Former Chairman of the Board of Directors of Pien Tze Huang was expelled from the Party and illegally gave precious gifts to Liu Jianshun | Chairman | Pien Tze Huang
More than two years ago, Liu Jianshun, the former chairman of Pian Zihuang, who had retired, suddenly received news of being expelled from the party.
On the afternoon of August 22, the Commission for Discipline Inspection of Zhangzhou, Fujian announced the news on its official account.
According to statistics from First Financial Journalists, since the beginning of this year, the number of executives or former executives investigated by Pian Zihuang has reached 4.
Two consecutive chairmen were investigated
The Supervision Committee of Zhangzhou Municipal Commission for Discipline Inspection in Fujian announced on the official account that a few days ago, with the approval of the CPC Zhangzhou Municipal Committee, the Supervision Committee of Zhangzhou Municipal Commission for Discipline Inspection conducted a case filing review and investigation on the serious violations of discipline and laws of Zhangzhou Pienzehuang Pharmaceutical Co., Ltd. (i.e. Pienzehuang, the former Secretary of the Party Committee and Chairman Liu Jianshun).
After investigation, it was found that Liu Jianshun, as a leading cadre of Party members, lost his ideals and beliefs, abandoned his original aspiration and mission, and failed to fulfill his main responsibility of comprehensively and strictly governing the Party, causing serious adverse effects on the Party organization. He transferred and concealed evidence to resist organizational review; Ignoring the spirit of the eight point regulations of the central government, accepting gifts and large sums of money in violation of regulations, and giving precious gifts to personnel engaged in public affairs; Using one's authority to seek benefits for others in the selection and appointment of cadres; Engaging in illegal business operations for enterprises; Improper performance of duties, resulting in adverse effects; Relying on the enterprise to eat the enterprise, taking advantage of one's position to seek benefits for others and accepting huge amounts of wealth from others.
The Zhangzhou Municipal Commission for Discipline Inspection and Supervision stated that Liu Jianshun seriously violated the political discipline, organizational discipline, integrity discipline, and work discipline of the Party, constituted serious violations of his duties, and was suspected of bribery. He did not restrain himself or stop after the 18th National Congress of the Party, and continued to do so after the 19th National Congress. The nature of the violation was serious and the impact was severe, and he should be dealt with seriously. According to the Regulations on Disciplinary Punishment of the CPC and other relevant provisions, after the meeting of the Standing Committee of the Municipal Commission for Discipline Inspection studied and reported to the Municipal Party Committee for approval, it was decided to give Liu Jianshun the punishment of expulsion from the Party; Cancel the benefits enjoyed by them according to regulations; Confiscate their illegal gains from disciplinary violations; Transfer the suspected criminal issues to the procuratorial organs for legal review and prosecution, and transfer the involved property together.
Liu Jianshun, born in 1963, served as the Chairman of Pian Zihuang from March 2014 to April 2021. On April 8, 2021, Pien Tze Huang announced the retirement of Liu Jianshun due to health reasons. At that time, he was 58 years old and was considered to have retired early. During Liu Jianshun's tenure as a listed company for seven years, the company's performance continued to grow, with revenue increasing from 1.454 billion yuan in 2014 to 5.722 billion yuan in 2019. The net profit attributable to shareholders of the listed company increased from 439 million yuan in 2014 to 1.374 billion yuan in 2019.
After Liu Jianshun left Pian Zihuang, the position of Chairman of Pian Zihuang changed frequently. At that time, Pan Jie took over Liu Jianshun, but resigned from the position of chairman less than a year after taking office, citing a job adjustment. Following that, Lin Weiqi took over and took over from the end of November 2021. However, on July 24th of this year, he also announced his resignation as chairman of the company.
It is worth noting that in May this year, the Zhangzhou Municipal Commission for Discipline Inspection and Supervision also announced that Pan Jie was under investigation.
