Article 83 If the fund manager and fund trustee violate any of the provisions hereof or the stipulations of the fund contract in the performance of their respective duties and cause damages to the fund property or the fund share holders, they shall be liable for compensation for their respective acts. Where they cause damages to the fund property or fund share holders through joint acts, they shall be jointly and severally liable for compensation.

Article 84 If any party uses the raised capital in violation of Article 45 hereof, it shall be ordered to return the money and the illegal gains shall be confiscated; if the illegal gains exceed 500,000 Yuan, a fine of 1 time up to 5 times the illegal gains shall be imposed concurrently; if there is no illegal gains or the illegal gains are less than 500,000 Yuan, a fine of 50,000 Yuan up to 500,000 Yuan shall be imposed concurrently; a warning shall be given to the directly responsible personnel in charge and other directly liable personnel and a fine of 30,000 Yuan up to 300,000 Yuan shall be imposed; if any damages are caused to the investors, the offenders shall be liable for compensation according to law; and if any crime has been constituted, the offenders shall be subject to criminal liabilities.

Article 85 If any party raises capital for a fund without ratification of the securities regulatory department under the State Council, it shall be ordered to stop the act and return the fund raised plus the interest thereon at the current rate of bank deposit, the illegal gains shall be confiscated and a fine of 1% up to 5% of the sum raised shall be imposed; and if any crime has been constituted, the offender shall be subject to criminal liabilities.

Article 86 If any party, in violation of the provisions hereof, establishes any fund management company without authorization, the company shall be banned by the securities regulatory department, and a fine of 50,000 Yuan up to 500,000 Yuan shall be imposed concurrently; and if any crime has been constituted, the offender shall be subject to criminal liabilities.

Article 87 If any party engages in fund management or fund trust business without ratification of the securities regulatory department under the State Council, it shall be ordered to stop the act and the illegal gains shall be confiscated; if the illegal gains exceed 1 million Yuan, a fine of 1 time up to 5 times the illegal gains shall be imposed concurrently; if there is no illegal gain or the illegal gains are less than 1 million Yuan, a fine of 100,000 Yuan up to 1 million Yuan shall be imposed concurrently; if any damages are caused to the fund property or the fund share holders, the offender shall be liable for compensation; a warning shall be given to the directly responsible personnel in charge and other directly liable personnel, and a fine of 30,000 Yuan up to 300,000 Yuan shall be imposed concurrently; and if any crime has been constituted, the offenders shall be subject to criminal liabilities.

Article 88 If the fund manager or fund trustee, in violation of the provisions hereof, fails to apply separate management or separate account books to the fund property or appropriate the fund property for other unauthorized purposes, they shall be ordered to correct the act and be imposed on a fine of 50,000 Yuan up to 500,000 Yuan; if any damages are caused to the fund property or fund share holders, they shall be liable for compensation according to law; a warning shall be given to the directly responsible personnel in charge and other directly liable personnel, and their qualification for fund practice shall be suspended or cancelled, and a fine of 30,000 Yuan up to 300,000 Yuan shall be imposed concurrently; if any crime has been constituted, the offenders shall be subject to criminal liabilities.

The property and proceeds obtained by the fund manager and fund trustee through appropriation of the fund property for other unauthorized purposes shall be included into the fund property. However, if there are otherwise provisions in the laws and administrative regulations, such provisions shall be observed.

Article 89 If the fund manager and fund trustee have committed any of the acts specified in Article 20 hereof, they shall be ordered to correct the act and the illegal gains shall be confiscated; if the illegal gains exceed 1 million Yuan, a fine of 1 time up to 5 times the illegal gains shall be imposed concurrently; if there is no illegal gains or the illegal gains are less than 1 million Yuan, a fine of 100,000 Yuan up to 1 million Yuan shall be imposed concurrently; if any damages are caused to the fund property or fund share holders, they shall be liable for compensation according to law; a warning shall be given to the directly responsible personnel in charge and other directly liable personnel, their qualification for fund practice shall be suspended or cancelled, and a fine of 30,000 Yuan up to 300,000 Yuan shall be imposed concurrently; and if any crime has been constituted, the offenders shall be subject to criminal liabilities.

