Sentury CFO may face criminal penalties

On December 10, Sentury announced that the Public Security Bureau of Danzhou City, Hainan Province is investigating Xu Huashan, director and chief financial officer. The tyre manufacturer said the investigation relates to Xu Huashan’s work prior to her appointment at Sentury, and that it will not significantly or adversely impact Sentury’s daily business decisions and operations. It is reported that Sentury has arranged for director and general manager Lin Wenlong to perform the duties of the CFO.

In September 2020, Sentury was listed on the Shenzhen Stock Exchange. The information disclosed showed that Xu Huashan succeeded Zhang Lei, appointed as the deputy general manager, in January 2018 and became Sentury’s chief financial officer. On December 28, 2021, Xu Huashan was elected as a non-independent director of the third board of directors at the extraordinary general meeting of shareholders held by Sentury.

Before arriving at Sentury, Xu Huashan had spent a long career in Hainan Province companies, including Hainan Rubber Group and Hainan Nongken Group. Sentury did not disclose which specific period of work experience led the public security agency to take criminal coercive measures against the head of the financial department.

According to Chinese law, public security will forcibly restrict or deprive the personal freedom of criminal suspects and defendants when they implement criminal coercive measures. The methods aim to ensure the smooth progress of criminal proceedings, including summons by arrest, release on bail, residential surveillance, detention, and arrest. Sentury did not disclose what kind of coercive measures Xu Huashan faced.