Regulations on the Administration of Futures Trading

Chapter I General Provisions

Article 1 These Regulations are formulated in order to regulate futures trading, strengthen the supervision and management of futures trading, maintain the order of the futures market, prevent risks, protect the legitimate rights and interests of all parties to futures trading and the public interests of society, and promote the active and stable development of the futures market.

Article 2 Any entity or individual engaged in futures trading, including trading in commodity and financial futures contracts, options contracts and related activities, shall abide by these Regulations.

Article 3 The principles of openness, fairness, impartiality and good faith shall be followed in engaging in futures trading activities. Fraud, insider trading and manipulation of futures trading prices are prohibited.

Article 4 Futures trading shall be conducted at a futures exchange established in accordance with the law or at other trading venues approved by the futures regulatory authority under the State Council.

Futures trading outside the futures trading venues approved by the futures regulatory authority under the State Council is prohibited, and disguised futures trading is prohibited.

Article 5 The futures regulatory authority under the State Council shall exercise centralized and unified supervision and administration over the futures market.

The dispatched offices of the futures regulatory institution of the State Council shall perform the duties of supervision and administration in accordance with the relevant provisions of these Regulations and the authorization of the futures regulatory institution of the State Council.

Chapter II Futures Exchanges

Article 6 The establishment of a futures exchange shall be subject to the examination and approval of the futures regulatory authority under the State Council.

Without the approval of the futures regulatory authority under the State Council, no unit or individual may establish a futures exchange or organize futures trading and related activities in any form.

Article 7 A futures exchange shall not be profit-making and shall exercise self-regulatory management in accordance with the provisions of its articles of association. The futures exchange shall bear civil liability for all its property. The person in charge of a futures exchange shall be appointed and removed by the futures regulatory authority under the State Council.

Measures for the administration of futures exchanges shall be formulated by the futures regulatory authority under the State Council.

Article 8 The members of a futures exchange shall be enterprise legal persons or other economic organizations registered within the territory of the People's Republic of China.

A futures exchange may implement a tiered settlement system for its members. The members of the futures exchange that implement the hierarchical settlement system of members are composed of clearing members and non-clearing members.

The clearing business qualifications of clearing members shall be approved by the futures regulatory authority of the State Council. The futures regulatory authority under the State Council shall make a decision of approval or disapproval within 3 months from the date of accepting the application for settlement business qualification.

Article 9 Any person who has the circumstances stipulated in Article 147 of the the People's Republic of China Company Law or one of the following circumstances shall not serve as the person in charge or financial accounting personnel of the futures exchange:

(I) the person-in-charge of a futures exchange, stock exchange or securities registration and clearing institution, or the director, supervisor or senior manager of a futures company or securities company, or other personnel as prescribed by the futures regulatory authority under the State Council, who has been removed from his post due to illegal or disciplinary acts, not more than five years have elapsed since the date of his dismissal;

(II) lawyers, certified public accountants or professionals of investment advisory agencies, financial advisory agencies, credit rating agencies, asset appraisal agencies and certification agencies who have been disqualified for illegal acts or disciplinary violations shall not be more than 5 years from the date of disqualification.

Article 10 A futures exchange shall, in accordance with these Regulations and the provisions of the futures regulatory authority under the State Council, establish and improve various rules and regulations to strengthen the risk control of trading activities and the supervision and management of its members and the staff of the exchange. The futures exchange shall perform the following duties:

the premises, facilities and services provided by the (I) for trading;

(II) design contracts and arranging for the listing of contracts;

(III) organize and supervise transactions, settlements and deliveries;

(IV) guarantee the performance of the contract;

The (V) shall supervise and manage the members in accordance with the articles of association and trading rules;

(VI) other duties as prescribed by the futures regulatory authority of the State Council.

A futures exchange may not directly or indirectly participate in futures trading. Without the examination and approval of the futures regulatory authority of the State Council and the approval of the State Council, the futures exchange shall not engage in trust investment, stock investment, non-self-use real estate investment and other businesses unrelated to its duties.

Article 11 A futures exchange shall establish and improve the following risk management systems in accordance with the relevant provisions of the State:

(I) security deposit system;

No-liability settlement system on the day of (II);

(III) price limit system;

(IV) position limits and large position reporting system;

(V) risk reserve system;

(VI) other risk management systems as prescribed by the futures regulatory authority of the State Council.

A futures exchange that implements a tiered settlement system for its members shall also establish and improve a system of settlement guarantees.

Article 12 When an abnormal situation occurs in the futures market, the futures exchange may decide to take the following emergency measures in accordance with the authority and procedures stipulated in its articles of association, and shall immediately report to the futures regulatory authority under the State Council:

(I) increase of margin;

(II) adjust the range of the price limit;

(III) limit the maximum position of a member or customer;

(IV) temporary suspension of trading;

Other emergency measures are (V).

The term "abnormal circumstances" as mentioned in the preceding paragraph refers to the manipulation of futures trading prices or the occurrence of irresistible emergencies and other circumstances prescribed by the futures regulatory authority under the State Council.

After the abnormal situation disappears, the futures exchange shall promptly cancel the emergency measures.

Article 13 A futures exchange shall obtain the approval of the futures regulatory authority under the State Council to handle the following matters:

(I) formulating or amending the articles of association and trading rules;

(II) the listing, suspension, cancellation or resumption of trading instruments;

(III) the listing, modification or termination of the contract;

(IV) change of domicile or place of business;

Merger, division or dissolution of (V);

(VI) other matters as prescribed by the futures regulatory authority of the State Council.

The futures regulatory authority of the State Council shall seek the opinions of the relevant departments of the State Council when approving the listing of new trading varieties on a futures exchange.

Article 14 The proceeds of a futures exchange shall be managed and used in accordance with the relevant provisions of the State, but shall first be used to ensure the operation and improvement of futures trading venues and facilities.

Chapter III Futures Companies

Article 15 A futures company is a financial institution established in accordance with the the People's Republic of China Company Law and these Regulations to operate futures business. The establishment of a futures company shall be approved by the futures regulatory authority under the State Council and registered with the company registration authority.

