Why did Chen Yueqing Daorong go bankrupt?

1, capital occupation. From 20 17 to 20 19, Huayi Electric deducted the company accounts of Yueqing He Yi Trading Co., Ltd. and Zhejiang Isei Technology Co., Ltd. actually controlled by Huayi Group and some employees' personal accounts, and finally transferred the funds of listed companies to Huayi Group and its related parties through multiple transfers. The above actions constitute the related party's occupation of non-operating funds, with a cumulative amount of 2.32 billion yuan and a balance of 1 1.4 1 billion yuan. The above acts were not disclosed as required.

2. Associated guarantee. From 20 17 to 20 19, Huayi Electric and its wholly-owned subsidiaries Huayi Wind Energy Co., Ltd. and Zhejiang Huayi Electric Technology Co., Ltd. provided guarantees for Huayi Group and its related parties, and the accumulated guarantee amount was 10875 million yuan, which was not disclosed as required.

3. Illegal use of raised funds. In 20 18 and 20 19, Huayi Electric did not use the raised funds according to the prescribed purposes, did not use the raised funds according to the purposes listed in the non-public offering plan, and changed the use of the raised funds without deliberation at the shareholders' meeting. Semi-annual reports of 20 18, 20 18 and 20 18 have been disclosed.