Chapter 1 General Principles
Article 1
To further improve the standardized operation level of Zhejiang Bofei Electric Co., Ltd. (hereinafter referred to as "the Company"), enhance the authenticity, accuracy, completeness, and timeliness of information disclosure, and improve the quality and transparency of annual report information disclosure, this system is formulated in accordance with the "Company Law of the People's Republic of China," "Securities Law of the People's Republic of China," "Management Measures for Information Disclosure of Listed Companies," "Corporate Governance Standards for Listed Companies," "Stock Listing Rules," "Guidelines for the Content and Format of Information Disclosure by Companies Issuing Securities to the Public No. 2 - Content and Format of Annual Reports," and the "Articles of Association of Zhejiang Bofei Electric Co., Ltd." (hereinafter referred to as "the Articles of Association"), as well as relevant national laws, regulations, and normative documents, combined with the actual situation of the Company.
Article 2
Relevant personnel of the Company shall strictly implement the "Enterprise Accounting Standards" and related regulations, and strictly adhere to the internal control systems related to financial reporting to ensure that financial reports truly and fairly reflect the Company's financial status, operating results, and cash flows. Relevant personnel of the Company shall not interfere with or obstruct the independent and objective auditing work of auditing institutions and relevant certified public accountants during the annual report audit.
Article 3
If the Company's directors, senior management, and other personnel related to annual report information disclosure violate relevant national laws, regulations, normative documents, and the Company's rules and regulations, fail to perform their duties diligently, or do not fulfill their responsibilities, resulting in significant errors in annual report information disclosure, they shall be held accountable in accordance with the provisions of this system.
Article 4
Significant errors in annual report information disclosure referred to in this system include major accounting errors in the annual financial report, significant errors or omissions in other annual report disclosures, and significant discrepancies in performance forecasts or performance bulletins. Specific situations include:
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Major accounting errors in the annual financial report that violate the "Accounting Law of the People's Republic of China," "Enterprise Accounting Standards," and related regulations;
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Significant errors or omissions in the disclosure of financial information in the notes to the financial statements that violate the "Enterprise Accounting Standards" and related interpretations, as well as the relevant requirements of the China Securities Regulatory Commission (CSRC) regarding financial report content;
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Other significant errors or omissions in the content and format of annual report disclosures that do not comply with the CSRC's requirements for annual report content, securities exchange disclosure guidelines, and other regulations, normative documents, and the Articles of Association;
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Significant discrepancies between performance forecasts and actual performance disclosed in the annual report;
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Significant discrepancies between financial data and indicators in performance bulletins and the actual data and indicators in related periodic reports;
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Other significant errors in annual report information disclosure as determined by regulatory authorities.
Article 5
In the event of significant errors in annual report information disclosure, the Company shall hold relevant responsible persons accountable, adhering to the following principles during accountability:
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Objectivity, fairness, and truthfulness;
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Accountability for responsibility and investigation of errors;
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Correspondence between power and responsibility, and between fault and accountability;
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Combining accountability with work improvement.
Article 6
The Securities Department, under the leadership of the Board Secretary, is responsible for collecting and summarizing materials related to accountability, proposing relevant handling plans according to the system's provisions, and reporting to the Company's Board of Directors for approval.