A company named Henan Jiachen Intelligent Control Co., Ltd., known as Jiachen Intelligent (874302.NQ), is currently applying for an IPO. The lead underwriter is China International Capital Corporation Limited (601995.SH), with Yang Xi and Wei Dejun serving as the sponsors.

In a previous analysis, the company's financial performance and its reliance on a key supplier for critical components were discussed. Recently, reports from leading financial media have highlighted that the company's actual controller and Chairwoman, Yao Xin, was involved in a bribery case, which is quite noteworthy.

According to reports, the matter dates back to early 2015 through March 2018. Jiang Ming, a former general manager of a subsidiary of Zoomlion Heavy Industry Science And Technology Co.,Ltd. (000157.SZ), used his position to accept cash bribes totaling 80,000 RMB from Yao Xin on five occasions. On July 3, 2020, Jiang Ming was sentenced to two years in prison by the Yijiang District People's Court in Wuhu City, Anhui Province, for the crime of accepting bribes as a non-state functionary.

It is important to note that the court documents determined that Yao Xin provided the money to facilitate the collection of accounts receivable for her company, not to seek improper benefits. Consequently, judicial authorities did not formally initiate a case against her.

Reviewing this situation, the perspective is that Jiachen Intelligent's Chairwoman Yao Xin should not be criticized. Instead, it highlights her difficult position and the compromises she felt necessary to make. This incident underscores the pressure and payment delays that Zoomlion allegedly imposed on its suppliers.

Consider this: if Zoomlion had paid its suppliers promptly, would the Chairwoman, who was already over 50 years old at the time, have felt compelled to offer money merely to "facilitate payment collection"? While the bribery case appears as an individual act by a key employee at Zoomlion, the underlying issue seems to be a corporate environment where delayed payments to suppliers could create conditions for such misconduct.

Currently, Zoomlion is no longer a major client for Jiachen Intelligent. However, the IPO prospectus discloses that business relations between the two companies continue.

Furthermore, it should be acknowledged that, at least in the past three years, Zoomlion has been optimizing its payment terms to suppliers. Wind data shows that Zoomlion's accounts payable turnover days saw a significant abnormal surge in the unique external environment of 2022, reaching 153.67 days compared to 99.59 days in 2021.

However, this situation has gradually improved in subsequent years. The figure was 128.18 days in 2023, 110.45 days in 2024, and further decreased to 91.37 days for the first three quarters of 2025, a level not seen since before 2012.

This data indicates that Zoomlion is making efforts to optimize its payment processes to suppliers, aiming to shorten payment cycles and avoid delays, which is commendable and reflects the responsibility expected from an industry leader with a market capitalization approaching 100 billion RMB.