| Murray Paper (000 815) Thursday night issued a public | | | | companies with a set of troops |
| notice in the Shenzhen Stock Exchange Web site said | | | | Ningxia Authority inspection results show that Meili |
| the company appeared a number of irregularities, | | | | Paper Industry and controlling shareholder of personnel, |
| Ningxia, China Securities Regulatory Commission has | | | | institutions are not strictly separated. China Metallurgical |
| ordered corrective Authority, while Meili Paper also | | | | Construction Corporation is the U.S. Lihring Meili Paper |
| announced the secretaries to directorate, chief | | | | Industry respective branches without legal person |
| accountant, chief engineer has resigned. | | | | status, Ningxia Sen Fung Forestry Co., Ltd. is a |
| Announcement said the China Securities Regulatory | | | | subsidiary group. |
| Commission Ningxia Authority under "on strengthening | | | | Two main business units assets with a tree planting |
| the supervision of the 2008 annual report of listed | | | | and management. At present, the China Metallurgical |
| companies related work notice" (listed on the | | | | Construction Corporation and the United States Lihring |
| Department of letter [2009] 014), and "the China | | | | Industry Co., Ltd. Ningxia Sen Fung forestry personnel, |
| Securities Regulatory Commission" ([2008] 48) | | | | institutions are not strictly separated, that "a candidate |
| requested in May 2009 on the China Metallurgical Meili | | | | for the two brands." Non-compliance. |
| Paper Industry Co., Ltd. Annual Report 2008, | | | | Meili Paper Industry said the arrangement was initiated |
| conducted a special inspection of the disclosure, and in | | | | in mid-June to Ningxia Sen Fung Forestry Co., Ltd. in |
| 2009 issued on June 5 subsolar "supervision | | | | China Metallurgical Construction Company U.S. Lihring |
| reminders" (rather SFC letter [ 2009] 59). Received a | | | | industry personnel with part-time separation, is now |
| "supervision reminder", the company's board of | | | | cleared, personnel and institutions fully independent. |
| directors attached great importance to the relevant | | | | Number of non-disclosure of related party transactions |
| departments to immediately organize the company for | | | | Announcement shows there is more than Meili Paper |
| serious analysis and discussion, according to | | | | non-disclosure of related party transactions, against the |
| "supervision reminder" requirement to develop a | | | | company and poor communication between |
| practical corrective measures, and begin the | | | | subsidiaries, the securities sector and the related issue |
| rectification. | | | | of poor communication sector, the Authority require |
| The resignation of three executives According to the | | | | the company to the subsidiary, to execute the internal |
| disclosure noticenight, Board of Directors on July 28, | | | | control procedures, to prevent similar issues from |
| 2009 Secretary of the Board Mr. Yan Xueting | | | | occurring. |
| received, the Chief Accountant and Chief Engineer Mr. | | | | The same time, the daily in 2009 is expected to |
| Wang Shouqing Mr. Hao Lingzhong a written | | | | practice regularly the implementation of related party |
| resignation. Mr. Yan Xueting because the relevant | | | | transactions with the financial and fund departments |
| provisions of the securities regulatory authorities and | | | | and subsidiaries of contact, to keep abreast of the |
| the objective reasons for resignation by the company | | | | daily implementation of related party transactions, while |
| as vice chairman, director, board secretary position. Mr. | | | | operating according to company needs a new place in |
| Hao Lingzhong because the relevant provisions of the | | | | time to be associated transactions submitted to the |
| securities regulatory authorities and the objective | | | | Board, shareholders will be considered to ensure the |
| reasons for resigning as the chief accountant position. | | | | normal operation of the company. |
| Mr. Wang Shouqing because the relevant provisions of | | | | Imperfect information disclosure Meili Paper Industry |
| the securities regulatory authorities and for objective | | | | Annual Report "section V of the directors, supervisors |
| reasons, resigned from the position as chief engineer. | | | | and senior management situation" in the "reporting |
| Mr. Yan Xueting, Mr. Hao Lingzhong and Mr. Wang | | | | period, the total compensation received from the |
| Shouqing's resignation will not affect the normal | | | | company," the disclosure is incomplete, only part of the |
| work-related. According to "articles of association" | | | | disclosure of real wages, according to the specified |
| requirement, the resignation from the date of service | | | | disclosure of every incumbent Directors, supervisors |
| of Board of Directors. | | | | and senior managers from the company during the |
| Corporate governance deficiencies exist related | | | | period of pre-tax total compensation. |