Without the approval of the futures regulatory authority under the State Council, no unit or individual may establish or disguise a futures company to engage in futures business.

Article 16 An application for the establishment of a futures company shall comply with the provisions of the the People's Republic of China Company Law and meet the following conditions:

The minimum registered capital of the (I) is RMB 30 million;

The directors, supervisors and senior managers of the (II) are qualified to hold office, and the practitioners are qualified to practice futures;

The (III) has its articles of association in accordance with the provisions of laws and administrative regulations;

The major shareholders and actual controllers of the (IV) have sustained profitability, good reputation, and no record of major violations of laws and regulations in the last three years;

The (V) has qualified business premises and business facilities;

(VI) has a sound risk management and internal control system;

(VII) other conditions prescribed by the futures regulatory authority of the State Council.

The futures regulatory authority of the State Council may raise the minimum amount of registered capital in accordance with the principle of prudential supervision and the degree of risk of various businesses. The registered capital shall be paid-in capital. Shareholders shall make capital contributions in currency or non-monetary property necessary for the operation of the futures company, and the proportion of capital contributions in currency shall not be less than 85%.

The futures regulatory authority of the State Council shall, within six months from the date of accepting the application for the establishment of a futures company, conduct a review in accordance with the principle of prudential supervision and make a decision on approval or disapproval.

Without the approval of the futures regulatory authority under the State Council, no unit or individual may entrust or accept the entrustment of others to hold or manage the equity of a futures company.

Article 17 The business of futures companies shall be subject to a licensing system, which shall be issued by the futures regulatory authority under the State Council in accordance with the types of commodity futures and financial futures business. In addition to applying for operating domestic futures brokerage business, futures companies may also apply for operating overseas futures brokerage, futures investment consulting and other futures business as prescribed by the futures regulatory authority under the State Council.

Futures companies shall not engage in activities unrelated to futures business, except as otherwise provided by laws, administrative regulations or the futures regulatory authority under the State Council.

A futures company shall not engage in or disguise its own futures business.

A futures company shall not provide financing for its shareholders, actual controllers or other related persons, and shall not provide external guarantees.

Article 18 A futures company engages in brokerage business, accepts clients' entrustment, and conducts futures transactions for clients in its own name, and the results of the transactions shall be borne by the clients.

Article 19 A futures company shall obtain the approval of the futures regulatory authority under the State Council to handle the following matters:

Merger, division, suspension of business, dissolution or bankruptcy of the (I);

(II) change of corporate form;

(III) change of business scope;

(IV) change of registered capital;

(V) change of more than 5% of the equity;

(VI) the establishment, acquisition, equity participation or termination of an overseas futures business institution;

(VII) other matters as prescribed by the futures regulatory authority of the State Council.

For the matters listed in items (IV) and (VII) of the preceding paragraph, the futures regulatory authority under the State Council shall make a decision of approval or disapproval within 20 days from the date of accepting the application; for other matters listed in the preceding paragraph, the futures regulatory authority under the State Council shall make a decision of approval or disapproval within 2 months from the date of accepting the application.

Article 20 A futures company shall obtain the approval of the dispatched office of the futures regulatory institution of the State Council to handle the following matters:

(I) change of legal representative;

(II) change of domicile or place of business;

(III) the establishment or termination of domestic branches;

(IV) change the business place, person-in-charge or business scope of the domestic branch;

(V) other matters as prescribed by the futures regulatory authority of the State Council.

For the matters listed in items (I), (II), (IV) and (V) of the preceding paragraph, the dispatched agency of the futures regulatory agency of the State Council shall make a decision of approval or disapproval within 20 days from the date of accepting the application; For the matters listed in item (III), the dispatched agency of the State Council's futures regulatory agency shall make a decision of approval or disapproval within 2 months from the date of accepting the application.

Article 21 Where a futures company or its branch has the circumstances specified in Article 70 of the the People's Republic of China Administrative Licensing Law or one of the following circumstances, the futures regulatory authority under the State Council shall go through the formalities for the cancellation of the futures business license in accordance with the law:

The business license of the (I) is canceled by the company registration authority according to law;

The (II) fails to start business for more than 3 months without justifiable reasons after its establishment, or stops business for more than 3 consecutive months without justifiable reasons after its opening;

(III) to apply for cancellation on their own initiative;

(IV) other circumstances as prescribed by the futures regulatory authority of the State Council.

Before canceling the futures business license, the futures company shall settle the relevant futures business and return the customer's margin and other assets in accordance with the law. Before the cancellation of the business license, the branch of the futures company shall terminate its business activities and properly dispose of the customer's assets.

Article 22 A futures company shall establish, improve and strictly implement business management rules and risk management systems, abide by the information disclosure system, ensure the safety of the deposit of customer margin, and report the list of large accounts and transactions to the futures exchange in accordance with the provisions of the futures exchange.

Article 23 Other futures business institutions engaged in futures investment consulting and providing intermediate introductions for futures companies shall obtain business qualifications approved by the futures regulatory agency of the State Council, and the specific management measures shall be formulated by the futures regulatory agency of the State Council.

Chapter IV Basic Rules of Futures Trading

Article 24 A futures trading on a futures exchange shall be a member of the futures exchange.

Article 25 When a futures company accepts a customer's entrustment to conduct futures trading for it, it shall present the risk statement to the customer in advance, and sign a written contract with the customer after the customer signs and confirms it. A futures company shall not conduct futures trading without the client's entrustment or in accordance with the client's entrustment.

A futures company shall not make profit guarantees to its customers; it shall not agree with its customers to share benefits or risks in the brokerage business.

Article 26 The following units and individuals shall not engage in futures trading, and futures companies shall not accept their entrustment to conduct futures trading for them:

(I) state organs and institutions;

(II) the staff of the futures regulatory institution of the State Council, the futures exchange, the supervision and control institution for the safe deposit of futures margin and the futures industry association;

Those who are prohibited from entering the (III) securities and futures markets;

(IV) units and individuals that fail to provide proof of account opening;

Other units and individuals that are not allowed to engage in futures trading in (V) with the provisions of the futures regulatory authority under the State Council.

