Henan Art and culture art Development Group Co., LTD

Chapter I General rules

Article 1 These Measures are formulated in accordance with the Auction Law of the People's Republic of China (hereinafter referred to as the Auction Law) and relevant laws, administrative regulations and rules on foreign investment in order to regulate auction behavior, maintain auction order, promote the opening up of the auction industry and promote the healthy development of the auction industry。

Article 2 These Measures shall apply to the auction activities conducted by auction enterprises within the territory of the People's Republic of China。 All commercial auction activities shall be conducted by auction enterprises established according to law。

Article 3 The term "auction enterprise" as mentioned in these Measures refers to a limited liability company or joint stock limited company established within the territory of China in accordance with law to engage in commercial auction activities。

Article 4 The Ministry of Commerce shall be the competent department of the auction industry and shall exercise supervision and administration over the auction industry throughout the country。 The competent commercial departments of the people's governments of provinces, autonomous regions and municipalities directly under the Central Government (hereinafter referred to as the provincial level) and the people's governments of cities divided into districts (hereinafter referred to as the municipal level) shall exercise supervision and administration over the auction industry within their respective administrative areas。

Article 5 Auction enterprises engaged in auction activities shall abide by the provisions of the Auction Law and other relevant laws, administrative regulations and rules, and follow the principles of openness, fairness, justice, honesty and credit。

Chapter II Establishment, alteration and termination of auction enterprises

Article 6 The investor who applies for the establishment of an auction enterprise shall have a good reputation and shall not violate the laws, administrative regulations and rules of China。

Article 7 To establish an auction enterprise, the following conditions shall be met:
(1) having a registered capital of RMB 1 million or more;
(2) Having its own name, organizational structure and articles of association;
(3) having a fixed office space;
(4) There are three or more persons who have obtained qualifications for the auction industry, of whom at least one is an auctioneer;Full-time or part-time personnel with qualifications in industries closely related to the main business;
(5) Having auction business rules that comply with relevant laws, administrative regulations and these Measures;
(6) In line with the development plan of the auction industry of the competent department of commerce。

Article 8 To apply for the establishment of an auction enterprise, the following materials shall be submitted:
(1) An application form;
(2) the articles of association and auction business rules;
(3) The Notice of Pre-Approval of Enterprise Name issued by the administrative department for industry and commerce;
(4) Resume and valid identity certificate of the proposed legal representative;
(5) The practicing qualification certificate of the auctioneer to be hired and the relevant qualification certificate of the practitioner;
(6) Property rights certificate or lease contract of fixed office space;

Article 9 An auction enterprise engaged in the auction of cultural relics shall comply with the provisions of the relevant laws and administrative regulations on the auction of cultural relics。Articles confiscated by state administrative organs according to law，Articles for which taxes and fines have been charged and articles confiscated by the people's court according to law，The auction of the objects of the fine, the fine, the recovered items that cannot be returned and other special state-owned assets shall be undertaken by the auction enterprises with the corresponding auction qualifications，The specific qualification conditions shall be formulated by the provincial competent Commerce Department in conjunction with relevant departments in accordance with the principle of standardized management and selection of the best，And report to the Ministry of Commerce for the record。

Article 10 The name of an auction enterprise shall conform to the relevant provisions on the registration and administration of enterprise names。The industry expression in the name of the auction enterprise shall be indicated“拍卖”字样。

Article 11 An auction enterprise applying for the establishment of a branch shall meet the following conditions:
(1) Conform to the development plan of the auction industry;
(2) Passing the annual inspection;
(3) The registered capital of the enterprise shall be no less than RMB 5 million yuan and fully paid, and the auction enterprise shall allocate no less than RMB 1 million yuan in capital or kind for each branch;
(4) The branch shall have two or more persons who have obtained the qualification of the auction industry, and full-time or part-time persons who have the qualification of the industry closely related to the main business;
(5) Having a fixed office space;
(6) engaged in auction business for more than three years, made profits in the last two years, and the auction turnover of the previous year exceeded 50 million yuan;Or auction turnover of more than 200 million yuan last year。

