(4) Deposit banks, designated commercial banks, asset management agencies, security exchanges, securities registration and clearing agencies of a securities firm

(5) Securities service agencies provided services for a securities firm.

The agency appointed by securities regulatory agency under the State Council should perform supervision and administration roles and responsibilities within the scope of authorization from the securities regulatory agency under the State Council.

Specific measures shall be formulated by the securities regulatory agency under the State Council.

Article 96 The securities registration and clearing agency hereof refers to the securities registration and clearing agency prescribed in Article 155 of the Securities Law of the People s Republic of China.

If the securities firm closes all securities business, disbands, goes bankruptcy or revokes domestic branch, it should publicize in newspaper appointed by the securities regulatory agency under the State Council and submit securities business license to the securities regulatory agency under the State Council for deregistration based on regulation.

The securities business license should be written with business scope of such securities firm or its domestic branch.

Without securities business license, the securities firm and its domestic branch shall not run securities business.

(5) Where an asset management agency and a securities registration and clearing agency does not report to the securities regulatory agency of the State Council when it finds trust funds and assets and securities in secured accounts of clients are used in violation of provisions.

While the securities regulatory agency under the State Council approving setting up application of securities firm and its branch, it should consider the needs of development as well as fair competition of the securities market.

After a securities firm acquiring business license for the securities or domestic branch issued or changed by the corporate registration agency, it should apply to the securities regulatory agency under the State Council for issuing or changing license for securities business.

(1) Where a securities firm or its inbound branch engages in businesses out of scope approved by the securities regulatory agency under the State Council

(3) Where a securities firm, an asset management agency, a securities registration and clearing agency use trading settlement funds, trust funds and funds and securities in secured accounts of clients in violation of provisions

Article 41 A securities firm engaged in securities business for its own account is limited to trading of legally issued stocks, bonds, warrants, securities investment funds or other securities recognized by the securities regulatory agency under the State Council.

5 Other items required by the securities regulatory agency under the State Council to prescribe in company regulation.

The securities regulatory agency under the State Council can enquire the bank accounts of a securities firm and enterprises controlled or actually controlled by the securities firm with approval of a person responsible of the securities regulatory agency under the State Council with a view to make a thorough investigation of business and financial status of the securities firm.

If the listed company and the dealing party retain securities service organs, they shall sign confidentiality agreement with the securities service organs immediately.

Article 50 A securities firm that carries out securities lending and borrowing business shall sign a securities lending and borrowing contract with the customer, and shall open a customer securities guarantee account with the securities registration and settlement organs, and a customer funds guarantee account with the designated commercial bank in the name of the securities firm in accordance with the provisions of the securities regulatory agency under the State Council.

Other shareholders of securities firms should comply with the related requirements of the securities regulatory agency under the State Council.

Article 26 If a securities firm and its domestic branch are engaged in securities business prescribed in Article 125 of the Securities Law, they should follow the Securities Law and provisions of this Regulation.

Where the securities firm does not remove him her from his her post, the securities regulatory agency under the State Council shall order it to do.

A reporting mechanism about securities firms relating status between securities regulatory agency under the State Council and local people's government should be established.

Article 16 After the listed company signs the contract with the securities service organ, it shall not change the securities service organ without a legitimate reason.

Article 6 The securities regulatory agency under the State Council should perform supervision and administration roles and responsibilities of securities firm within the law.

Article 8 Setting up a securities firm requires meeting the conditions prescribed in the Company Law, the Securities Law as well as this Regulation, and approval from securities regulatory agency under the State Council.

No business without approval is allowed.

If the securities service organ needs to be changed for a legitimate reason, the specific reason for the change and the statement of the securities service organ shall be disclosed in the application materials.

Article 18 The securities firm should establish and complete organization structure, and clearly state roles and responsibilities of decision making, execution or supervision agencies according to the Company Law and the Securities Law.

A securities firm mentioned in item 1 of this article refers to an unincorporated entity with business operation under the securities firm such as branch company and securities business outlet.

Article 22 If a securities firm sets up an agency that performs business management rights of the securities firm, it should clearly states it name, constitution, roles, responsibilities and rule of procedure in the company regulation.

Article 44 If a securities firm is engaged in self run securities business, its risk controlling indicators such as ratio of total securities value and company net capital, ratio of value of one type of securities and net corporate capital, and ratio of quantity of one type of securities and total issuing quantity of this type of securities should comply with prescription of the securities regulatory agency under the State Council.

Article 7 The securities regulatory agency under the State Council, the People's Bank of China and other financial regulatory authorities under the State Council should establish information sharing mechanism of supervision and administration over securities firms.

4 Other circumstances recognized by securities regulatory agency under the State Council.

5 Having other conditions that are stipulated by the securities regulatory agency under the State Council.

Article 14 Any unit or individual in any of the following circumstances shall inform the securities firm in advance and the securities firm shall apply to the securities regulatory agency under the State Council for approval

Article 28 When the securities firm is entrusted by securities registration settlement agency to open securities account for customers, it should audit name and identity authenticity declared by customers according to management rule of securities account.

(2) Where enterprises, asset management agencies and securities service agencies hold or actually hold by a securities firm do not file and provide relevant information and materials to the securities regulatory agency under the State Council according to laws, or where there is any false record, misleading statement or major omission in the information and materials filed and provided.

(4) Where an asset management agency and a securities registration and clearing agency approves and executes applications and instructions which use trust funds and assets and securities in secured accounts of clients in violation of provisions

The assets custodian organs shall perform duties of safeguarding the customer s trust assets, handling the collection and payment of the funds and supervising the investment activities of the securities firm according to the provisions of the securities regulatory agency under the State Council and the securities assets management contract.

Specific measures for administration shall be formulated by the securities regulatory agency under the State Council.

Article 13 If a securities firm changes registered capital, business scope, company form or key terms in company regulation, merger, divide, set up, acquire or revoke domestic branch, relocate domestic branch, set up, acquire, hold equity of domestic securities agency, it should get approval from the securities regulatory agency under the State Council.

If the auditing report prescribed in the previous term has not been submitted to the securities regulatory agency under the State Council, the person to leave his post shall not take position in any other securities firm.

2 Organization, forming method, roles and responsibilities, rule of procedure of the securities firm

He should be recognized by the securities regulatory agency under the State Council.

If customers find incompliance between related information record and the fact, he can claim to the securities firm or the securities regulatory agency under the State Council.