Chuangshi Technology: Company’s controlling shareholder and actual controller Zhang Gengsheng received a criminal judgment

Chuangshi Technology Announcement: The company’s controlling shareholder and actual controller, Zhang Gengsheng, was prosecuted by the People’s Court of Pudong New Area, Shanghai, for suspected bribery. Recently, the court sentenced Zhang Gengsheng to two years in prison for the crime of accepting bribes by an entity, with a two-year probation, and imposed a fine of 300,000 RMB. Zhang Gengsheng does not hold a position in the company, and the above judgment does not affect his shareholder rights. The fines and penalties have been fully paid by him personally and will not have a significant adverse impact on the company’s production and operation. This judgment is a first-instance decision and has not yet taken effect. If Zhang Gengsheng files an appeal within the statutory period, the final judgment and subsequent enforcement results are still uncertain.