Chapter 1 General Principles
Article 1
To strengthen and standardize the internal control management of Suzhou Kede Education Technology Co., Ltd. (hereinafter referred to as "the Company"), improve operational efficiency and profitability, enhance the reliability of financial information, safeguard company assets, prevent and mitigate various risks, elevate management levels, and ensure compliance with national laws and regulations, this system is formulated based on the Company Law, Basic Norms for Enterprise Internal Control, and the Articles of Association of Suzhou Kede Education Technology Co., Ltd. (hereinafter referred to as "the Articles of Association"), along with relevant legal, administrative regulations, and departmental rules, tailored to the actual situation of the Company.
Article 2
Internal control refers to the process implemented by the board of directors, management, and all employees to provide reasonable assurance in achieving internal control objectives.
Article 3
The objectives of the Company's internal control are:
- To ensure the implementation of relevant national laws and regulations and the Company's internal rules and systems;
- To improve the efficiency and effectiveness of the Company's operations, enhance risk prevention and control capabilities, and promote the achievement of the Company's development strategy;
- To safeguard the security of the Company's assets, enhance management levels, and increase returns to shareholders;
- To ensure that financial reports and related information disclosures are true, accurate, complete, timely, and fair.
Article 4
The board of directors is responsible for the formulation, implementation, and improvement of the internal control system and shall regularly conduct comprehensive inspections and evaluations of the execution of internal controls.
Article 5
The audit committee of the board of directors guides and supervises the work of the internal audit institution and participates in the assessment of the head of internal audit.
Article 6
The internal audit department is accountable to the board of directors and reports its work to the audit committee of the board. The internal audit department is responsible for the daily supervision of internal controls, conducting on-site audits for self-evaluation of internal controls, and ordering rectification for significant internal control deficiencies identified.
Article 7
The management is responsible for establishing and improving relevant systems for the internal control framework in operational processes, fully promoting the implementation of the internal control system, and inspecting the formulation and execution of various special internal control systems by the Company's functional departments and units.
Article 8
The main contents of the Company's internal control include the internal control environment, operational risk assessment, internal control activities, information and communication, internal audit supervision, and internal control disclosures.