Article 27 A customer may issue trading orders to a futures company in writing, by telephone, on the Internet or by other means prescribed by the futures regulatory authority under the State Council. The customer's trading instructions should be clear and comprehensive.

A futures company shall not conceal important matters or use other improper means to induce customers to issue trading orders.

Article 28 The futures exchange shall promptly announce the trading volume, trading price, open position, highest and lowest prices, opening and closing prices and other real-time market conditions that should be announced, and ensure that the real-time market conditions are true and accurate. A futures exchange may not publish price forecast information.

Without the permission of the futures exchange, no unit or individual may publish the real-time market of futures trading.

Article 29 The margin system shall be strictly implemented in futures trading. The margin charged by a futures exchange to its members and futures companies to its customers shall not be lower than the standards set by the futures regulatory authority under the State Council and the futures exchange, and shall be deposited in a special account separately from its own funds.

The margin collected by the futures exchange from the member belongs to the member and is strictly prohibited from being used for other purposes except for the settlement of the member's transactions.

The margin collected by the futures company from the customer belongs to the customer and is strictly prohibited from being used for other purposes except in the following transferable circumstances:

(I) disburse available funds at the request of the Client;

(II) deposit deposits for customers, pay fees and taxes;

(III) other circumstances as prescribed by the futures regulatory authority of the State Council.

Article 30 A futures company shall open a separate special account and set up a trading code for each customer, and shall not trade in mixed codes.

Article 31 Where a futures company operates futures brokerage business and other futures business at the same time, it shall strictly implement the system of business separation and capital separation, and shall not mix operations.

Article 32 Futures Exchange members and customers may use standard warehouse receipts, government bonds and other securities with stable value and strong liquidity to offset margin for futures trading. The types of securities, the calculation method of value and the proportion of margin, etc., shall be prescribed by the futures regulatory authority of the State Council.

Article 33 The qualifications of banking financial institutions to engage in futures margin depository and futures settlement business shall be approved by the futures regulatory authority under the State Council after being reviewed and approved by the banking regulatory authority under the State Council.

Article 34 Clearing members of futures exchanges, futures companies and non-futures companies shall withdraw, manage and use risk reserves in accordance with the provisions of the futures regulatory authority under the State Council and the financial department, and shall not misappropriate them.

Article 35 The charging items, charging standards and management measures for futures trading shall be uniformly formulated and promulgated by the relevant competent departments of the State Council.

Article 36 Futures trading shall adopt the open centralized trading method or other methods approved by the futures regulatory authority under the State Council.

Article 37 The settlement of futures transactions shall be uniformly organized by the futures exchange.

Futures exchanges implement a same-day debt-free settlement system. The futures exchange shall promptly notify the members of the settlement results on the same day.

The futures company shall settle the customer according to the settlement results of the futures exchange, and shall notify the customer of the settlement results in a timely manner in accordance with the manner agreed with the customer. Customers should promptly inquire and properly handle their trading positions.

Article 38 When the margin of a futures exchange member is insufficient, it shall promptly add margin or close out its position on its own. If a member fails to make a margin call or close out his position within the time specified by the futures exchange, the futures exchange shall forcibly close out the member's contract, and the costs and losses incurred shall be borne by the member.

When the customer's margin is insufficient, the customer shall promptly make a margin call or close the position on his own. If the customer fails to make a margin call or close the position on its own within the time specified by the futures company, the futures company shall force the closing of the customer's contract, and the relevant expenses and losses incurred shall be borne by the customer.

Article 39 The delivery of futures transactions shall be uniformly organized by the futures exchange.

The delivery warehouse is designated by the futures exchange. The futures exchange shall not limit the total amount of physical delivery and shall enter into an agreement with the delivery warehouse to clarify the rights and obligations of both parties. The delivery warehouse shall not have the following acts:

(I) issue false warehouse receipts;

(II) violate the business rules of the futures exchange and restrict the entry and exit of delivered commodities;

(III) divulge trade secrets related to futures trading;

(IV) participating in futures trading in violation of the relevant provisions of the State;

(V) other acts prescribed by the futures regulatory authority of the State Council.

Article 40 If a member defaults in futures trading, the futures exchange shall first bear the liability for breach of contract with the member's margin; if the margin is insufficient, the futures exchange shall bear the liability for breach of contract on behalf of the risk reserve and its own funds, and thus obtain the corresponding right of recovery against the member.

If a customer defaults in futures trading, the futures company shall first bear the liability for breach of contract with the customer's margin; if the margin is insufficient, the futures company shall bear the liability for breach of contract on behalf of the risk reserve and its own funds, and thus obtain the corresponding right of recovery against the customer.

Article 41 A futures exchange that implements a hierarchical settlement system for members shall collect settlement guarantees from settlement members. The futures exchange only settles, collects and collects margin for settlement members, and assumes liability for breach of contract on behalf of settlement guarantee funds, risk reserves, and self-owned funds, and takes other related measures; settlement, collection and collection of margin for non-settlement members, Liability for breach of contract on behalf of, and other related measures shall be implemented by clearing members.

Article 42 The clearing members of futures exchanges, futures companies and non-futures companies shall ensure the integrity and security of futures trading, settlement and delivery information.

Article 43 No unit or individual may fabricate or disseminate false information about futures trading, and may not maliciously collude, jointly buy or sell or manipulate futures trading prices in other ways.

Article 44 No unit or individual may illegally use credit funds or financial funds for futures trading.

The qualifications of banking financial institutions to engage in futures trading financing or guarantee business shall be approved by the banking regulatory authority under the State Council.

Article 45 State-owned and state-controlled enterprises conducting domestic and foreign futures transactions shall follow the principle of hedging and strictly abide by the relevant provisions of the State-owned Assets Supervision and Administration Agency of the State Council and other relevant departments on enterprises entering the futures market with state-owned assets.

