• The control system in the company is totally scrapped. At the beginning of the joint venture, about RMB600K machines and 100 moulds were lost without any record. The warehouse only checks the book records rather than real goods. As a result there is difference between the book number and the real amount. This is especially serious on the incoming raw materials. They suspect that some financial accounts, especially done by Mr. Chang daohua, are false. The so-called scrapped products and the waste raw materials are sold in a not transparent way, i.e. no specific price and no invoice. The responsible person is appointed by Mr. Cai. Due to the poor control system in all areas waste is high. Auditing is extremely necessary.
Turnaround of JV
Restructuring of investment projects