Guangzheng Eye Hospital's Subordinate Hospital Fined 1.0456 Million Yuan for Medical Insurance Settlement Violations

Guangzheng Eye Hospital announced after market close on October 8 that its subsidiary Shanghai New Vision Eye Hospital Co., Ltd. received an administrative penalty decision from the Shanghai Municipal Medical Security Bureau. For including medical expenses that did not fall within the payment scope of the medical security fund in its settlements, causing losses to the fund, it was fined RMB 1.0456 million. The announcement showed that the conduct fell under item 6 of Article 38 of the Regulations on the Supervision and Administration of the Use of Medical Security Funds. As of the disclosure date, Guangzheng Eye Hospital and its controlled subsidiaries had accumulated administrative penalties totaling RMB 1.9712 million over the preceding 12 consecutive months, accounting for 10.11% of the company's most recent audited net profit attributable to the parent. All fines have been paid and recorded in current profit or loss. The company said the penalty will affect operating results for 2026, with the final actual impact subject to the annual audit by its accounting firm, but it will not have a material impact on long-term development and does not trigger mandatory delisting for major violations. The subsidiary hospital has completed special rectification as required, including organizing study of the relevant regulations and medical insurance service agreements, assigning dedicated personnel for medical insurance management, improving oversight procedures, and establishing accountability mechanisms.