Common use of Risk Control Clause in Contracts

Risk Control. 5.1 Both Parties shall take effective risk control measures for the Suspicious Transactions that may happen during the course of cooperation. 5.2 During the course of providing payment services by Party B, if one Party finds Suspicious Transactions, it shall promptly notify the other Party. At the same time, Party A shall take provisional measures to freeze users’ accounts, cancel transaction orders and the like, Party B shall take provisional measures to suspend to provide payment services, close the payment interface, suspend bank cards transaction, delay or suspend capital settlement and the like. 5.3 In order to better provide payment services for Party A, Party B shall be entitled to require transactions that needs payment services by Party A to be identified and monitored. Party B may take the following measures to control the transaction risk, and Party A shall cooperate, otherwise Party B may suspend or terminate the provision of payment services, and may terminate this Agreement upon written notice to Party A: (1) testing the effectiveness and safety of network address (URL) and network communication address (IP address) of Party A and its transaction platform; (2) inspecting Party A’s trading places and examining whether goods and services provided by Party A’s platform conform to the relevant laws and regulations; (3) examining whether Party A’s description of the goods or services is complete, whether the policies of return and exchange, refund, delivering and transaction cancellation are complete or not, whether the customer service system is sound. 5.4 Party B may set and adjust the type of bank cards, the times of payments and the cap for payments when the users of Party A make payments according to the requirements and risk control needs of bank card organizations and banks, subject to the type of bank cards, the times of payments and the cap for payments available for the users of Party A to make payments, which Party B will notify Party A in advance. 5.5 In a single calendar month, if the amount of various types of Suspicious Transactions of Party A totaled to or more than RMB 2000 yuan and meet or exceed 0.001% of the total amount of accumulated amount of transactions completed by Party A through Party B’s trading system from the effective date of this Agreement, Party B may to require Party A to strengthen the risk control or take remedial measures, and provide feedbacks to Party B of how the remedial measures have been done within 15 days; if Party A meets or exceed this metric for three consecutive calendar months, or fails to complete the remedial measures within 30 days, Party B may terminate this Agreement upon written notice to Party A thereafter. 5.6 During the course of providing payment services by Party B, if the Suspicious Transactions occur, Party A shall cooperate fully on the investigation in accordance with the requirements of Party B, verify and provide relevant transaction information and other supporting materials within the time specified by Party B, including but not limited to name, identity information, contact information, transaction order number, name and the amount of goods, transaction record, fund collection and payment record, goods warehousing certificate and receipt certificate. If Party A fails to provide the materials upon the request of Party B, or the materials provided by Party A have been identified by the bank or bank card organization that can hardly prove that the transaction is made by the real cardholder, Party A shall bear full compensation liability to the cardholder, Party B and other injured Party. In the event of Suspicious Transaction that is discovered after the termination of this Agreement, Party A and Party B shall still follow the stipulations of this Article.