Article 46 The competent department of commerce under the State Council shall approve the varieties of overseas commodity futures trading by domestic units or individuals.

Foreign exchange purchases, foreign exchange settlement and foreign exchange receipts and payments under overseas futures shall comply with the relevant provisions of the State on foreign exchange management.

The measures for domestic units or individuals to engage in overseas futures trading shall be formulated by the futures regulatory agency of the State Council in conjunction with the competent department of commerce under the State Council, the state-owned assets supervision and administration agency, the banking regulatory agency, the foreign exchange administration department and other relevant departments under the State Council, and shall be implemented after being approved by the State Council.

Chapter V Futures Industry Association

Article 47 The Futures Industry Association is a self-regulatory organization of the futures industry and a legal person of a social organization.

Futures companies and other institutions specializing in futures business shall join the futures industry association and pay membership fees.

Article 48 The authority of the Association of the Futures Industry shall be a general meeting of all its members.

The articles of association of the futures industry association shall be formulated by the general meeting of its members and submitted to the futures regulatory authority under the State Council for the record.

The Futures Industry Association has a Council. The members of the Council shall be elected in accordance with the provisions of the Constitution.

Article 49 The association of the futures industry shall perform the following duties:

(I) educate and organize members to comply with futures laws, regulations and policies;

(II) formulate industry self-discipline rules that members should abide by, supervise and inspect the behavior of members, and impose disciplinary sanctions on those who violate the association's articles of association and self-discipline rules in accordance with regulations;

(III) be responsible for the identification, management and revocation of the qualifications of futures practitioners;

(IV) accept customer complaints related to the futures business, and mediate disputes between members and between members and customers;

(V) safeguard the legitimate rights and interests of members in accordance with the law, and reflect the suggestions and requirements of members to the futures regulatory authority under the State Council;

(VI) organize business training for futures practitioners and carry out business exchanges among members;

(VII) organize members to conduct research on the development, operation and relevant contents of the futures industry;

(VIII) other duties specified in the articles of association of the futures industry.

The business activities of the futures industry association shall be subject to the guidance and supervision of the futures regulatory authority under the State Council.

Chapter VI Supervision and Administration

Article 50 The futures regulatory authority under the State Council shall exercise supervision and administration of the futures market and perform the following duties in accordance with the law:

(I) formulate rules and regulations concerning the supervision and administration of the futures market, and exercise the power of examination and approval in accordance with the law;

(II) supervise and manage the listing, trading, settlement, delivery and other futures trading and related activities of the variety;

(III) supervise and manage the futures business activities of market participants such as futures exchanges, futures companies and other futures operating institutions, non-futures company clearing members, futures margin security depository monitoring institutions, futures margin depository banks, delivery warehouses, etc;

(IV) formulate the qualification standards and management methods for futures practitioners and supervise their implementation;

(V) supervision and inspection of the disclosure of information on futures trading;

(VI) guide and supervise the activities of the association;

(VII) investigate and deal with violations of laws and administrative regulations on the supervision and management of the futures market;

(VIII) carry out international exchange and cooperation activities related to the supervision and administration of the futures market;

(IX) other duties prescribed by laws and administrative regulations.

Article 51 The futures regulatory authority under the State Council may take the following measures to perform its duties according to law:

(I) on-site inspections of futures exchanges, futures companies and other futures operating institutions, non-futures company clearing members, futures margin security depository monitoring institutions and delivery warehouses;

(II) entering the place where the suspected illegal act occurred to investigate and collect evidence;

(III) ask the parties concerned and the units and individuals related to the incident under investigation and require them to explain the matters related to the incident under investigation;

(IV) consult and copy the registration of property rights and other materials related to the incident under investigation;

(V) access to and copy the futures trading records, financial and accounting information and other relevant documents and information of the parties and units and individuals related to the event under investigation; documents and information that may be transferred, concealed or destroyed may be sealed;

(VI) inquiries into the margin accounts and bank accounts of units related to the incident under investigation;

When investigating major futures violations such as manipulation of futures trading prices and insider trading, the (VII) may, with the approval of the principal responsible person of the futures regulatory authority under the State Council, restrict the futures trading of the parties under investigation, but the time limit shall not exceed 15 trading days; if the case is complex, it may be extended to 30 trading days;

(VIII) other measures prescribed by laws and administrative regulations.

Article 52 Futures exchanges, futures companies and other futures operating institutions and futures margin safety deposit monitoring institutions shall submit financial accounting reports, business information and other relevant information to the futures regulatory authority under the State Council.

The futures regulatory authority under the State Council shall designate a person to examine the annual reports submitted by futures companies and other futures trading institutions and prepare an examination report. The auditor shall sign the audit report. If problems are found in the audit, the futures regulatory authority under the State Council shall take corresponding measures in a timely manner.

When necessary, the futures regulatory authority under the State Council may require non-futures company clearing members, delivery warehouses, and futures company shareholders, actual controllers or other related persons to submit relevant information.

Article 53 When the futures regulatory agency of the State Council performs its duties in accordance with the law and conducts supervision, inspection or investigation, the units and individuals under inspection or investigation shall cooperate, provide relevant documents and materials truthfully, and shall not refuse, hinder or conceal; other relevant departments and The unit shall provide support and cooperation.

Article 54 The State establishes a futures investor guarantee fund in accordance with the needs of the development of the futures market.

The specific measures for the raising, management and use of the futures investor protection fund shall be formulated by the futures regulatory agency of the State Council in conjunction with the financial department of the State Council.

Article 55 The futures regulatory authority under the State Council shall establish and improve the monitoring system for the safe deposit of margin and establish a monitoring institution for the safe deposit of futures margin.

Customers and futures exchanges, futures companies and other futures operating institutions, non-futures company clearing members and futures margin depository banks shall comply with the provisions of the futures regulatory authority under the State Council on the monitoring of margin security depository.

