Chapter I General Principles
Article 1 These Measures are formulated for the purpose of establishing a long-term mechanism for preventing and handling the risks of securities companies, maintaining social economic order and social interests, protecting the legitimate rights and interests of securities investors, and promoting the orderly and healthy development of the securities market.
Article 2 The securities investor protection fund (hereinafter referred to as the fund) refers to the fund raised in accordance with these Measures for preventing and handling the risks of securities companies and protecting the interests of securities investors.
Establish a wholly state-owned China Securities Investor Protection Fund Co., Ltd. (hereinafter referred to as the "Fund Company") to be responsible for fund raising, management and utilization.
Article 3 Funds are mainly used for payment to creditors in accordance with relevant state policies and regulations.
Article 4 Securities trading activities shall follow the principles of openness, fairness, impartiality, investors' autonomy in investment decision-making and their own investment risks.
Investors in securities investment activities due to fluctuations in the securities market or changes in the value of the investment products themselves caused by the losses, by the investors themselves.
Article 5 Funds shall be raised on the principle of taking from the market and using it for the market. The financing methods and standards shall be decided by China Securities Regulatory Commission (hereinafter referred to as China Securities Regulatory Commission) in consultation with the Ministry of Finance and the People's Bank of China.
Article 6 A fund company shall operate independently in accordance with relevant national laws and regulations and these Measures, and the board of directors of the fund company shall be responsible for the compliance and safety of the fund.
Chapter II Responsibilities and Organizational Structure of Fund Companies
Article 7 The functions of a fund company are:
(1) Raising, managing and operating funds;
(2) Monitoring the risks of securities companies and participating in the risk disposal of securities companies.
(3) When a securities company is revoked, closed, bankrupt, or is subject to compulsory regulatory measures such as administrative takeover and custody operation by the China Securities Regulatory Commission, it shall pay off the creditors in accordance with relevant state policies and regulations;
(4) Organizing and participating in the liquidation of securities companies that have been revoked, closed down or gone bankrupt.
(five) management and disposal of paid assets, safeguard the rights and interests of the fund;
(six) found that there are major risks in the operation and management of securities companies that may endanger the interests of investors and the security of the securities market, and put forward supervision and disposal suggestions to the CSRC; Establish a correction mechanism for potential risks in the operation of securities companies in conjunction with relevant departments;
(seven) other duties approved by the State Council.
Article 8 A fund company shall establish an information sharing mechanism for securities companies with the China Securities Regulatory Commission, and the China Securities Regulatory Commission shall regularly inform the fund company of the statistical data of financial and management information of securities companies.
Securities companies identified by the China Securities Regulatory Commission as having potential risks shall directly submit financial, business and other management information and materials to the fund company in accordance with regulations.
Article 9 A fund company shall set up a board of directors. The board of directors consists of nine directors. The chairman is recommended by the CSRC and reported to the State Council for approval.
Article 10 The board of directors is the decision-making body of the fund company, and is responsible for formulating the basic management system of the fund company, determining the internal management structure, appointing and removing senior management personnel, deciding on major issues such as fund raising, management and use, and exercising other functions and powers as stipulated in the articles of association of the fund company.
Article 11 The board of directors of a fund company shall hold a regular meeting every quarter. An interim meeting of the board of directors may be convened upon the joint proposal of the chairman or more than one third of the directors.
The board meeting can only be held when more than two thirds of the directors are present. The resolution of the board meeting shall be valid only if it is approved by more than half of all directors.
Chapter III Fund Raising
Article 12 Sources of funds:
(1) After the risk funds of Shanghai and Shenzhen Stock Exchanges reach the prescribed upper limit respectively, 20% of the transaction fee will be included in the fund;
(2) All securities companies registered in China should pay 0.5-5% of their operating income to the fund;
Securities companies with poor management and high risks should pay a higher proportion of funds. The specific payment ratio of each securities company shall be determined by the fund company according to the risk status of the securities company and reported to the CSRC for approval, and adjusted every year. Funds paid by securities companies are included in their operating costs;
(3) When issuing stocks, convertible bonds and other securities, interest income from frozen funds shall be purchased;
(4) Recovering the income from the responsible party and the income from bankruptcy liquidation of the securities company according to law;
(five) donations from domestic and foreign institutions, organizations and individuals;
(6) Other lawful income.
Article 13 When a fund company is established, the balance of the price difference of frozen funds for subscription of new shares over the years stored in the special account of the Ministry of Finance shall be included in the registered capital of the fund company at one time; The People's Bank of China arranged to issue special re-loans to advance the start-up capital of the fund. The upper limit of the special refinancing balance shall be subject to the amount approved by the State Council.
Article 14 According to the needs of preventing and handling the risks of securities companies, fund companies may raise funds in various forms. When necessary, with the approval of the State Council, fund companies can obtain special financing by issuing bonds.
