Article 1 The Detailed Operating Rules for Settlement of Transaction Capitals (hereinafter referred to as the Operating Rules) were promulgated based on the Operating Rules for Transactions of Enterprises’ State-owned Property Rights in order to standardize the settlement of transaction capitals for transfer of enterprises’ state-owned property rights.

Article 2 The transaction capitals as specified in the Operating Rules include transaction deposits and property rights transaction prices. The transaction deposits are currencies paid by the interested transferees to the transaction agencies in line with the provisions of the Notice on Transfer of Property Rights to ensure that the interested transferees could abide by the transaction rules and perform their commitments. The property rights transaction prices are currencies paid by the transferees to the transaction agencies in accordance with the provisions of the Notice on Transfer of Property Rights for purchase of transfer objects.

Article 3 The transaction agencies shall adopt uniform settlement system of transaction capitals, open separate settlement accounts, organize collection and payment of property rights transaction capitals. The transaction agencies shall ensure the safety of transaction capitals in the settlement accounts and shall not embezzle capitals for other purposes. If both parties of the transactions are belonging to the same controller, the transaction capitals can be settled outside the transaction agencies after verification of the transaction agencies.

Article 4 After signing of the Contracts for Transfer of Property Rights of both sides, the transaction deposits paid by the transferees shall be changed into prices for transactions of the property rights in line with related terms and conditions. The transaction agencies shall transfer the deposits from the special account for deposits to the property rights transaction settlement accounts. The transaction agencies shall refund the deposits paid by other interested transferees in full amount within three days upon the confirmation of the transferees.

Article 5 If the one-time payment method is agreed in the Contracts for Transfer of Property Rights, the property rights transaction prices to be settled shall be the transaction prices. If the installment payment method is agreed in the Contracts for Transfer of Property Rights, the property rights transaction prices to be settled shall be no lower than the first payment.

Article 6 If the installment payment method is agreed in the Contracts for Transfer of Property Rights, both sides can determine the settlement method of remaining part except for the first payment of the property rights transaction prices.

Article 7 The transaction capitals shall be usually settled by reminbi. If foreign currency is used, both sides of the transactions shall submit applications to the transaction agencies ahead of time, and foreign currencies limited by the foreign exchange administration units shall be adopted in the settlement. In case that the transaction prices are settled in foreign currencies, both sides of the transactions shall complete the settlement procedures in accordance with related regulations of the foreign exchange administration units.

Article 8 If the transaction prices are settled in reminbi, following procedures shall be followed:

(1) The transferees shall, within the time limit set in the contracts for transfer of property rights, pay the prices of the transactions to the settlement accounts of the transaction agencies after signing of the contracts for transactions of property rights by both sides. The transaction agencies shall issue the receiving vouchers to the transferees and shall inform he transferees.

(2) After completion of the ownership alteration procedures, the transferors together with the broker members shall handle the procedures for transfer of property rights transaction prices at the transaction agencies with the certificates for alteration of ownership, ID certificates of the handling persons and receiving vouchers. In case that there are other agreements between both sides on transfer of transaction prices, such agreements shall be followed after being reviewed by the transaction agencies.

(3)   The transaction agencies shall complete the transfer of transaction prices within three working days upon the next day on which the transferors request for handling of transaction prices transfer procedures in case that conditions for transfer of transaction prices are met.

(4) Both sides of the transactions shall pay the service fees in accordance with the charging standards of the property rights transaction markets. The transaction agencies shall issue receiving vouchers upon receiving of such service fees.

Article 9 Capitals for property rights transactions shall not be received or paid by the third party other than the transaction agencies.

Article 10      The transaction agencies shall pay for interests of the property rights transaction prices in line with the base interest rate for demand deposits of the People’s Bank of China in the same period. Interests of the property rights transaction prices in the period starting from the next day on which the contracts for transactions of property rights are signed and ending on the effective date of the contracts for transactions of property rights shall be owned by the transferees, and the interests of the property rights transaction prices in the period starting from the next day on which the contracts for transactions of property rights take effects and ending on the day, on which, the transaction prices are transferred from the transaction agencies shall be owned by the transferors.

Article 11       The charging standards of the property rights transactions shall comply with the related rules and regulations of the commodity price departments of the local government, and shall be released publicly at the working venues and information platform of the transaction agencies. Neither of the sides of the transactions could deduce the transaction prices to offset the service fees of the transactions.

Article 12      The Operating Rules will take effects as of the promulgation date.