Article 56 The futures margin safety depository and monitoring institution shall monitor the safety of the margin in accordance with the relevant provisions, conduct daily audits, and immediately report the problems to the futures regulatory institution of the State Council. The futures regulatory authority of the State Council shall, in light of different circumstances and in accordance with the relevant provisions of these Regulations, handle the matter in a timely manner.

Article 57 The futures regulatory authority under the State Council shall implement a qualification management system for the directors, supervisors, senior managers and other futures practitioners of futures exchanges, futures companies and other futures trading institutions and futures margin safety deposit monitoring institutions.

Article 58 The futures regulatory authority under the State Council shall formulate rules for the continuous operation of futures companies, and stipulate the ratio of net capital to net assets of futures companies, the ratio of net capital to the scale of domestic futures brokerage, overseas futures brokerage and other businesses, and the ratio of current assets to current liabilities and other risk regulatory indicators; put forward requirements on the operating conditions, risk management, internal control, margin depository and related transactions of futures companies and their branches.

Article 59 if a futures company and its branches do not comply with the rules of continuous operation or there are operational risks, the futures regulatory authority under the State Council may take regulatory measures such as talking, prompting and recording credit records against the futures company and its directors, supervisors and senior managers, or order the futures company to make rectification within a time limit, and inspect and accept the rectification situation.

If a futures company fails to make corrections within the time limit, its behavior seriously endangers the stable operation of the futures company, damages the legitimate rights and interests of customers, or is suspected of serious violations of laws and regulations and is under investigation by the futures regulatory agency of the State Council, the futures regulatory agency of the State Council may take the following measures according to the circumstances:

(I) restricting or suspending part of the futures business;

(II) ceases to approve new businesses or branches;

(III) restrictions on the distribution of dividends, the payment of remuneration and the provision of benefits to directors, supervisors and senior management;

(IV) restrict the transfer of property or the creation of other rights in property;

(V) order the replacement of directors, supervisors, senior managers or responsible personnel of relevant business departments and branches, or restrict their rights;

(VI) restrict the allocation and use of the futures company's own funds or risk reserves;

The (VII) shall order the controlling shareholders to transfer their shares or restrict the relevant shareholders from exercising their rights as shareholders.

For futures companies that have been rectified to meet the requirements of relevant laws, administrative regulations and continuous operation rules, the futures regulatory authority of the State Council shall lift the relevant measures taken against them within 3 days from the date of completion of acceptance.

For futures companies that have not met the requirements of the sustainable operation rules after rectification and seriously affected their normal operations, the futures regulatory authority under the State Council has the right to revoke part or all of their futures business licenses and close their branches.

Article 60 If a futures company operates illegally or has major risks, seriously endangering the order of the futures market and harming the interests of customers, the futures regulatory authority under the State Council may take regulatory measures such as ordering the futures company to suspend business for rectification, appointing other institutions to take custody or take over. With the approval of the futures regulatory authority of the State Council, the following measures may be taken against the directors, supervisors, senior managers and other persons directly responsible for the futures company:

(I) notify the exit administration to prevent them from leaving the country in accordance with the law;

(II) apply to the judicial authorities to prohibit them from transferring, transferring or otherwise disposing of their property, or to create other rights in their property.

Article 61 If a shareholder of a futures company makes false capital contributions or evades capital contributions, the futures regulatory authority under the State Council shall order him to make corrections within a time limit and may order him to transfer his equity interest in the futures company.

The futures regulatory authority under the State Council may restrict the rights of shareholders before the shareholders correct their illegal acts and transfer their shares in the futures company in accordance with the requirements of the preceding paragraph.

Article 62 When an abnormal situation occurs in the futures market, the futures regulatory authority under the State Council may take necessary risk disposal measures.

Article 63 The trading software and settlement software of a futures company shall meet the requirements of the prudent operation and risk management of the futures company and the provisions of the futures regulatory authority under the State Council on the monitoring of the safe deposit of margin. If the trading software and settlement software of a futures company do not meet the requirements, the futures regulatory authority under the State Council shall have the right to require the futures company to improve or replace it.

The futures regulatory authority under the State Council may require suppliers of trading software and settlement software of futures companies to provide relevant information about the software, and the suppliers shall cooperate. The futures regulatory authority of the State Council shall have the obligation to keep confidential the relevant information provided by the supplier.

Article 64 When a futures company is involved in major litigation, arbitration, or the shares are frozen or used as security, and other major events occur, the futures company and its relevant shareholders and actual controllers shall submit a written report to the futures regulatory authority under the State Council within 5 days from the date of the event.

Article 65 when providing relevant services to relevant market participants such as futures exchanges and futures companies, accounting firms, law firms, asset appraisal institutions and other intermediary service institutions shall abide by futures laws, administrative regulations and relevant provisions of the state, and provide relevant materials in accordance with the requirements of the futures regulatory authority under the State Council.

Article 66 The futures regulatory authority under the State Council shall establish an information sharing and coordination mechanism for supervision and management with relevant departments.

The futures regulatory authority of the State Council may establish a supervision and management cooperation mechanism with the futures regulatory authorities of other countries or regions to implement cross-border supervision and management.

Article 67 The staff of the futures regulatory agency of the State Council, the futures exchange, the futures margin safety depository monitoring agency, the futures margin depository bank and other relevant units shall be loyal to their duties, act in accordance with the law, be fair and honest, and keep state secrets and relevant parties. The commercial secrets of the parties shall not take advantage of their positions to seek improper benefits.

Chapter VII Legal Liability

Article 68 If a clearing member of a futures exchange or a non-futures company commits any of the following acts, he shall be ordered to make corrections, given a warning and confiscate his illegal income:

(I) accepting members in violation of regulations;

(II) charging handling fees in violation of regulations;

(III) use and distribute the proceeds in violation of regulations;

The (IV) does not publish the real-time market or price forecast information in accordance with the regulations;

The (V) fails to perform its reporting obligations to the futures regulatory authority under the State Council in accordance with the provisions;

The (VI) does not submit the relevant documents and materials to the futures regulatory authority of the State Council in accordance with the provisions;

The (VII) does not establish and improve the settlement guarantee system in accordance with the provisions;

The (VIII) does not draw, manage and use the risk reserve in accordance with the provisions;

(IX) violation of the provisions of the futures regulatory agency of the State Council on the monitoring of the safe deposit of margin;

(X) limit the total amount of physical delivery of members;

(11) appointing unqualified futures practitioners;

(12) Other acts in violation of the provisions of the futures regulatory authority under the State Council.