Risk Control. 5.1 Both Parties shall take effective risk To control measures for capital risk, Party B is obliged to assist Party A to complete the Suspicious Transactions that may happen during the course of cooperation.following measures: 5.2 During the course of providing payment services by 1. Before conducting connected transactions with Party B, Party A is entitled to review if one Party finds Suspicious TransactionsB has valid Financial License, it shall promptly notify the other PartyEnterprise Legal Person Business License. At the same timeIf no relevant license or relevant license is expired, Party A shall take provisional measures to freeze users’ accounts, cancel transaction orders and the likewill stop cooperation with Party B in respect of each business. 2. Before placing funds with Party B, Party A is entitled to review the annual report of Party B shall take provisional measures of a latest accounting year audited by an accounting firm with securities and future business qualifications. Party A will conduct business cooperation with Party B when it confirms that the risk is controllable. 3. Party A is entitled to suspend be informed regularly Party B’s operating and financial condition, concern if Party B violates the regulations of the Administrative Measures on Financial Companies of Group Enterprises promulgated by China Banking and Insurance Regulatory Commission. Party A is entitled to request Party B to provide payment services, close the payment interface, suspend bank cards transaction, delay or suspend capital settlement and the like. 5.3 In order to better provide payment services for Party A, Party B shall be entitled to require transactions that needs payment services by Party A to be identified and monitored. Party B may take the following measures to control the transaction risk, and Party A shall cooperate, otherwise Party B may suspend or terminate the provision of payment services, and may terminate this Agreement upon written notice its various regulatory indicators to Party A’s financial department within 15 working days after the end of each quarter. Party A will stop the cooperation with Party B in respect of deposit business where relevant indicators are found to violate relevant regulations of the Administrative Measures on Financial Companies of Group Enterprises. 4. Party A is entitled to withdraw all or part of Party A’s deposits in Party B, suspend placing deposits with Party B, request Party B to rectify in prescribed period and take other response measures to risks, to practically ensure the security of Party A’s deposits in Party B if the following happens: (1) testing the effectiveness and safety of network address (URL) and network communication address (IP address) The asset-liability ratio of Party A and its transaction platformB is not in line with the provision of article 34 of the Administrative Measures on Financial Companies of Group Enterprises; (2) inspecting Party A’s trading places B encounters any run on deposits, insolvency, substantial amount of overdue loans or guarantee advances, computer system breakdowns, robbery or fraud, involvement of its director(s) or senior management in serious disciplinary offences or criminal offences and examining whether goods and services provided other material matters; (3) Party B suffers substantial losses in its negotiable securities investment business in an amount that reaches 50% of the registered capital of Party B; (4) Any matter such as significant organizational changes, equity transactions or operational risks that may affect the normal operations of Party B has taken place; (5) The proportion of balance of the deposits placed with Party B by the Party A to the balance of deposits taken by Party A’s platform conform to B exceeds the relevant requirements of securities regulatory authorities. (6) Party B has received administrative punishment from regulatory authorities such as China Banking and Insurance Regulatory Commission due to activities in breach of laws and regulations; (37) examining whether Party B is ordered to make rectification by China Banking and Insurance Regulatory Commission; (8) Other matters which, in the opinion of the Party A, may bring potential threats to the safety of the Party A’s description of the goods or services is complete, whether the policies of return and exchange, refund, delivering and transaction cancellation are complete or not, whether the customer service system is sounddeposits. 5.4 5. Party A is entitled to withdraw irregularly the whole or part of Party A’s deposit with Party B may set to ensure the security and adjust the type liquidity of bank cards, the times of payments and the cap for payments when the users of Party A make payments according to the requirements and risk control needs of bank card organizations and banks, subject to the type of bank cards, the times of payments and the cap for payments available for the users of Party A to make payments, which Party B will notify Party A in advancerelevant deposits. 5.5 In a single calendar month, if the amount of various types of Suspicious Transactions of Party A totaled to or more than RMB 2000 yuan and meet or exceed 0.001% of the total amount of accumulated amount of transactions completed by Party A through Party B’s trading system from the effective date of this Agreement, Party B may to require Party A to strengthen the risk control or take remedial measures, and provide feedbacks to Party B of how the remedial measures have been done within 15 days; if Party A meets or exceed this metric for three consecutive calendar months, or fails to complete the remedial measures within 30 days, Party B may terminate this Agreement upon written notice to Party A thereafter. 5.6 During the course of providing payment services by Party B, if the Suspicious Transactions occur, Party A shall cooperate fully on the investigation in accordance with the requirements of Party B, verify and provide relevant transaction information and other supporting materials within the time specified by Party B, including but not limited to name, identity information, contact information, transaction order number, name and the amount of goods, transaction record, fund collection and payment record, goods warehousing certificate and receipt certificate. If Party A fails to provide the materials upon the request of Party B, or the materials provided by Party A have been identified by the bank or bank card organization that can hardly prove that the transaction is made by the real cardholder, Party A shall bear full compensation liability to the cardholder, Party B and other injured Party. In the event of Suspicious Transaction that is discovered after the termination of this Agreement, Party A and Party B shall still follow the stipulations of this Article.