Chapter 1 General Principles
Article 1
To standardize fund transactions between Beijing Jinyi Cultural Development Co., Ltd. (hereinafter referred to as "the Company") and its controlling shareholders, actual controllers, and other related parties, establish an effective risk prevention mechanism for related party fund transactions, and protect the legitimate rights and interests of the Company, shareholders, and other stakeholders, 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, the Regulatory Guidelines No. 8 for Listed Companies—Regulatory Requirements for Fund Transactions and External Guarantees, the Shenzhen Stock Exchange Listing Rules, and other relevant laws, administrative regulations, departmental rules, and normative documents, combined with the Articles of Association of Beijing Jinyi Cultural Development Co., Ltd. (hereinafter referred to as "the Articles of Association"), the Related Party Transaction Decision-Making System, and the actual situation of the Company.
Article 2
This system applies to all fund transactions between the Company and its controlling shareholders, actual controllers, and other related parties, as well as subsidiaries included in the Company's consolidated financial statements. The term "related party" as used in this system has the same meaning as defined in the current effective Shenzhen Stock Exchange Listing Rules.
Article 3
The fund transactions referred to in this system mainly include the following matters occurring between the Company (including its subsidiaries) and its controlling shareholders, actual controllers, and other related parties:
- Operating Fund Transactions: Refers to fund payments arising from related transactions in production and operation activities such as procurement and sales;
- Non-operating Fund Transactions: Refers to matters other than operating fund transactions, including payment of wages and benefits, insurance, advertising, and other expenses on behalf of related parties; funds paid to repay debts on behalf of related parties; funds lent to related parties with or without compensation, directly or indirectly; claims formed by assuming guarantee responsibilities for related parties; and other funds provided to related parties without consideration of goods and services.