STRONG PETRO (00852) announces progress of independent board committee investigation

STRONG PETRO (00852) announced the establishment of an independent director committee to investigate several incidents involving the company's directors and former management personnel. As of the date of this announcement, the independent director committee has appointed a forensic team from a Big Four accounting firm as investigators ("forensic investigators"), and has engaged the law firm of Lee Ka Yin Dennis Kwong & Co. as legal advisors to assist in the investigation. In response to stakeholders' concerns and to safeguard the overall best interests of the company and its shareholders, the scope of the investigation by the independent director committee will focus on: (1) allegations made by former management personnel against Mr. Wang Jiansheng, Mr. Wang Peng, Ms. Guan Peishan, and Mr. Zhang He, including but not limited to misappropriation of company assets, non-compliance and violation of the company's corporate governance and operational procedures, listing rules and regulations, and/or applicable civil and criminal laws; and (2) serious misconduct possibly involving former management personnel, including but not limited to the company's past investments and fund management, as well as recent reports of theft incidents. Based on the estimated workload of the investigation and depending on the progress of the Hong Kong Police's investigation into the theft incidents, if all stakeholders and relevant parties cooperate with the investigation, the independent director committee and the forensic investigators have informed the company that the investigation is expected to be completed within two to three months. After the investigation is completed, the company will undertake the annual audit work for the year ending December 31, 2024, which is expected to take about 3 months. Furthermore, after the investigation is completed, the company will consider taking further action based on the recommendations of the independent director committee, including but not limited to appointing professional consultants to further review the company's internal monitoring systems, and reporting any misconduct or violations to appropriate authorities and regulatory bodies (if any). At the company's request, trading of its shares on the Stock Exchange has been suspended since 9:00 a.m. on Tuesday, December 31, 2024, and will remain suspended until further notice. The company will announce the results of the investigation, the latest timetable for the publication of the company's full-year results and annual report for the year ending December 31, 2024, as well as the progress of resuming share trading in due course.