深圳市众恒隆实业有限公司
2022年度供应链尽职管理合规报告
ShenzhenZhonghenglong Industrial Co., Ltd
2022 Supply ChainDue Diligence Management Compliance Report
公司名称：深圳市众恒隆实业有限公司
Company name: Shenzhen Zhonghenglong Industrial Co., Ltd
地址：广东省深圳市龙华区民康路112号1970科技小镇1栋401
Company address: Rm.401，Block 1, 1970 Science Park, Minkang Rd., Longhua District, Shenzhen City, Guangdong Province
工厂地址：广东省东莞市凤岗镇五联村碧湖大道雨湖路9号
Refinery Address: No.9, Yuhu Road, Bihu Avenue,Wulian Village, Fenggang Town, Dongguan City, Guangdong Province
办事处：深圳市罗湖区水贝二路特力珠宝大厦A座8楼
Purchasing office: 8/F., Block A, Teli Jewelry Building, Shuibeier Road, Luohu District, Shenzhen City
年终报告：2022年度供应链尽职管理合规报告
Year-end report: 2022 Supply Chain Due Diligence Management Compliance Report
报告日期：2023年2月22日
Reporting date: February 22, 2023
报告负责人：曹健（公司副总经理）
Person in Charge: Cao Jian (Deputy General Manager of the company)
Website: WWW.ZHLSY.COM
联系电话：0755-29500999
Tel: 0755-29500999
一、公司概况
I. Company profile
深圳市众恒隆实业有限公司（简称公司），地处广东省深圳市。公司1997年03月18日成立，存续至今，独立法人企业，依托我国矿物加工工艺技术的优势，采用先进的工艺设备和自动化技术，有针对性的解决生产节能环保、矿产资源综合回收、生产废水零排放三大技术难题，形成黄金产业的循环经济发展模式，建设成为节能减排、低碳环保的绿色产业。
Shenzhen Zhonghenglong Industrial Co., Ltd (hereinafter referred to as the Company) is located in Shenzhen City, Guangdong Province. Founded on March 18, 1997, the Company has existed till now and is an independent corporate enterprise. Relying on advantages of mineral processing process and technology of China, the Company adopts advanced process equipment and automated technology to specifically solve three technical problems, namely production energy conservation and environmental protection, comprehensive recovery of mineral resources, zero discharge of production wastewater, thus forming the recycling economy development mode of gold industry and building energy-saving, emission-reduction, low-carbon and eco-friendly green industry.
深圳市众恒隆实业有限公司是华南地区最大的贵金属精炼企业，是上海黄金交易所标准金锭、标准金条、标准银锭提供企业，高效的生产工艺,高品质的贵金属产品,以及环保和安全（已具备ISO/ICE17025、ISO9001、ISO14001资质证书）的三废处理系统的现代化国际标准的提纯精炼企业。现有年生产的银 (Ag)200吨 、黄金 (Au)300吨、铂金 (Pt)、 钯金 (Pd)20吨以及处理各种贵金属废料 400 吨的生产设备和能力,而且各类产品均达到国家和行业规定的标准;环保和废水、废气的排放也达到国家法律规定的标准。
Shenzhen Zhonghenglong Industrial Co., Ltd is the largest precious metal refining enterprise in South China and the approved enterprise of standard gold ingots, standard gold bars and standard silver ingots of Shanghai Gold Exchange. With efficientproduction process, high-quality precious metal products, environmentally-friendly and safe three-waste treatment system, it is a purification and refinement enterprise following modern international standards( the Company has obtained ISO/ICE17025,ISO9001 and ISO14001 certificates). At present, it has production equipment and capacity to annually produce 200 tons of silvers (Ag), 300 tons of gold (Au), 20 tons of platinum (Pt) and palladium (Pd) and could process 400 tons of precious metal wastes. Besides, all products have reached national and industrial standards and environmental protection, waste water and waste gas discharge also reaches standards specified by national laws.
2019年当选“广东省黄金协会，副会长单位”“中国珠宝玉石首饰行业协会常务理事单位”。2020年获得上海黄金交易所颁发的“最佳可提供标准金锭、银锭企业”“最佳风控会员”“综合类年度优秀会员”“最佳竞价交易自营会员”。
In 2019, the Company was selected as “Vice-Chairman Unit of Gold Association of Guangdong Province” and “Standing Director of GEMS & Jewelry Trade Association of China”In 2020, the Company won titles of “Best Enterprise of Standard Gold Ingots and Silver Ingots”, “Best Risk Control Member”, “Comprehensive Annual Excellent Member”, “Best Self-Operated Competitive Price Transaction Member” awarded by Shanghai Gold Exchange.
二、供应商情况概述
II. Condition overview of supplier
公司原料主要来源为从社会中回收的合质金/银(回收金和矿山金)，且均为国内供应商，没有识别出与供应商以及供应链相关联的零容忍风险和高风险。
Main sources of raw materials of the Company are gold/silveralloy purchased from societyand all suppliers are from China. No zero-tolerance and high risk have been identified from suppliers and supply chain.