If one of the acts listed in the preceding paragraph is committed, the directly responsible person in charge and other directly responsible persons shall be given disciplinary sanctions and fined between 10000 yuan and 100000 yuan.

Those who commit any of the acts listed in Item (II) of the first paragraph of this Article shall be ordered to refund the overcharged handling fees.

If the futures margin safety deposit monitoring institution commits any of the acts listed in items (V), (VI), (IX), (11) and (12) of the first paragraph of this article, it shall be punished and punished in accordance with the provisions of paragraphs 1 and 2 of this article. If a futures margin depository bank commits any of the acts listed in Item (IX) and (12) of the first paragraph of this article, it shall be punished and punished in accordance with the provisions of the first and second paragraphs of this article.

Article 69: If a clearing member of a futures exchange or a non-futures company commits any of the following acts, it shall be ordered to make corrections, given a warning, confiscated the illegal income, and imposed a fine of 1 to 5 times the illegal income; there is no illegal income or the illegal income is less than 100000 yuan, and a fine of 100000 yuan to 500000 yuan shall be imposed; if the circumstances are serious, it shall be ordered to suspend business for rectification:

(I) handling the matters listed in Article 13 of these Regulations without approval;

The (II) allows the member to conduct futures trading under the condition of insufficient margin;

(III) directly or indirectly participate in futures trading, or engage in business unrelated to its duties in violation of regulations;

(IV) collecting security deposits in violation of regulations, or misappropriating security deposits;

(V) forges, alters or does not keep information on futures trading, settlement or delivery in accordance with the provisions;

The (VI) has not established or implemented the system of non-liability settlement, price limit, position limit and large position reporting on the same day;

(VII) refuses or obstructs the supervision and inspection by the futures regulatory institution of the State Council;

(VIII) other acts that violate the provisions of the futures regulatory authority of the State Council.

If one of the acts listed in the preceding paragraph is committed, the directly responsible person in charge and other directly responsible persons shall be given disciplinary sanctions and fined between 10000 yuan and 100000 yuan.

If the futures margin safety deposit monitoring institution commits any of the acts listed in items (III), (VII) and (VIII) of the first paragraph of this article, it shall be punished and punished in accordance with the provisions of paragraphs 1 and 2 of this article.

Article 70 if a futures company commits any of the following acts, it shall be ordered to make corrections, given a warning, confiscate its illegal income, and impose a fine of not less than 1 time but not more than 3 times the illegal income; if there is no illegal income or the illegal income is less than 100000 yuan, it shall also be fined not less than 100000 yuan but not more than 300000 yuan; if the circumstances are serious, it shall be ordered to suspend business for rectification or revoke its futures business license:

(I) accepting the entrustment of a unit or individual that does not meet the prescribed conditions;

The (II) allows the client to conduct futures trading under the condition of insufficient margin;

(III) handling the matters listed in Articles 19 and 20 of these Regulations without approval;

(IV) engaging in activities unrelated to the futures business in violation of regulations;

(V) or disguised to engage in self-operated futures business;

The (VI) provides financing for its shareholders, actual controllers or other related persons, or provides external guarantees;

(VII) violation of the provisions of the futures regulatory agency of the State Council on the monitoring of the safe deposit of margin;

The (VIII) fails to perform its reporting obligations or submit relevant documents and materials to the futures regulatory authority of the State Council in accordance with the provisions;

The (IX) trading software and settlement software do not meet the requirements of the prudent operation and risk management of the futures company and the requirements of the futures regulatory agency of the State Council on the monitoring of the safe deposit of margin;

The (X) does not draw, manage and use the risk reserve in accordance with the provisions;

(xi) Forging, altering or not keeping information on futures trading, settlement or delivery in accordance with regulations;

(12) appointing unqualified futures practitioners;

(13) Forging, altering, leasing, lending, trading or trading of futures business licenses or business licenses;

(14) conducting mixed-code transactions;

(15) Refusing or obstructing the supervision and inspection of the futures regulatory institution of the State Council;

(16) Other acts in violation of the provisions of the futures regulatory authority under the State Council.

If a futures company commits one of the acts listed in the preceding paragraph, the person in charge and other persons directly responsible shall be given a warning and imposed a fine of not less than 10000 yuan but not more than 50000 yuan; if the circumstances are serious, the qualifications for holding posts and the qualifications of futures practitioners shall be suspended or revoked.

If a futures business institution other than a futures company commits any of the acts listed in Item (VIII), Item (12), Item (13), Item (15) and Item (16) of the first paragraph of this article, it shall be punished in accordance with the provisions of the first and second paragraphs of this article.

If a shareholder, actual controller or other related person of a futures company entrusts or accepts the entrustment of others to hold or manage the equity of the futures company without approval, refuses to cooperate with the inspection of the futures regulatory authority under the State Council, refuses to perform reporting obligations and provide relevant information and materials in accordance with regulations, or the information and materials submitted or provided contain false records, misleading statements or major omissions, Penalties in accordance with the provisions of paragraphs 1 and 2 of this article.

