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ST Lingnan: The company is under investigation for suspected illegal subcontracting
ST Lingnan Announcement, the company recently received a “Notice of Filing” from the Wanan County Housing and Urban-Rural Development Bureau. The company is suspected of illegal subcontracting and is under investigation. The company will actively cooperate with the investigation authorities to carry out related work. In June 2019, the Wanan County Housing and Urban-Rural Development Bureau entrusted Fuzhou Dadi Construction Supervision and Cost Consulting Co., Ltd. to conduct an open tender for the “Wanan County Yanjing Road North Extension and Three Pavilion Construction Project Design, Procurement, and General Contracting (EPC) project.” The company formed a consortium with Beijing New Era Architectural Engineering Design Co., Ltd. to participate in the bidding and won the bid, with a contract amount of approximately 232 million yuan (the contract amount involving the company is about 225 million yuan), accounting for 21.75% of the company’s most recent audited net assets attributable to shareholders. Currently, the project has completed acceptance and inspection.