Article 90 If the fund manager and fund trustee have committed any of the acts specified in Items (1) through (6) and in Item (8) of Article 59 hereof, they shall be ordered to correct the act and be imposed on a fine of 100,000 Yuan up to 1 million Yuan; if any damages are caused to the fund property or fund share holders, they shall be liable for compensation according to law; a warning shall be given to the directly responsible personnel in charge and other directly liable personnel, their qualification for fund practice shall be suspended or cancelled, and a fine of 30,000 Yuan up to 300,000 Yuan shall be imposed concurrently; and if any crime has been constituted, the offenders shall be subject to criminal liabilities.

Where the fund manager and fund trustee have committed any of the acts prescribed in the preceding paragraph, the property and proceeds obtained through utilization of the fund property shall be included into the fund property. However, if there are otherwise provisions in the laws and administrative regulations, such provisions shall be observed.

Article 91 If the fund manager and fund trustee have committed the act specified in Item (7) of Article 59 hereof, they shall be punished pursuant to the relevant provisions of the Securities Law of the People's Republic of China, and apart from that, a warning shall be given to the directly responsible personnel in charge and other directly liable personnel, their qualification for fund practice shall be suspended or cancelled, and a fine of 30,000 Yuan up to 300,000 Yuan shall be imposed concurrently; if any damages are caused to the fund property or fund share holders, the offenders shall be liable for compensation according to law.

Article 92 If the fund manager and fund trustee, in violation of the provisions hereof, make capital contribution to or hold the shares of each other, they shall be ordered to correct the act and be imposed on a fine of less than 100,000 Yuan.

Article 93 If any party obliged to disclose fund information fails to make the disclosure according to law or the disclosed information contain falsified indications, misleading statements or significant omissions, that party shall be ordered to correct the act, with the illegal gains being confiscated, and be imposed on a fine of 100,000 Yuan up to 1 million Yuan; if any damages are caused to the fund property or fund share holders, the offender shall be liable for compensation according to law; a warning shall be given to the directly responsible personnel in charge and other directly liable personnel, their qualification for fund practice shall be suspended or cancelled, and a fine of 30,000 Yuan up to 300,000 Yuan shall be imposed concurrently; and if any crime has been constituted, the offenders shall be subject to criminal liabilities.

Article 94 If any professional agency which issues the auditing report or letter of legal opinions in respect of the fund information disclosed to the public by the parties obliged to disclose such information falsifies the contents for which it is responsible, that agency shall be ordered to correct the act, with the illegal gains being confiscated, and be imposed on a fine of 1 time up to 5 times the illegal gains concurrently; if the circumstances are serious, the agency shall be ordered to stop its business, and the relevant qualification of the directly liable personnel shall be suspended or cancelled; if any damages are caused to the fund property or fund share holders, the offender shall be liable for compensation according to law; and if any crime has been constituted, the offenders shall be subject to criminal liabilities.

Article 95 If the fund manager or fund trustee fails to convene the fund share holders'' meeting pursuant to the provisions, it shall be ordered to correct the act and may be imposed on a fine of less than 50,000 Yuan; a warning shall be given to the directly responsible personnel in charge and other directly liable personnel, and their qualification for fund practice shall be suspended or cancelled.

Article 96 If the fund manager or fund trustee violates the provisions hereof and the circumstances are serious, the offender shall be disqualified for fund management or fund trust.

Article 97 If any practitioner in the specialized fund trust department of a fund manager or fund trustee, in violation of Article 18 hereof, causes any damages to the fund property or fund share holders, that person shall be liable for compensation according to law; if the circumstances are serious, he/she shall be disqualified from fund practice; and if any crime has been constituted, he/she shall be subject to criminal liabilities.

Article 98 If any functionary of the securities regulatory department neglects the duties, abuses the powers, seeks private benefits through wrongful means, or exerts or accepts money or property from others by taking advantages of his/her position, that person shall be given administrative sanctions according to law; and if any crime has been constituted, the offender shall be subject to criminal liabilities.

Article 99 If any party is liable for both civil compensation and fines or monetary penalty for violations of the provisions hereof and the property of that party is not sufficient to cover all the payments, priority shall be given to civil compensation.

Article 100 With respect to the civil compensation and fines the fund manager and fund trustee should bear pursuant to the provisions hereof, the fund manager and fund trustee shall make the payment with their own property.

The fines and monetary penalties paid and the illegal gains confiscated according to law shall all be turned in to the treasury.