Article 71 If a futures company commits one of the following acts of defrauding customers, it shall be ordered to make corrections, given a warning, confiscate the illegal income, and impose a fine of 1 to 5 times the illegal income; if there is no illegal income or the illegal income is less than 100000 yuan, A fine of not less than 100000 yuan and not more than 500000 yuan shall be imposed; if the circumstances are serious, it shall be ordered to suspend business for rectification or revoke the futures business license:

(I) make a profit guarantee to the customer or fail to show the risk statement to the customer in accordance with the regulations;

The (II) agrees with the client to share the benefits and risks in the brokerage business;

The (III) does not accept the client's entrustment in accordance with the provisions or conducts futures trading without authorization in accordance with the contents of the client's entrustment;

(IV) concealing important matters or using other improper means to induce customers to issue trading orders;

(V) providing false transaction returns to customers;

The (VI) fails to place the customer's trading order to the futures exchange;

(VII) misappropriating the client's deposit;

The (VIII) does not open a margin account with the futures margin depository bank in accordance with the regulations, or transfers the customer's margin in violation of the regulations;

(IX) other acts of defrauding clients as prescribed by the futures regulatory authority of the State Council.

If a futures company commits one of the acts listed in the preceding paragraph, the person in charge and other persons directly responsible shall be given a warning and imposed a fine of not less than 10000 yuan but not more than 100000 yuan; if the circumstances are serious, the qualifications for holding posts and the qualifications of futures practitioners shall be suspended or revoked.

Any unit or individual who fabricates and disseminates false information about futures trading to disrupt the futures trading market shall be punished in accordance with the provisions of the first and second paragraphs of this article.

Article 72 Where a futures company and other futures operating institutions, non-futures company clearing members or futures margin depository banks provide false application documents or take other fraudulent means to conceal important facts to obtain a futures business license, their futures business license shall be revoked and the illegal income shall be confiscated.

Article 73 If an insider of the inside information of futures trading or a person who illegally obtains the inside information of futures trading uses the inside information to engage in futures trading before the information that has a significant impact on the futures trading price is made public, or divulges the inside information to others, so that others use the inside information to conduct futures trading, the illegal income shall be confiscated and a fine of not less than 1 time but not more than 5 times the illegal income shall be imposed; if there is no illegal income or the illegal income is less than 100000 yuan, a fine of 100000 yuan to 500000 yuan shall be imposed. If a unit engages in insider trading, it shall also give a warning to the directly responsible person in charge and other directly responsible persons, and impose a fine of 30000 yuan to 300000 yuan.

Staff members of the futures regulatory agency of the State Council, the futures exchange and the futures margin security depository monitoring agency who engage in insider trading shall be severely punished.

Article 74: Any unit or individual who manipulates the futures trading price in one of the following acts shall be ordered to make corrections, the illegal income shall be confiscated, and a fine of 1 to 5 times the illegal income shall be imposed; there is no illegal income or the illegal income is less than 200000 yuan., A fine of 200000 yuan up to 1 million yuan:

(I) that, alone or in collusion, concentrate capital advantage, position advantage or take advantage of information advantage to jointly or continuously buy and sell contracts to manipulate futures trading prices;

(II) deliberately collude with each other to conduct futures trading at the time, price and manner agreed in advance, affecting the futures trading price or futures trading volume;

The (III) uses itself as the trading object, buys and sells itself, and affects the futures trading price or futures trading volume;

(IV) hoarding in stock to influence the futures market;

(V) other acts of manipulating futures trading prices as prescribed by the futures regulatory authority of the State Council.

If a unit commits one of the acts listed in the preceding paragraph, the person in charge and other persons directly responsible shall be given a warning and fined between 10000 yuan and 100000 yuan.

Article 75 if a delivery warehouse commits one of the acts listed in paragraph 2 of Article 39 of these regulations, it shall be ordered to make corrections, given a warning, confiscate the illegal income, and impose a fine of not less than 1 time but not more than 5 times the illegal income; if there is no illegal income or the illegal income is less than 100000 yuan, a fine of not less than 100000 yuan but not more than 500000 yuan shall be imposed; if the circumstances are serious, The futures exchange shall be ordered to suspend or cancel its delivery warehouse. The person in charge and other persons directly responsible shall be given a warning and imposed a fine of not less than 10000 yuan but not more than 100000 yuan.

Article 76: State-owned and state-controlled enterprises that violate these regulations and the relevant regulations of the State-owned Assets Supervision and Administration Agency of the State Council and other relevant departments on enterprises entering the futures market with state-owned assets to conduct futures transactions, or units or individuals illegally use credit funds and financial funds to conduct futures transactions, shall be given a warning, confiscated illegal income, and imposed a fine of 1 to 5 times the illegal income; no illegal income or illegal income less than 100000 yuan, and impose a fine of 100000 yuan to 500000 yuan. The directly responsible supervisors and other directly responsible personnel shall be given disciplinary sanctions of demotion up to dismissal.

Article 77 if a domestic unit or individual engages in overseas futures trading in violation of the regulations, it shall be ordered to make corrections, given a warning, confiscate the illegal income, and impose a fine of not less than 1 time but not more than 5 times the illegal income; if there is no illegal income or the illegal income is less than 200000 yuan, a fine of not less than 200000 yuan but not more than 1 million yuan shall be imposed; if the circumstances are serious, its overseas futures trading shall be suspended. The person in charge and other persons directly responsible shall be given a warning and imposed a fine of not less than 10000 yuan but not more than 100000 yuan.

Article 78 Any unit or individual who illegally establishes or disguised establishes futures exchanges, futures companies and other futures business institutions, or engages in futures business without authorization, or organizes disguised futures trading activities, shall be banned, the illegal income shall be confiscated, and the illegal income shall be imposed. A fine of 1 to 5 times the income; if there is no illegal income or the illegal income is less than 200000 yuan, a fine of 200000 yuan to 1 million yuan shall be imposed. The person in charge and other persons directly responsible shall be given a warning and imposed a fine of not less than 10000 yuan but not more than 100000 yuan.

Article 79 If the trading software and settlement software suppliers of futures companies refuse to cooperate with the investigation of the futures regulatory authority under the State Council, or fail to provide relevant software materials to the futures regulatory authority under the State Council in accordance with the provisions, or if the software materials provided are false or major omissions, they shall be ordered to make corrections and be fined not less than 30000 yuan but not more than 100000 yuan. The person in charge and other persons directly responsible shall be given a warning and imposed a fine of not less than 10000 yuan but not more than 50000 yuan.

