Baolihua announced that the company's actual controller, Mr. Ye Huanneng, recently received a "Notice of Case Filing" issued by the China Securities Regulatory Commission (CSRC). Due to suspected violations of information disclosure and other illegal activities, the CSRC has decided to conduct a case investigation against him. In addition, the company's former chairman, Mr. Ning Yuanxi, also received a notice of case filing. During the investigation period, Mr. Ye Huanneng will actively cooperate with the investigation and continuously monitor the progress of the matter, strictly fulfilling his information disclosure obligations. The company stated that this investigation will not affect the normal production and operation activities of the company. Investors are advised to pay attention to investment risks