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The coal chemical giant Anhui Huaihua Group will be put up for public auction next month; its former top executive was tried in public this month. Author/Source: China Economic Weekly Date: 2020-12-02 Views: 18. One year after declaring bankruptcy, Anhui Huaihua Group, founded in 1958, will be auctioned publicly on the JD Auction’s bankruptcy liquidation platform on December 12. The technical patents, production facilities, fixed assets, and subsidiaries belonging to Anhui Huahe Group will all be up for auction, with prices ranging from hundreds of thousands to hundreds of millions of yuan. According to the official website of JD Auction’s bankruptcy liquidation platform, the auction assets with the highest value have a starting bid of around 796 million yuan; these include receivables from Anhui Huahe Group, work-in-progress items, buildings, machinery and equipment, vehicles, and other assets. Xie Shaoying, who once served as the top leader of Anhui Huaihua Group, also faced a regrettable end. According to the China Procuratorial Network, Xie Shaoying, former chairman and party secretary of Huaihua Group, was put on trial in public at the People’s Court of Tianjia’an District, Huainan City, on November 3, 2020, on charges including embezzlement, bribery, and misappropriation of public funds. On New Year’s Eve, January 25, 2007, Xie Shaoying, then chairman of Anhui Hengyuan Coal and Electricity Company (second from the left in the front row), delivered gift packages to the miners 400 meters underground. Before Xie Shaoying, Anhui Huaihua Group was exposed for its former financial director, Liu, who caused losses of 20 million yuan to state assets, accepted bribes amounting to 112,000 yuan, and misappropriated public funds. According to the China Judgments Online, Liu filed an appeal at the time of the second-instance ruling, but it was ultimately rejected. On July 24, 2019, Anhui Huahua Co., Ltd. (Huahua Shares) underwent bankruptcy liquidation. In 2018, Huaihua Co., Ltd. incurred a net loss of 428 million yuan. Due to the continuous net losses over a period of more than 5 years, the shareholders’ meeting approved the dissolution and liquidation of the company. By the end of 2018, Anhui Huaihua Co., Ltd. had total assets of 3.537 billion yuan, accounting for 7.88% of Wanbei Coal and Electricity Group’s total assets; its operating income was 1.151 billion yuan, representing 3.21% of Wanbei Coal and Electricity Group’s operating income. As one of the major coal chemical companies in China, the development history of Anhui Huaihua Group is closely tied to the evolution of the coal industry. It experienced a period of prosperity in the 1990s and early 2000s, but has gradually declined over the past decade due to environmental regulations and the rapid development of new energy sources. In July 2018, the last gasifier at Anhui Huaihua Group was shut down. This coal chemical giant, which had been in operation for 60 years, officially ceased all production. Previously, Anhui Huaihua Group had been ordered to suspend production for rectification on multiple occasions due to failing to meet environmental standards. Anhui Huaihua Group Co., Ltd. is the largest coal chemical enterprise in Anhui Province, controlled by Wanbei Coal and Electricity Group, and it has a history of 62 years; its closure is regrettable. Public information shows that as Anhui’s largest coal chemical industry base, Anhui Huahua Group possesses production facilities for ammonia and its derivatives, alcohols and their derivatives, nitrates, coking, and fine chemicals. The group produces 360,000 tons of ammonia, 200,000 tons of concentrated nitric acid, and 150,000 tons of *ao acid annually. Its sales volume of concentrated nitric acid has repeatedly ranked first in the country, and the company has been awarded titles such as one of China’s Top 1,000 Enterprises, one of China’s Top 30 fertilizer manufacturers, and one of Anhui Province’s Top 50 industrial enterprises for many years in a row.