Article 12 For an auction enterprise to establish a branch, the applicant shall submit the following materials:
(1) The application report for the proposed establishment of a branch company;
(2) A copy of the business license of the enterprise legal person (photocopy);
(3) the annual financial and accounting statements audited by an accounting firm for the last two years;
(IV) Resume and valid identity certificate of the person in charge of the proposed branch;
(5) The practicing qualification certificate of the auctioneer to be hired and the relevant qualification certificate of the practitioner;
(6) Certificate of property rights or lease contract of fixed office space。

Article 13 The establishment of auction enterprises and branches shall be handled in accordance with the following procedures: The application for the establishment of auction enterprises and branches shall first be examined by the municipal competent department of commerce where the enterprise or branch is located, and then submitted to the provincial competent department of commerce for approval and issuance of the auction operation approval certificate。The applicant shall go through the registration formalities with the local administrative authority for industry and commerce with the approval certificate for auction operation。 The provincial competent department of commerce may adopt the hearing method for the establishment license of auction enterprises and branches。 The approval certificate of auction operation shall be uniformly printed by the Ministry of Commerce。

Article 14 Before an auction enterprise applies to the administrative authority for industry and commerce for the alteration of a registered item, it shall first report to the provincial competent department of commerce for approval, and the auction operation approval certificate shall be renewed by it。

Article 15 If an auction enterprise or a branch fails to obtain a business license within six months from the date of receipt of the auction operation approval certificate, its auction operation approval certificate shall automatically become invalid。 Where an auction enterprise or a branch fails to open for business six months after its establishment, or fails to hold an auction for six consecutive months without justifiable reasons or has no business tax certificate after its opening, the relevant department shall revoke its business license according to law, and the competent department of commerce shall withdraw the approval certificate of auction operation。

Article 16 An auction enterprise is dissolved according to the causes specified in the articles of association, resolutions of the shareholders' meeting or other causes;Or is ordered to close down due to violation of laws, administrative regulations and the provisions of these Measures;Or if it is declared bankrupt according to law because it is unable to repay debts due, the relevant department shall cancel it according to law。

Chapter III Establishment, alteration and termination of foreign-invested auction enterprises

Article 17 Foreign-invested auction enterprises may engage in commercial auction activities, except as otherwise provided for by laws and administrative regulations。

Article 18 Foreign investors with strong economic strength, advanced auction technology and management experience, and extensive international auction marketing network are encouraged to set up foreign-invested auction enterprises。

Article 19 The establishment of foreign-invested auction enterprises shall meet the following conditions in addition to the provisions of Article 7 of these Measures:
(1) comply with the relevant provisions on the registered capital and total investment of foreign-invested enterprises;
(2) The operating term of foreign-invested auction enterprises is generally not more than 30 years, and the operating term of foreign-invested auction enterprises established in the central and western regions is generally not more than 40 years。

Article 20 The approved foreign-invested auction enterprise applying for the establishment of a branch shall, in addition to conforming to Article 11 of these Measures, participate in the joint annual inspection of foreign-invested enterprises on time and pass the annual inspection。

Article 21 To establish a foreign-invested auction enterprise, the applicant shall submit the following materials in addition to the materials prescribed in Article 8 of these Measures:
(1) Contracts, articles of association (foreign-funded auction enterprises only submit articles of association) and their attachments;
(2) Bank credit certificate and registration certificate of each investor (photocopy);
(3) The audit report of each investor for the most recent year audited by the accounting firm;
(4) Evaluation reports of state-owned assets intended to be invested by Chinese investors in Chinese-foreign joint ventures or cooperative auction enterprises;
(5) The list of members of the board of directors of the proposed foreign-invested auction enterprise and the letter of appointment of directors from the parties to the investment。
When a foreign-invested auction enterprise establishes a branch, the applicant shall submit a capital verification report in addition to the materials provided for in Article 12 of these Measures。

Article 22 The establishment of foreign-invested auction enterprises and branches shall be handled in accordance with the following procedures: The applicant shall submit the application materials prescribed in Article 20 to the Ministry of Commerce。The Ministry of Commerce shall, from the date of receiving all the application materials, make a decision on whether to approve or not within the prescribed time. For the approved establishment, it shall issue the certificate of approval for foreign-invested enterprises and the certificate of approval for auction operation; for the disapproval, it shall explain the reasons。 The applicant shall, within one month from the date of receipt of the approval certificate for foreign-invested enterprises and the approval certificate for auction operation, complete the registration formalities with the local administrative department for industry and commerce。 The Ministry of Commerce may adopt the hearing method for the approval of the establishment of foreign-invested auction enterprises and branches。