Article 15 The funds payable by a securities company shall be withdrawn in advance according to a certain proportion of the commission income of the securities company, and withheld and remitted by China Securities Depository and Clearing Co., Ltd. (hereinafter referred to as the clearing company). A securities company shall, after the end of the annual audit, determine the fund amount to be paid according to its audited income and the proportion approved in advance, and report the settlement to the fund company in time.
A securities company that does not engage in securities brokerage business shall pay in advance the operating income of the quarter and the pre-approved proportion within 10 working days after the end of each quarter. After the annual audit, determine the fund amount that should be paid in the current year and report the payment to the fund company in time.
Article 16 Clearing companies and stock exchanges shall transfer the interest income and transaction fees of frozen securities issuance and subscription funds into the account designated by the fund company within 65,438+00 working days after each quarter.
Chapter IV Utilization of Funds
Article 17 The purposes of the fund are:
(1) When a securities company is revoked, closed down or bankrupt, or is subject to compulsory supervision measures such as administrative takeover and custody operation by the China Securities Regulatory Commission, it shall pay off the creditors in accordance with relevant state policies and regulations.
(2) Other purposes approved by the State Council.
Article 18 If a securities company needs to use funds for risk disposal, the China Securities Regulatory Commission shall formulate a risk disposal plan according to the risk status of the securities company, and the fund company shall formulate a fund utilization plan, which shall be submitted to the the State Council for approval, and then the fund company shall handle the specific issues of fund issuance.
Article 19 After using the fund to pay off the creditors of the securities company, the fund company obtains the corresponding compensation rights and participates in the liquidation of the securities company according to law.
Chapter V Management and Supervision
Article 20 A fund company shall operate in compliance with laws and regulations, perform its fund management duties in accordance with the principle of safety and stability, and ensure the safety of the fund.
The fund's capital utilization is limited to bank deposits, purchase of government bonds, central bank bonds (including central bank bills), financial bonds issued by central financial institutions and other forms of capital utilization approved by the State Council.
Article 21 The daily operating expenses of a fund company shall be charged according to the relevant provisions of the state, and the specific scope, standards, budget and final accounts shall be formulated by the board of directors of the fund company and submitted to the Ministry of Finance for approval.
Article 22 The China Securities Regulatory Commission shall be responsible for the business supervision of fund companies and the raising, management and use of funds.
The Ministry of Finance is responsible for the management of state-owned assets and financial supervision of fund companies.
The People's Bank of China is responsible for inspecting and supervising the compliance with the use of refinancing funds borrowed by fund companies.
Article 23 A fund company shall establish a scientific performance appraisal system and submit the appraisal results to the China Securities Regulatory Commission, the Ministry of Finance and the People's Bank of China on a regular basis.
Article 24 A fund company shall establish an information reporting system, summarize the fund raising, management and use on a monthly and quarterly basis, and submit them to the China Securities Regulatory Commission, the Ministry of Finance and the People's Bank of China.
The fund company shall report to the Ministry of Finance on the implementation of financial revenue and expenditure and budget and final accounts every year, and accept the supervision and inspection of the Ministry of Finance.
The fund company shall report the use of refinancing funds to the People's Bank of China every year and accept the supervision and inspection of the People's Bank of China.
Article 25 The China Securities Regulatory Commission shall report the operation of fund companies and the risk disposal of securities companies to the State Council every year, and send a copy to the Ministry of Finance and the People's Bank of China.
Article 26 Securities companies and custodian settlement institutions shall use the funds for the prescribed purposes and shall not use them for other purposes.
A fund company shall check the use of the fund and may entrust an intermediary agency to conduct a special audit. The inspected securities companies, custodian settlement institutions and relevant units and individuals shall cooperate.
Article 27 Fund companies, securities companies and custodian clearing institutions shall properly keep the list of fund receipts and payments and original vouchers, ensure the integrity of original files, and establish fund accounting ledgers.
Article 28 The China Securities Regulatory Commission is responsible for supervising securities companies to pay their funds in full and on time, and submitting financial, business and other management information and materials to fund companies. Securities companies that refuse to pay funds or deliberately delay the submission of relevant information and materials shall be handled by the CSRC in accordance with relevant regulations.
Twenty-ninth illegal acts of misappropriating, embezzling and defrauding funds shall be severely cracked down according to law; The dereliction of duty of the relevant personnel shall be investigated for their responsibility according to law; Anyone suspected of committing a crime shall be transferred to judicial organs for criminal responsibility according to law. Chapter VI Supplementary Provisions
Article 30 The term "custody and clearing institution" as mentioned in these Measures refers to the takeover group, custody group or liquidation group established in accordance with the law to implement administrative custody of securities companies when they are administratively taken over, managed, closed, cancelled or bankrupt.
Thirty-first these Measures shall come into force as of July 6, 2005.
Article 32 These Measures shall be interpreted by the China Securities Regulatory Commission in conjunction with the Ministry of Finance and the People's Bank of China. (End)