The Zhejiang Securities Regulatory Bureau has taken measures to order Zhejiang Tonghuashun Fund Sales Co., Ltd. to make corrections.

The Zhejiang Securities Regulatory Bureau issued a decision on the corrective measures to be taken against Zhejiang Hithink Fund Sales Co., Ltd. After verification, the company was found to have the following problems: 1. The company has confused employees and operating locations with shareholders, actual controllers, and related parties, which violates Article 36 of the Measures for the Supervision and Administration of Securities Investment Fund Sales Institutions for Public Offering. 2. The company did not include the scale of fund sales in the assessment system, which violates Article 30, Paragraph 1 of the Measures for the Supervision and Administration of Securities Investment Fund Sales Institutions for Public Offering. 3. The company did not conduct due diligence and risk assessment on fund managers and fund products, did not classify the risk level of some products sold, which violates Article 27, Paragraph 1 of the Measures for the Supervision and Administration of Securities Investment Fund Sales Institutions for Public Offering, and Article 15 of the Measures for the Appropriateness Management of Securities and Futures Investors. 4. The company did not establish a mechanism to assess conflicts of interest in private fund sales, did not conduct conflict of interest assessments on related private fund managers and their private funds, which violates Article 48 of the Measures for the Supervision and Administration of Securities Investment Fund Sales Institutions for Public Offering. 5. Some operational staff, customer service representatives, and key account managers did not obtain the necessary qualifications to engage in fund sales, which violates Article 30, Paragraph 2 of the Measures for the Supervision and Administration of Securities Investment Fund Sales Institutions for Public Offering, and Article 17, Paragraph 1 of the Regulations on the Implementation of the Measures for the Supervision and Administration of Securities Investment Fund Sales Institutions for Public Offering. According to Article 53 of the Measures for the Supervision and Administration of Securities Investment Fund Sales Institutions for Public Offering and Article 37 of the Measures for the Appropriateness Management of Securities and Futures Investors, it is decided to impose administrative supervision measures on the company to correct the issues, and to record them in the integrity file of the securities and futures market.