of the People's Republic of China (PRC) under the leadership of Chinese Communist Party (CCP) whose General Secretary is Jinping Xi.

On 30 Nov 2021 CHI published 2021 Q3 financial statements as of 30 Sep 2021. The total assets as of 30 Sep 2021 is 6.12 trillion, mostly long-term equity investment 5.46 tn, and comprehensive income is 418 billion for the first nine months increasing 18 billion year on year.  Operating cashflow is 197 billion increasing 121 billion year on year. Investing cash net inflow is maily from collected investment income 150 billion. In contrast, many private entities and even some state-owned enterprises are struggling for life. The operating cashflow didn't benefit ordinary Chinese taxpayers despite its capital being mainly from Chinese taxpayers.

Financial Statements of CHI as of 31 Dec 2020 was given an unqualified audit opinion by Tianzhi International CPA, a Chinese member of Baker Tilly International Limited, on 22 June 2021.

According to annual report of 2020, its investment was mainly consisted of investment in state-owned large financial institutes, among other things, including Bank of China (64% of equity of Bank of China，BOC中国银行), China Construction Bank (57%，CCB中国建设银行), Industrial and Commercial Bank of China (35%，ICBC中国工商银行), Agricultural Bank of China (40%，ABC中国农业银行), China Development Bank (35%，CDB国家开发银行), China Reinsurance (Group) Corporation(72%，中国再保险（集团）股份有限公司), etc. CHI owned 20% of equity in Shenwan Hongyuan Group Co.,Ltd（申万宏源集团股份有限公司） which is in Xinjiang where crime against humanity and genocide are ongoing. The financial institutes investees have financed genocide in Xinjiang via lending and rendering underwriting services  to other CCP owned entities such as China Communication Construction Company(中交集团), China State Construction Engineering Corporation Ltd(中国建筑) or other companies. 

CHI claimed that 2020 annual financial statements complied with Chinese Accounting Standards for Business Enterprises (CAS,企业会计准则). But it didn't consolidate financial statements of subsidiaries such as BOC, CCB and China Reinsurance (Group) Corporation. It reasoned that the Caijinhan【2008】98 issued by the PRC Finance Ministry gave an exemption allowing it to carry it through equity method but it failed to outline the specific content of such document to help financial statements users to understand of what nature the document is. CAS 33 Consolidating Financial Statement amended in 2014 stated that an entity must be either an investment entity or not an investment entity. An investment entity should account for all the investments in subsidiaries at fair value through profit or loss except for those that supply supporting services to parent company. 

Many thought falsely that consolidating financial statements would greatly increase financial situation viewed by readers. But it isn't the case. Financial statements shall faithfully represent what they purport to represent. Besides, its banks investees are mostly heavy debted and liability ratio would have increased tremendously if subsidiaries were consolidated. Increased debt ratio is not good for a bond issuer. CCB's liability ratio to assets under CAS in 2020 is 91% (25.7 trillion/28.1trillion *100%). BOC's ratio is 91%(22.2 trillion/24.4 trillion*100%). CHI's ratio is 9.27% (0.54 trillion/5.82 trillion*100%) based on its financial statement without consolidation, which leaves a false impression that CHI has a good standing in resolving debt overally.

CHI, in fact, carried its investment in subsidiaries both in equity method and at fair value through profit or loss.

CHI also failed to disclose whether it had control or material impact over investee in accordance with CAS 41 Disclosing Interests in Other Entities.

CHI failed to disclose intangible assets by classes. State-owned entities often obtain land use rights  carried under intangible assets free of charge or for low cost. Acquiring land use rights from state is a related party transaction for a state-owned enterprise. 

Disclosure of details of short-term borrowings, accrued interest and other payables isn’t understandable as it failed to outline specific detailed items. CAS required that financial statements must be understandable.

CHI stated that there was no events after reporting period that must be reported. The date of authorising the financial statement was 22 June 2021 but it stated that in the other parts of annual report outside financial statements that it issued 5.5 billion bonds on 8 March 2021. It failed to diclose the 5.5 billion bonds issuance as event after reporting period.

There were many material misstatements in disclosing related party transactions.

In section 4 of Part 8 Related Parties and Related Party Transaction, it disclosed the balances of debts due to and from banks but it didn't disclose related party transactions that have lead to the change in balances and corresponding related interest revenue and interest expense. It failed to disclose the credit facility related banks granted. ICBC,  ABC, BOC and CCB granted credit 170 billion Chinese Yuan, 150 billion, 100 billion and 100 billion respectively to CHI  as of 31 Dec 2020. 

Just as Chinese state-owned banks systemtically omitted disclosure of relation party transactions with other major state-owned enterprises such as CSCEC group, CNPC group,  CRGLgroup, CCCCL group, CHI also systemtically omitted disclosure of such class of relate party transactions with these state-owned enterprises. 

Currency Unit: RMB in billions

Credit Facility transactions of CHI's investee banks with other state-owned enterprises as of 30 September 2019:

Borrower Name	BOC(中国银行)	CCB（中国建设银行）	ICBC(中国工商银行)	BOCOM(交通银行)	ABC(中国农业银行)	CDB(国家开发银行)
CSCEC group 中国建筑	350	320	140	230	300	150
CNPC group中国石油天然气集团有限公司	60	30	86	30	180	-
CRGLgroup中国中铁	280	271.8	117.6	72.64	179	10.43
CCCCL group中交集团	324.35	198.1	-	88.5	271.59	375.68
Total	1,014.35	819.9	343.6	421.14	930.59	536.11

There were no evidences to show that these banks ceased lending relation with the state-owned enterprises mentioned above. For example, one of the subsidiaries of CSCEC got credit facility 14.16 billion CNY from CCB as of 31 March 2020. As of 31 December 2020，CRGL obtained credit facilitiy from CHI's investee banks CDB, ABC, ICBC, CCB and BOC for 231.7 bn, 256.26 bn, 213.42 bn, 271.8 bn and 290.2 bn. 

CNNC(中核集团), an enterprise also owned by PRC State Council, obtained credit facilitiy from CHI's investee banks CDB, ABC, ICBC, CCB and BOC for 250 bn, 110 bn, 200 bn, 150 bn and 200 bn as of 30 June 2020.

136 billion underwriting services had been rendered by related banks in 2020 but were omitted in the disclosure of related party transactions. As an issuer of bonds, CHI failed to disclose in prospectus that its bond were underwritten by related parties and its financial situation hadn't been scrutinied independently by underwritters.

It omitted disclosure of key management's compensation. Key management are those that decide how, when and where to invest the money, operate or decide other significant. Key management personnel, among other things, include but are not limited to Chun Peng, Rujun Shen, Yong Wang and Zhibin Xu.

The misstatements have been repeated again and again every year. No one in the CCP including Jinping Xi corrects the misstatements.

The board of directors, the board of supervisors and executives in the CHI, mainly consisted of CCPers,  failed to maintain integrity and objectivity and failed to excercise due diligence and professional judgement. A CCPer is a member of the Chinese Communist Party or a member of the Communist Party of China whose General Secretary is Jinping Xi,the general director of Xivirus pandemic.

Given the facts mentioned above, it's not difficult to cast doubt on whether CCP is unwilling to follow international accounting convention, which includes consolidating subsidiaries or carrying at fair value and fullying disclosing related party transactions and corresponding nature of associated relations, and ineligible to administer accounting affairs fairly.