Article 23 Before an auction enterprise with foreign investment applies to the administrative department for industry and commerce for alteration of its registered items, it shall report to the Ministry of Commerce for approval and issue a new auction operation approval certificate and a foreign investment enterprise approval certificate。

Article 24 If a foreign-invested auction enterprise or branch fails to open for business six months after its establishment, or fails to hold an auction or has no business tax certificate for six consecutive months after its establishment, the relevant department shall revoke its business license according to law, and the Ministry of Commerce shall withdraw the approval certificate of auction operation。

Article 25 A foreign-invested auction enterprise is dissolved according to the causes specified in the articles of association, resolutions of the shareholders' meeting or the board of directors or other causes;Or is ordered to close down due to violation of laws, administrative regulations and the provisions of these Measures;Or if it is declared bankrupt according to law because it is unable to repay debts due, the relevant department shall cancel it according to law。

Chapter IV auction practitioners and auction activities

Article 26 The State applies a qualification system to professional and technical auction personnel. Persons who have obtained the qualification certificate for practicing auctioneers may preside over auction activities only after they have been registered。 The term "auctioneer" as mentioned in these Measures refers to the person who has passed the national unified examination, obtained the seal jointly used by the Ministry of Personnel and the Ministry of Commerce, issued by the China Auction Industry Association, the Practicing Qualification Certificate of Auctioneer of the People's Republic of China, and has been registered。

第二十七条 拍卖师只能在一个拍卖企业注册执业且不得以其拍卖师个人身份在其他拍卖企业兼职； 拍卖师不得将《电子pg游戏官网》借予他人或其他单位使用。

Article 28 An auctioneer may change his registered entity。If an auctioneer changes his registered unit, he shall go through the formalities for registration change with the China Auction Industry Association。 The China Auction Industry Association shall report the registration and changes of auctioneers to the Ministry of Commerce on a monthly basis for the record。

Article 29 Auction of the following articles or property rights is prohibited:
(1) The sale is prohibited by laws and regulations;
(2) There is a dispute over the ownership or right of disposition, and the right has not been confirmed by a judicial or administrative organ;
(3) Goods under customs control that have not yet completed customs formalities。

Article 30 Auction enterprises shall carry out auction activities in accordance with law and shall not engage in the following acts:
(1) Leasing or unauthorized transfer of auction rights;
(2) false publicity of the auction target, causing economic losses to the buyer;
(3) Employing auctioneers or other persons who are not registered according to law to act as auctioneers to preside over auction activities;
(4) engaging in unfair competition by maliciously reducing the commission ratio or charging commission lower than the cost of auction activities, or even not charging commission (except for free auction) or giving kickback to the client;
(5) other acts in violation of laws and regulations。

Article 31 An auction enterprise shall immediately report to the local public security organ if it finds that there are articles or stolen goods notified by the public security organ in the auction object。

Article 32 Where a bidder entrusts another person to bid on his behalf, he shall produce a power of attorney and a copy of the identity certificate of the bidder or the agent。 The power of attorney shall set forth the name of the agent, the matters of agency, the authority of agency and the duration。

Article 33 Before the auction is carried out, the auction enterprise and the client shall reach a written agreement on matters related to the failure of the auction or the liability for compensation for losses caused by the client's suspension or termination of the auction。

Article 34 The auction enterprise shall assign special persons to take proper care of the auction articles submitted by the client, establish a system of keeping, on duty and changing over the auction articles, and take necessary safety precautions。

Article 34 The auction enterprise shall assign special persons to take proper care of the auction articles submitted by the client, establish a system of keeping, on duty and changing over the auction articles, and take necessary safety precautions。

Article 35 When an auction enterprise holds auction activities, it shall make a public announcement according to the attributes of the subject matter of the auction and the nature of the auction, in accordance with the date stipulated in the Auction Law and relevant laws and administrative regulations。The announcement shall be published in the place where the auction object is located and the commercial authority of the place where the auction is held designated a large circulation newspaper or other media with the same influence。