Article 80: If accounting firms, law firms, asset appraisal agencies and other intermediary service agencies fail to perform their duties diligently, and the documents issued by them contain false records, misleading statements or major omissions, they shall be ordered to make corrections, business income shall be confiscated, and relevant business shall be suspended or revoked. License, and impose a fine of 1 to 5 times the business income. The person in charge and other persons directly responsible shall be given a warning and imposed a fine of not less than 30000 yuan but not more than 100000 yuan.

Article 81 If any unit or individual violates the provisions of these regulations and the circumstances are serious, the futures regulatory authority under the State Council shall declare that the individual, the unit or the directly responsible personnel of the unit are prohibited from entering the futures market.

Article 82 The staff of the futures regulatory agency of the State Council, the futures exchange, the futures margin security depository monitoring agency, the futures margin depository bank and other relevant units divulge the state secrets or the trade secrets of members or customers that they know, or engage in malpractices for personal gain, Dereliction of duty, abuse of power, or acceptance of bribes shall be given administrative or disciplinary sanctions according to law.

Article 83 Anyone who violates the provisions of these Regulations and constitutes a crime shall be investigated for criminal responsibility according to law.

Article 84 The administrative penalties for illegal acts specified in these Regulations shall be decided by the futures regulatory agency of the State Council; where the statutory powers of other relevant departments are involved, the futures regulatory agency of the State Council shall handle it in conjunction with other relevant departments; where it belongs to the statutory powers of other relevant departments, The futures regulatory agency of the State Council shall transfer it to other relevant departments for handling.

Chapter VIII Supplementary Provisions

Article 85 The meanings of the following terms in these Regulations:

A (I) futures contract is a standardized contract formulated by a futures exchange that provides for the delivery of a certain number of subject matter at a specific time and place in the future. Depending on the subject matter of the contract, futures contracts are divided into commodity futures contracts and financial futures contracts. The subject matter of commodity futures contracts includes agricultural products, industrial products, energy and other commodities and their related index products; the subject matter of financial futures contracts includes securities, interest rates, exchange rates and other financial products and their related index products.

A (II) option contract is a standardized contract formulated by a futures exchange that provides the buyer with the right to buy or sell the agreed subject matter (including futures contracts) at a specific price at a certain time in the future.

(III) margin refers to the funds paid by futures traders in accordance with the prescribed standards for settlement and performance.

(IV) settlement refers to the liquidation and transfer of funds based on the settlement price announced by the futures exchange to the trading profit and loss status of both parties.

(V) delivery refers to the process of closing open positions at the expiration of a contract through the transfer of ownership of the subject matter contained in the contract or the settlement of cash differences at the prescribed settlement price in accordance with the rules and procedures of the futures exchange.

The closing of a (VI) position is the act of a futures trader buying or selling a contract of the same variety, quantity and delivery month as the contract he holds, but in the opposite direction of trading, to close a futures transaction.

(VII) positions are the number of open contracts held by futures traders.

A (VIII) position limit is the maximum amount set by a futures exchange for a futures trader's position.

A (IX) warehouse receipt is a standardized delivery certificate issued by a delivery warehouse and recognized by a futures exchange.

The (X) price limit means that the trading price of the contract in 1 trading day shall not be higher or lower than the prescribed range of rise or fall, and the quotation exceeding the range of rise or fall will be regarded as invalid and cannot be traded.

(11) Inside information refers to the undisclosed information that may have a significant impact on the futures trading price, including: the policies formulated by the futures regulatory authority of the State Council and other relevant departments that may have a significant impact on the futures trading price, and the decisions made by the futures exchange that may have a significant impact on the futures trading price, the funds and trading trends of futures exchange members and customers, as well as other important information determined by the futures regulatory authority of the State Council to have a significant impact on the futures trading price.

(xii) Persons with knowledge of insider information are persons who, by virtue of their management, supervisory or professional status, or who perform their duties as employees or professional advisers, have access to or access to insider information, including: managers of futures exchanges and other practitioners who have access to insider information as a result of their positions, the staff of the futures regulatory institution of the State Council and other relevant departments and other personnel prescribed by the futures regulatory institution of the State Council.

Article 86 The futures regulatory authority under the State Council may approve the establishment of a special futures settlement institution to perform the settlement and related duties of the futures exchange and assume corresponding legal responsibilities.

Article 87 The administrative measures for the establishment, acquisition or equity participation of futures business institutions by overseas institutions in China, and the establishment of branches (including representative offices) by overseas futures business institutions in China shall be formulated by the futures regulatory agency of the State Council in conjunction with the competent department of commerce and foreign exchange management under the State Council. The relevant departments such as the administrative department shall be implemented after being approved by the State Council.

Article 88 Futures trading in trading venues other than futures exchanges approved by the futures regulatory authority of the State Council shall be carried out in accordance with the relevant provisions of these Regulations.

Article 89 Any institution or market that, without the approval of the futures regulatory authority under the State Council, conducts standardized contract trading by means of centralized trading, and at the same time adopts the following trading mechanism or has one of the following characteristics of the trading mechanism, is a disguised futures trading:

(I) providing performance guarantees to all buyers and sellers participating in the centralized transaction;

The (II) implements a debt-free settlement system and a margin system on the same day, and the margin collection ratio is less than 20% of the contract (or contract) subject matter.

Institutions or markets that adopt the trading mechanism prescribed in the preceding paragraph or have one of the characteristics of the trading mechanism prescribed in the preceding paragraph before the implementation of these regulations shall make rectification within the time limit prescribed by the competent department of commerce under the State Council.

Article 90 Other trading activities of commodities or financial products that do not belong to futures trading shall be supervised and managed by the relevant departments of the State, and these Regulations shall not apply.

Article 91 These Regulations shall enter into force on April 15, 2007. The Interim Regulations on the Administration of Futures Trading promulgated by the State Council on June 2, 1999 shall be repealed simultaneously.