Regulations Governing the Public Offering of Securities Investment Trust Funds by Securities Investment Trust Enterprises Article 32

If a fund distributor that conducts fund distribution business violates these Regulations or relevant self-regulatory rules, in addition to handling the violation in accordance with relevant laws and regulations, the FSC may also suspend it from conducting fund distribution business for a period of 6 months.If a SITE discovers that a fund distributor's conduct of fund distribution business violates any law or regulation or oversteps its scope of authorization, the SITE shall immediately supervise and compel the fund distributor to make corrections, and shall immediately notify the FSC.If investor rights or interest are damaged through any intentional or negligent conduct or violation of the distribution agreement or a law or regulation by a fund distributor or any of its directors, supervisors, managerial officers, or employees, the fund distributor shall be liable for damages.