Dongfang Yuhong: U.S. wholly-owned subsidiary suspected of telecom fraud, involving approximately $1.7183 million

On December 23rd, Dongfang Yuhong announced that the company recently learned that its wholly-owned subsidiary in the United States, OYH Construction Materials LLC, was suspected of falling victim to telecommunication fraud, involving approximately 1.7183 million US dollars. Criminals invaded OYH's construction materials company's email and impersonated the general contractor to fraudulently request payment while paying for the construction project. After detecting the suspected telecommunication fraud, OYH Construction Materials LLC reported the case to the local authorities at the Harris County Sheriff's Office and the Woodstock Police Department, and also reported the case to the Federal Bureau of Investigation (FBI). The company will fully cooperate with local authorities in order to minimize losses. Upon preliminary investigation, this incident appears to be an isolated case and will not significantly impact the company's normal operations. In response to this matter, the company has established a special task force to conduct a thorough investigation, handle aftermath, and implement risk control measures at the subsidiary company.