Concord New Energy Group Limited ("the Group") adheres to the philosophy of integrity-based management, abides by extremely rigorous commercial ethics and makes constant efforts to regulate the professional conduct of all employees (including part-time employees, casual laborers, top management and directors of the Group and its affiliates). It is considered as the responsibility of each individual employee of the Group to ensure that no misconduct or malpractice will occur to compromise the interests of the shareholders, the investors, the clients and the general public.II. POLICY
This policy is formulated to provide guidance for the employees in disclosing relevant information on the misconduct or malpractice found within the Group which he/she considers improper or inappropriate at the internal corporate level or higher level. This policy is not intended to facilitate the addressing of any individual dispute, question the company’s financial or commercial decisions and should not be used in the reconsideration of any resolved employee-specific issues in the existing complaint procedure.
All employees, contractors, suppliers and any other potential business partners are encouraged to report any misconduct or malpractice found and the whistleblower will be rendered under proper protection in strict accordance with the requirements set forth in this policy.III. APPLICABILITY
This policy applies to all employees of the Group (including part-time employees, casual laborers, top management and directors of the Group and its affiliates) and any third parties in business relations with the Group. Joint venture companies are encouraged to establish their respective appropriate whistleblowing policies.IV. MISCONDUCT AND MALPRACTICE
It is not possible to give an exhaustive list of the activities that constitute misconduct and malpractice; however, in general, you are expected to report the following items (including other items) to the Group:
(1) Conduct of criminal offence or conduct in breach of any other laws or regulatory provisions;
(2) Failure to fulfil any legal obligations;
(3) Acceptance of bribery, kickback, valuables or any other benefits;
(4) Illegal use of the assets of the Group, illegal embezzlement, misappropriation, theft, transfer, lease, loan, mortgage of the assets of the Group, etc.;
(5) Transfer of the transactions that would benefit the organization under normal circumstances to others;
(6) Disclosure of the business or technical secrets of the Group to others;
(7) Loans from any supplier, participation in any banquet, travelling and recreational activities that may compromise the fair conduct of business by the employee or his/her family members;
(8) Provision of authorization, participation in or assisting in organizing collusive tendering, collusion and false bidding;
(9) Occurrence of major safety and quality accidents due to dereliction of duty;
(10) Acts in violation of internal regulations that compromise the interests of the Group;
(11) Any misconduct or unethical behaviors that may compromise the company's reputation;
(12) Any other violations of the “Employee Code of Conduct” of the Group, as detailed in the “Employee of Conduct”;
(13) Concealing of any acts listed above.V. REPORTED INFORMATION
Details of misconduct (including the name of the individual involved, time, date and place of the misconduct), reason for reporting and any supporting documentation as well as other relevant evidence available should be included in the reported information. The Group does not expect the whistleblower to provide sufficient evidence of the misconduct. However, the provision of more evidence would greatly facilitate the investigation of the reported concern. If a report is made in good faith, even if it is not confirmed by any subsequent investigation, the Whistleblower’s concerns would be valued and appreciated.VI. REPORTING CHANNELS
In general, any employees, contractors and suppliers in business relations with the Group, and any other potential business partners can make reports to the Audit Department or the higher-level Audit Committee and the Board of Directors for any complaints or concerns. A report can be made using the following approaches:
(I) Mail: All materials relevant to the reporting shall be placed within a seal envelope clearly marked with the indication stating “Strictly personal and confidential document-only for unsealing by the recipient” to ensure absolute confidentiality. Delivery address: Audit Department at CWP Building, No. 9 South Shouti Road, Haidian District, Beijing or Suite 3901, 39/F, Far East Finance Centre, 16 Harcourt Road, Admiralty, Hong Kong
(II) E-mail: firstname.lastname@example.org;
(III) Hotline for complaint and reporting: 010-88314950, 010-88314954;
(IV) Official website of the Group:http://portal.cnegroup.com/pubinfo/audit/
.VII. INVESTIGATION PROCEDURE
(I) The Group will conduct thorough investigations on all real-name reports (but not potential anti-competitive conduct), collect and review relevant evidence, then identify the verification or exclusion of reported matters based on the relevant evidence. Investigation will only be carried out for anonymous reports upon proper confirmation.
(II) The Group's investigation of the report shall include collection of evidence, and appointing an investigation team to interview the whistleblower, to obtain more detailed information. When conducting the relevant investigation, external experts or other institutions may be appointed to assist the investigation if necessary.
(III) For an employee with confirmed fraud practice, the Group will hold accountable those who have committed fraud practice and the management personnel who have failed in executing proper supervision, and the Board of Directors will impose internal economic and administrative disciplinary actions in accordance with relevant regulations. If there is sufficient evidence to suggest that a case of possible criminal offence exists, the matter will be reported by the Group to the relevant local judiciary authorities for further handling.
(IV) The result of the investigation may be communicated to the whistleblower where deemed appropriate upon the completion of corresponding investigation.VIII. PROTECTION Of The WHISTLEBLOWER
(I) The Group promises to protect the identity information of the whistleblower and the information provided by him/her will be kept strictly confidential and under legal protection. The Group will make every effort, within its capacity to do so, to keep the whistleblower’s identity confidential. The identity information of the individual employee initiating the reporting will not be disclosed without the consent of the employee.
(II) The Group may be legally required to disclose the identity of the employee under certain circumstances (e.g., an investigation leading to the initiation of a legal procedure), and prior notice to the employee will not be required under such a circumstance. However, the Group will make every reasonable endeavor to protect the employee from any possible damage.
(III) Harassment or injury to the whistleblower is considered as a serious misconduct and appropriate actions will be taken against anyone who divulges relevant confidential information and who initiates retaliation against those who have raised concerns under this policy.
(IV) The employees or relevant persons are encouraged to provide their names and contact information in the reporting materials so that clarification can be made or further information can be obtained as necessary to ensure the proper handling of the reported concerns. Anonymous reports can be made if the whistleblower chooses not to reveal his/her identity under certain circumstances. Such anonymous reports will also be considered by the Group under feasible conditions.Ⅸ. FALSE REPORTS
If a whistleblower makes a false report maliciously, with an ulterior motive, or for personal gain without providing justified evidence for the accuracy or reliability of the reported information, the Group will take appropriate disciplinary actions against him/her as a result of the false report. In particular, harassment or injury to whistleblowers is considered as a serious misconduct, and relevant employees involved may face dismissal once confirmed.
X. POLICY REVIEW
The Group will carry out periodic review of the effectiveness of this policy.