Securities Market Prohibition Regulations

(Deliberated and adopted at the 173rd Chairman’s Office Meeting of the China Securities Regulatory Commission on March 7, 2006, and the China Securities Regulatory Commission on June 7, 2006 Announcement of Commission Order No. 33; revised in accordance with China Securities Regulatory Commission Order No. 115 "China Securities Regulatory Commission's Decision on Amending the Securities Market Prohibition Provisions" on May 18, 2015)

Article 1 In order to maintain the order of the securities market, protect the legitimate rights and interests of investors and the interests of the public, and promote the healthy and stable development of the securities market, these regulations are formulated in accordance with the Securities Law of the People's Republic of China and other laws and administrative regulations.

Article 2 The China Securities Regulatory Commission (hereinafter referred to as the China Securities Regulatory Commission) shall take measures to prohibit entry into the securities market against relevant responsible persons who violate laws, administrative regulations or relevant provisions of the China Securities Regulatory Commission, based on facts. Follow the principles of openness, fairness and impartiality.

Article 3 If the following persons violate laws, administrative regulations or relevant provisions of the China Securities Regulatory Commission, and the circumstances are serious, the China Securities Regulatory Commission may, based on the seriousness of the circumstances, take measures to prohibit entry into the securities market:

< p>(1) Directors, supervisors and senior managers of issuers, listed companies, unlisted public companies, other information disclosure obligors or directors, supervisors and senior managers of other information disclosure obligors;

(2) The controlling shareholders and actual controllers of issuers, listed companies, and unlisted public companies, or the directors, supervisors, and senior managers of controlling shareholders and actual controllers of issuers, listed companies, and unlisted public companies;

(3) Directors, supervisors, senior managers of securities companies and heads of internal business departments, heads of branches or other securities practitioners;

(4) Securities companies’ Controlling shareholders, actual controllers, or directors, supervisors, and senior managers of controlling shareholders and actual controllers of securities companies;

(5) Directors, supervisors, and senior managers of securities service institutions engaged in securities service business personnel and the actual controller of a securities service institution or the directors, supervisors, and senior managers of the actual controller of a securities service institution;

(6) Directors, directors, and directors of securities investment fund managers and securities investment fund custodians. Supervisors, senior managers and heads of their internal business departments, branches or other securities investment fund practitioners;

(7) Other violations of laws, administrative regulations or other relevant violations determined by the China Securities Regulatory Commission or the China Securities Regulatory Commission Relevant responsible persons specified.

Article 4 Personnel who have been banned from the securities market by the China Securities Regulatory Commission shall not continue to engage in securities business in the original institution or serve as directors or supervisors of the original listed company or unlisted public company during the period of ban. , senior managers, nor may they engage in securities business in any other institution or serve as directors, supervisors, or senior managers of other listed companies or unlisted public companies. Persons who have been banned from the securities market should immediately stop engaging in securities business or stop performing their duties as directors, supervisors, and senior managers of listed companies or unlisted public companies after receiving the decision from the China Securities Regulatory Commission to be banned from the securities market, and The institution where he/she works shall be relieved of the positions that he or she is prohibited from holding in accordance with prescribed procedures.

Article 5: If the violation of laws, administrative regulations or relevant provisions of the China Securities Regulatory Commission is serious, the relevant responsible persons may be banned from the securities market for 3 to 5 years; the behavior is bad and seriously disrupts the securities market. If the circumstances are serious, such as violating order, seriously harming the interests of investors, or playing a major role in major illegal activities, the relevant responsible persons may be banned from the securities market for 5 to 10 years; if there is any of the following circumstances, the relevant responsible persons may be banned Personnel are subject to lifelong bans from the securities market:

(1) Seriously violate laws, administrative regulations or relevant provisions of the China Securities Regulatory Commission, constituting a crime;

(2) Engage in sponsorship, Persons with legal responsibilities in underwriting, asset management, margin trading and other securities businesses and other securities services businesses intentionally fail to perform their obligations stipulated by laws, administrative regulations or the China Securities Regulatory Commission, and cause particularly serious consequences;

