Chapter 1 General Principles
Article 1
To strengthen the management of shares held by directors and senior management of Hubei Ping An Electric Technology Co., Ltd. (hereinafter referred to as "the Company"), and to maintain order in the securities market, this system is formulated in accordance with the Company Law of the People's Republic of China, the Securities Law of the People's Republic of China (hereinafter referred to as "Securities Law"), the Interim Measures for the Management of Share Reduction by Shareholders of Listed Companies, the Management Rules for Shares Held by Directors and Senior Management of Listed Companies and Their Changes, and the Self-Regulatory Guidelines No. 10 for Listed Companies of the Shenzhen Stock Exchange, as well as relevant provisions of the Articles of Association of Hubei Ping An Electric Technology Co., Ltd. (hereinafter referred to as "the Articles of Association"), combined with the actual situation of the Company.
Article 2
This system applies to the directors and senior management of the Company. The shares held by them refer to all shares of the Company registered in their names and held through others' accounts. Directors and senior management of the Company are prohibited from engaging in margin trading or short selling of the Company's shares.
Article 3
Directors and senior management of the Company must strictly adhere to any commitments made regarding changes in their shareholdings.
Article 4
Directors and senior management must authorize the Company to report their personal and their immediate family members' (including spouses, parents, children, siblings, etc.) identity information (including name, position, ID number, securities account, resignation time, etc.) to the Shenzhen Stock Exchange at the following times:
- Within two trading days after a new director is appointed following the approval of their appointment by the shareholders' meeting (or employee representative meeting);
- Within two trading days after a new senior management member is appointed following the approval of their appointment by the board of directors;
- Within two trading days after any changes occur in the personal information already reported by current directors and senior management;
- Within two trading days after current directors and senior management resign;
- Other times as required by the Shenzhen Stock Exchange.
The reported information is considered an application for the management of their shares in accordance with relevant regulations.
Chapter 2 Prohibited and Restricted Trading
Article 5
Shares held by directors and senior management of the Company may not be transferred under any of the following circumstances:
- Within one year from the date the Company's shares are listed for trading;
- Within six months after resignation;
- If the Company is under investigation by the China Securities Regulatory Commission (CSRC) for suspected violations of securities and futures laws, or if it is under judicial investigation, or if it has been administratively punished or sentenced within the last six months;
- If the individual is under investigation by the CSRC for suspected violations related to the Company, or if they have been administratively punished or sentenced within the last six months;
- If the individual has been administratively punished by the CSRC for violations related to securities and futures and has not fully paid the fines, unless otherwise provided by laws or regulations, or if the funds from the reduction are used to pay fines;
- If the individual has been publicly reprimanded by the securities exchange for violations related to the Company within the last three months;
- If the Company may fac