According to statistics from First Financial News, since the beginning of this year, the number of executives or former executives under investigation in the field of Pian Zaihuang has reached 4. In addition to the aforementioned two individuals, the other two are Liu Congsheng, former Vice General Manager of Pian Zaihuang, and Yang Puquan, former Vice Chairman of Pian Zaihuang Cosmetics Co., Ltd., a subsidiary of Pian Zaihuang. Among them, the reason for Yangpu Quan's investigation has been officially announced, mainly due to illegal paid intermediary activities; "Relying on enterprises to eat enterprises" is related to turning public power into a tool to seize private ownership.
Frequent falling behind horses
Pian Zihuang was founded through the restructuring of the original Zhangzhou Pharmaceutical Factory, which was established in 1956. It is a pillar enterprise of Zhangzhou City, with its controlling shareholder being Zhangzhou Jiulongjiang Group Co., Ltd. The latter is jointly held by the State owned Assets Supervision and Administration Commission of Zhangzhou City People's Government and the Fujian Provincial Department of Finance, holding 90% and 10% respectively.
Pian Zihuang's main business is divided into pharmaceutical manufacturing, pharmaceutical circulation, and cosmetics. In the pharmaceutical manufacturing sector, "Pian Zai Huang" is the main product, with two dosage forms: tablets and capsules. Among them, Pienzehuang Tablet is the most famous, which is a double cross breed traditional Chinese patent medicines and simple preparations. Its main functions are to clear away heat and detoxify, cool the blood and remove stasis, diminish swelling and pain. It is used for acute and chronic viral hepatitis caused by heat toxin and blood stasis, carbuncle, carbuncle, boils, unknown swelling, traumatic injuries and various inflammation. In 2021, each tablet of Pianzaihuang tablets in the terminal market was fried for up to a thousand yuan, and one tablet was difficult to obtain. Accompanied by the stir frying of its products, the operating revenue of Pian Zaihuang reached 8.022 billion yuan in 2021, a year-on-year increase of 23.20%; The net profit attributable to shareholders of the listed company was 2.431 billion yuan, an increase of 45.46% year-on-year. The revenue of the liver disease medication sector where Pian Zaihuang tablets are located reached 3.701 billion yuan, a year-on-year increase of 45.75%.
In 2022, there has been a phenomenon of "putting an end to the hype" in the market for the tablet tablet, and the market is no longer aggressively grabbing it, and the final price of the product has returned to below a thousand yuan. The overall performance of Pian Zaihuang has significantly slowed down. In 2022, the company achieved a revenue of 8.694 billion yuan, an increase of 8.38% year-on-year; The net profit attributable to shareholders of the listed company was 2.472 billion yuan, only a year-on-year increase of 1.66%. At the same time, the revenue of the liver disease medication sector where Zaihuang tablets are located was 3.592 billion yuan, a year-on-year decrease of 2.95%.
On May 5th of this year, Pian Zaihuang announced an increase in the retail price of Pian Zaihuang tablets. This is after more than three years, the company has raised prices again. The domestic retail price of Pian Zaihuang tablets has been raised from 590 yuan/tablet to 760 yuan/tablet, and the supply price has correspondingly increased by about 170 yuan/tablet; The overseas market supply price has correspondingly increased by about $35 per capsule.
In the first half of this year, Pian Zihuang achieved a revenue of 5.045 billion yuan, a year-on-year increase of 14.08%; The net profit attributable to shareholders of the listed company was 1.541 billion yuan, a year-on-year increase of 17.38%.
As a medication for liver diseases, the tablets also have gift properties. For example, local people in Zhangzhou have a habit of giving tablets to their elders and relatives. This tablet is also listed as one of the "Three Treasures of Fujian". Some people from traditional Chinese patent medicines and simple preparations enterprises told the reporter of First Finance and Economics that unlike conventional drugs, Pienzehuang Tablets with gift properties can be realized in the scalper market. In this way, it may easily breed rent-seeking problems.