< p>(3) Violating laws, administrative regulations or relevant provisions of the China Securities Regulatory Commission, adopting particularly egregious means such as concealing or fabricating important facts, or the amount involved is particularly huge;

(4) Violating laws, administrative regulations or the relevant provisions of the China Securities Regulatory Commission, engaging in illegal issuances, insider trading, market manipulation and other illegal activities, seriously disrupting the order of the securities and futures markets and causing serious social impact, or obtaining illegal gains and other improper benefits in extremely huge amounts, or causing the interests of investors to suffer Particularly serious damage;

(5) Violation of laws, administrative regulations or relevant provisions of the China Securities Regulatory Commission, the circumstances are serious, measures should be taken to prohibit entry into the securities market, and there is deliberate production of false important evidence, concealment, damage to important Evidence, etc. that hinders or resists the securities regulatory agency and its staff from exercising their supervision, inspection and investigation powers in accordance with the law;

(6) 5-6- due to violation of laws, administrative regulations or relevant provisions of the China Securities Regulatory Commission Have been given administrative penalties other than warnings by the China Securities Regulatory Commission three or more times within the year, or have been banned from the securities market within five years;

(7) Organize, plan, lead or implement major violations of the law , administrative regulations or relevant provisions of the China Securities Regulatory Commission;

(8) Other violations of laws, administrative regulations or relevant provisions of the China Securities Regulatory Commission, and the circumstances are particularly serious.

Article 6 If a person violates laws, administrative regulations or relevant provisions of the China Securities Regulatory Commission, and the circumstances are serious, measures may be taken to prohibit the relevant responsible persons from entering the securities market individually, or they may be subject to administrative penalties in accordance with the law; if they are suspected of committing a crime, , transfer it to the public security organs and the People's Procuratorate in accordance with the law, and may also take measures to prohibit entry into the securities market.

Article 7: If any of the following circumstances occurs, the relevant responsible persons may be given a lighter sentence, mitigated, or be exempted from securities market entry measures:

(1) Actively eliminate or mitigate Illegal acts have harmful consequences;

(2) Cooperate with the investigation and punishment of illegal acts and perform meritorious service;

(3) Be instigated or coerced by others to commit illegal acts, and be able to take the initiative to confess the illegal acts

(4) Other measures that may be taken lightly, mitigated, or exempted from entry into the securities market.

Article 8: If *** violates laws, administrative regulations or relevant provisions of the China Securities Regulatory Commission and needs to take measures to prohibit entry into the securities market, the person who bears secondary responsibility may be treated as the person who bears primary responsibility. Personnel shall be given appropriate leniency, mitigated or exempted from measures prohibiting entry into the securities market.

Article 9 Before taking measures to prohibit entry into the securities market, the China Securities Regulatory Commission shall inform the parties of the facts, reasons and basis for the measures to prohibit entry into the securities market, and inform the parties of their rights to make statements, defend themselves and request a hearing. .

Article 10: If a person who has been banned from the securities market is found guilty or administratively punished for the same illegal act at the same time, if the determination of guilt or administrative punishment made against him is revoked or changed in accordance with the law, and therefore If it affects the factual basis, legality and appropriateness of the measures prohibiting entry into the securities market, the measures prohibiting entry into the securities market shall be revoked or changed in accordance with the law.

Article 11 For persons who have been banned from the securities market by the China Securities Regulatory Commission, the China Securities Regulatory Commission will announce it to the public through the China Securities Regulatory Commission website or designated media, and record them as those who have been banned from the securities market. The author’s integrity file.

Article 12 If the China Securities Regulatory Commission declares the directly responsible person of an individual or unit to be prohibited from entering the futures market in accordance with the law, this provision may be followed.

Article 13 These regulations will come into effect on July 10, 2006. The "Interim Provisions on Prohibition of Access to the Securities Market" (CSRC [1997] No. 7) promulgated and implemented by the China Securities Regulatory Commission on March 3, 1997 were abolished at the same time.