Wei Long Wine ordered to rectify financial issues

Wei Long Grape Wine (SSE:603779) has received an order from the Shandong Securities Regulatory Bureau to rectify issues related to asset impairment provisions and internal financial controls. The regulator found that Wei Long Wine did not adequately assess indicators of impairment in its pear tree assets in 2022, leading to inaccurate financial reporting. The company's internal controls were also found to be lacking in the areas of dispatch and receipt management, customer credit approvals, and management of productive biological assets. The regulator has instructed Wei Long Wine to submit a rectification report within 30 days and has issued warning letters to the company's former chairman Huang Zuchao, general manager Sun Yantian and chief financial officer Zheng Linlin for failing to faithfully perform their duties.