According to the company's organizational regulations, the audit office is directly under the board of directors, and the scope of audit work covers all internal control operations and operational activities of the company and its subsidiaries.

Internal Audit Organization

The company has one person in charge of the audit office and qualified auditors to perform general and special business inspections.

In addition to regularly reporting audit work to the audit committee, the head of the audit office also sits on the board of directors.

Operation of Internal Audit

According to the relevant laws and regulations, the results of the annual audit and the identification of the risk level of each cycle, the audit plan for the next year is drawn up at the end of each year, and it is implemented after being approved by the board of directors.

The board of directors regularly reviews the audit report of the audit unit. In addition to regularly attending the report of the board of directors, the audit supervisor also reports to the chairman of the board, the audit committee and the general manager from time to time as needed.

The audit supervisor and independent directors report on the company's internal audit implementation and internal control operations through regular meetings of the audit committee; meetings can be convened at any time in case of major abnormal events.

In addition to the above-mentioned regular meetings, the convener of the audit committee will discuss with the head of internal audit on the operation of internal control from time to time.

Regularly track the improvement of internal deficiencies and abnormal matters found by internal audit.

Appointment and dismissal of internal auditors

The appointment and removal of the head of internal audit is approved by the audit committee and submitted to the board of directors for approval.

According to the company's internal regulations such as "Salary Management Measures", "Personnel Appointment Management Measures" and "Employee Performance Appraisal Management Measures", the appointment, dismissal, evaluation, and remuneration of internal auditors must be signed by the audit supervisor to the chairman for approval. , whose assessment is carried out twice a year.