Article 36 An auction enterprise shall display auction objects before the auction meeting, provide bidders with conditions for viewing auction objects and provide bidders with relevant information。 The display time should not be less than two days, except for fresh items or other items that are not easy to keep。

Article 37 An auction enterprise shall have the right to identify or require the client to explain in writing the sources and defects of auction objects。 An auction enterprise shall explain to the bidder the defects of the auction objects that it knows or should know。

Article 38 Where laws, administrative regulations and rules have special provisions on the assignee of an auction object, an auction enterprise shall auction the auction object to a bidder that meets the requirements of the laws, administrative regulations and rules。 If an auction object requires the operation qualification of an administrative license in accordance with laws, administrative regulations and rules and can be transferred according to law, the client shall obtain the consent of the administrative licensing authority before the auction。

Article 39 An auction enterprise may set up an entrusted bidding table at the auction site and make an explanation to all bidders at the beginning of the auction。

Article 40 The auction shall be suspended under any of the following circumstances:
(1) No bidder participates in the auction;
(2) The third party has a dispute over the ownership or disposal of the auction object and provides valid proof on the spot;
(3) The client notifying the auction enterprise in writing to suspend the auction for legitimate reasons before the auction meeting;
(4) The auction cannot be carried out temporarily due to the occurrence of an accident;
(5) There are other circumstances that should be suspended according to law。
The suspension of the auction shall be announced by the auction enterprise。The auction shall be resumed after the cause of the suspension has disappeared。

Article 41 The auction shall be terminated under any of the following circumstances:
(1) Where the people's court, arbitration institution or relevant administrative organ determines that the client has no power to delegate to the object of auction and notifies the auction enterprise in writing;
(2) the object of auction is identified as stolen goods;
(3) Force majeure or accidents cause the auction activities can not be carried out;
(4) The object of auction is damaged or lost before the auction;
(5) The client notifying the auction enterprise in writing before the auction meeting to terminate the auction;
(6) There are other circumstances that should be terminated according to law。
The termination of the auction shall be announced by the auction enterprise。After the termination of the auction, if the client requests to continue the auction, he shall go through the auction formalities again。

Article 42 Where foreign-invested auction enterprises and domestic auction enterprises jointly hold auctions within the territory of the People's Republic of China, the auction objects shall comply with the relevant provisions of laws, administrative regulations and these Measures。

Chapter V Supervision and administration

Article 43 The Ministry of Commerce shall organize the formulation of relevant rules and policies for the auction industry, guide all localities to formulate development plans for the auction industry, and establish supervision and verification, industry statistics and credit management systems for the auction industry according to law.To be responsible for the promotion and management of the utilization of foreign capital in the auction industry;Conduct business guidance for self-regulatory organizations in the auction industry。

Article 44 The provincial Commerce Department is responsible for formulating and implementing the development plan of the auction industry in the region, and reporting the plan to the Ministry of Commerce for the record。 Provincial commercial authorities should establish local auction enterprises and employees of the supervision and verification and industry statistics and credit management system;To be responsible for the examination and approval of the establishment of auction enterprises and branch companies;To manage and direct the auction industry self-regulatory organizations in the region。 The provincial competent department of commerce shall create conditions, establish an Internet network with the computer file system of auction enterprises and other relevant administrative organs, and record the situation of supervision and inspection of auction business activities and the results of processing。Opinions on supervision and verification of auction enterprises shall be issued every year。Auction enterprises that fail to pass the verification shall be ordered to rectify within a time limit and notify the relevant departments of the verification。

Article 45 The auction industry association shall exercise supervision over auction enterprises and auctioneers according to law and its articles of association。The auction industry association shall formulate auction industry norms, strengthen self-discipline management of the industry, coordinate the relationship between member enterprises and relevant government departments and member enterprises, provide services for member enterprises, and safeguard the legitimate rights and interests of member enterprises。 Under the guidance of the Ministry of Commerce, the China Auction Industry Association implements the national credit management system for auction enterprises and organizes the examination, assessment and qualification of auctioneers。

Chapter VI Legal liability

Article 46 Any enterprise engaged in commercial auction activities without permission shall be banned in accordance with the relevant provisions of the State。

