China Securities Regulatory Commission, Compilation Rules for Information Disclosures by Companies That Offer Securities to the Public (No. 8): Contents and Format of the Annual Reports of Securities Companies Special Provisions

Issued: December 21 2000
Effective: as of date of issue
Interpreting authority: China Securities Regulatory Commission (CSRC)
Applicability: These Provisions apply to securities companies that issue shares to the public (Article 1).

Main contents: According to the Provisions, in addition to the requirements generally applicable to the annual reports of public share issuing companies, securities companies shall comply with certain special requirements (Article 2). These requirements include disclosure of securities business information such as funds in trust, income from commissions, income from dealings in securities on their own accounts and the volume of their securities trade (Articles 3 and 4). Securities companies shall engage international accounting firms specially licensed by CSRC and the Ministry of Finance to audit their supplemental financial information prepared on the basis of internationally accepted accounting and disclosure principles (Article 5). They shall also provide explanations as to the integrity, rationality and effectiveness of their internal control systems (Article 6).
Related legislation: PRC, Company Law (Revised), Dec 25 1999, CLP 2000 No.1 p4; PRC, Securities Law, Dec 29 1998, CLP 1999 No.1 p25 and Compilation Rules for Information Disclosures by Companies That Offer Securities to the Public No.6: Notes Appended to Securities CompaniesFinancial Statements Special Provisions, Nov 2 2000, CLP 2000 No.10 p6