Two companies have been fined a combined 23 million yuan ($3.3 million) for their roles in a deadly fire that killed 39 people in Xinyu, Jiangxi province, according to penalty decisions released by the provincial emergency management authority.

Xinyu Ningshuang Refrigeration Equipment was fined 12 million yuan, and Xinyu Boyi Education Consulting was fined 11 million yuan, the Jiangxi Provincial Department of Emergency Management said in notices published on its website on Monday.

The penalties relate to a fire that occurred at 3:22 pm on Jan 24, 2024, at a street-front commercial and residential complex in Jialeyuan community, Yushui district. The blaze killed 39 people and injured nine others, with direct economic losses totaling 43.53 million yuan.

An investigation report approved earlier at a State Council meeting concluded that the fire was caused by multiple factors, including illegal changes to building use, construction activities, and business operations, as well as inherent fire safety defects and regulatory failures by relevant local authorities.

According to the penalty decision, Ningshuang Refrigeration Equipment lacked the required professional qualifications and safety management systems and illegally constructed a cold storage facility in the building’s basement. The company failed to conduct technical safety briefings, did not implement fire prevention measures at the site, and took no precautions against static electricity, despite knowing that plastic film installation could generate static discharge.

A separate decision found that Xinyu Boyi Education Consulting operated beyond the scope of its business license and rented premises that did not meet fire safety requirements.

Authorities said further accountability measures are being pursued in accordance with the law.