Article 47 Auctioneers violate the provisions of Article 26 and 27 of these Measures or have other violations such as concealing information from the regulatory authorities or providing false materials，The provincial competent Commerce Department may notify the China Auction Industry Association of its violation facts and handling suggestions，The China Auction Association shall deal with the auctioneers who violate the rules in accordance with the relevant provisions，The results will be copied in writing within ten working days to the provincial commercial authorities and industry associations where the auctioneer is practicing。

Article 48 Where an auction enterprise violates the provisions of Article 29 of these Measures and causes losses to the buyer, the auction enterprise shall pay compensation;If the responsibility falls to the client, the auction enterprise shall have the right to seek compensation from the client。

Article 49 If an auction enterprise violates item (1) of Article 30, it shall be ordered by the competent Commerce Department at the provincial level to make corrections and be fined not more than 30,000 yuan。

Article 50 Auction enterprises in violation of the provisions of Article 30 (3) of these measures, by the provincial department of commerce according to the seriousness of the case to give a warning, and impose a fine of more than twice the amount of illegal income, but the maximum is not more than 30,000 yuan;If there are no illegal gains, a fine of not more than 10,000 yuan shall be imposed。If any loss is caused to the client or the buyer, the auction enterprise shall pay compensation according to law。

Article 51 Where an auction enterprise violates the provisions of item (2) and (4) of Article 30 of these Measures, it shall be punished by the relevant administrative authorities according to law。

Article 52 Auction enterprises in violation of the provisions of Article 35 and Article 36 of these measures, before the auction of illegal announcement or display, by the provincial department of commerce according to the seriousness of the case to give a warning, order correction, delay the auction or impose a fine of less than 10,000 yuan。

Article 53 Where an auction enterprise or a client violates the provisions of Article 37 of these Measures and fails to explain the defects of the auction objects, thereby causing damage to the buyer, the buyer has the right to demand compensation from the auction enterprise;If the responsibility falls to the client, the auction enterprise shall have the right to seek compensation from the client。 If the auction enterprise or the client declares before the auction that it cannot guarantee the authenticity or quality of the auction object, it shall not be liable for the guarantee of defects (hereinafter referred to as the disclaimer).。However, when the auction enterprise or the client clearly knows or should know that the auction object is defective, the disclaimer shall be invalid。

Article 54 After the auction is completed, if the client fails to assist the buyer in handling the formalities of changing the license or transferring the property rights according to law, resulting in losses to the buyer or the auction enterprise, the client shall pay compensation according to law。 Where the consignor proposes to suspend or terminate the auction, thereby causing losses to the auction enterprise or the bidder, compensation shall be given according to law。

Article 55 Under any of the following circumstances, the provincial competent department of Commerce or the Ministry of Commerce may revoke the licensing decision on the establishment of auction enterprises and branches:
(1) where a staff member abuses his power or neglects his duty in making a decision to approve the establishment;
(b) in violation of the Auction Law and the conditions for the establishment of these measures to make a decision to approve the establishment;
(3) making a decision approving the establishment in excess of statutory functions and powers。

Article 56 If the staff members of the competent commercial departments and trade associations abuse their power, engage in malpractices for personal gains, neglect their duties, or solicit bribes in their work, the responsible persons in charge and the persons directly responsible shall be given administrative sanctions according to law;If the case constitutes a crime, criminal responsibility shall be investigated according to law。

Article 57 The staff of the competent department of commerce shall keep confidential the confidential contents of auction enterprises, consignors, bidders and buyers that they are informed of in the performance of their official duties in accordance with the confidentiality provisions, and shall deal with the disclosure according to the relevant provisions。If an auction enterprise considers that the materials submitted to the administrative organ have confidential contents, it shall indicate them“保密”type-and-seal。

Chapter VII Supplementary Provisions

Article 58 The administration of introducing auction methods into commodity trading markets such as wholesale agricultural products markets and motor vehicle trading markets and using the Internet to operate auction business shall, in principle, be implemented with reference to these Measures, and specific measures shall be formulated separately。

Article 59 A wholly state-owned auction enterprise shall be restructured in accordance with the relevant provisions of the State。

Article 60 The Ministry of Commerce shall be responsible for the interpretation of these measures。

Article 61 These Measures shall come into force as of January 1, 2005。