三、合规情况概述
III. Overview of compliance conditions
公司对所有供应商进行尽职的供应链调查，要求所有供应商提供的原料来源合法、合规。
The Company has carried out supply chain investigation of due diligence for all suppliers and required that resources provided by all suppliers are legal and compliant.
第一步 建立强大的公司管理体系
Step 1: Establish strong company management systems
合规声明与要求：
Compliance Statement with Requirement:
我公司已经充分遵守第1步骤：建立强大的公司管理体系。
We have fully complied with Step 1: Establish strong company management systems.
公司严格遵守《LBMA负责任黄金指南》和《LBMA负责任白银指南》，已经建立了强大的管理体系，确保供应链尽职调查工作全面落地。
The Company has strictly established strong management systems to ensure comprehensive implementation of supply chain due diligence work.
1、政策方面
1. Policy
公司2022年通过并发布了一项《黄金/白银负责任供应链尽职调查政策》（以下简称“政策”），该政策符合《经济合作与发展组织关于来自受冲突影响和高风险区域矿石的负责任供应链尽职调查指南》（第三版）中的规定，并扩展至环境和可持续性责任，该政策已经过合规总监的审查和批复并在公司官网上进行公布。政策网址链接：https://zhlsy.com/zygg/info_17_itemid_85.html
The Company has passed and introduced a supply chain responsible sourcing policy which conforms to OECD Due Diligence Guidance for Responsible Supply Chains of Minerals from Conflict-Affected and High-Risk Areas(Version 3) with extension to environmental and sustainable responsibility. Such policy has been reviewed and approved by compliance director and published on the official website at https://zhlsy.com/zygg/info_17_itemid_85.html
公司已经将该政策传达给所有的黄金白银的交易方以及内部的各个职能部门，相关的传达记录均已保留并存档。
The policy has been issued by the Company to all gold and silver trading parties and each internal functional department with relevant communication records retained and archived.
政策要求公司及其供应商严格遵守国家关于职工权利、环境保护、公平交易等各项法律法规，积极参与供应链尽职调查工作，确保矿产金/银、再生金/银来源符合要求，并作出承诺，拒绝来自侵犯人权、冲突地区、贿赂、洗钱、恐怖主义融资、非法开采、世界遗产遗址、采用汞开采等高风险地区的黄金、白银。公司会每年定期的审查政策并按照要求进行更新，特别是当客户要求或行业标准发生变化时。
According to policy requirements, the Company and its suppliers should strictly comply with various national laws and regulations on employee rights, environmental protection, fair dealing with active participation in supply chain due diligence to ensure that the sources of mineral gold/silver and renewable gold/silver meet the requirements. In addition, commitments need to be made to reject gold and silver from high-risk areas such as human rights violations, conflict zones, bribery, money laundering, terrorist financing, illegal mining, World Heritage sites as well as mercury mining. The Company should regularly review the policy annually and update it as required, especially when customer requirements or industry standards change.
2、管理架构
2. Management structure
根据体系要求，公司已建立了内部管理制度，按照出台的政策对管理、作用、职责、内部审计、沟通进行界定、并开展尽职调查体系的年度管理评审。
According to the system requirements, the internal management system has been established in the Company to define management, roles, responsibilities, internal audit as well as communication in the light of the issued policies, and conductannual management reviews of the due diligence system.
公司已于2022年12月28日进行了年度管理评审，并将管理评审结果汇报给了合规总监。
The Company conducted an annual management review on December 28, 2022 with the results of the management review reported to the Compliance Director.
2.1规章制度方面
2.1 Rules and regulations
公司根据《LBMA负责任黄金指南第9版》和《LBMA负责任白银指南》制订了《LBMA负责任黄金白银供应链尽职调查管理程序》、《黄金/白银负责任供应链尽职调查政策》、《供应链风险减缓管理办法》，主要明确供应链尽职调查组织架构、职责、高风险地区定义，制定高风险供应链评估标准、调查处理程序、交易监控、文件保存等内容。上述制度通过合规总监、董事会审批后已下发至公司各部门。
According to the 9th Edition of LBMA Responsible Gold Guidance and LBMA Responsible Silver Guidance, the Company formulated the Due Diligence Management Procedure for LBMA Responsible Gold and Silver Supply Chain, Due Diligence Policy for Gold/Silver Responsible Supply Chain, and Management Measures forSupply Chain Risk Mitigation, which were mainly for defining the organizational structure, responsibilities, and high-risk region definition of supply chain due diligence, and formulating high-risk supply chain evaluation standards,investigation and processing procedures, transaction monitoring, documents retention, etc. The above system has been approved by the Compliance Director and the Board of Directors and issued to all departments of the Company.
2.2职责与权限
2.2 Duties and authorities
公司设置合规总监、合规风控官以及合规专员。
The Company has set up Compliance Director, Compliance Risk Control Officer and Compliance Officer.
合规总监负责建立健全供应链尽职调查管理体系，监督供应链尽职调查流程，协调处理尽职调查中的异常情况。对外根据我司原料采购政策、生产、财务以及销售等实际情况需要审批与供应商合作合同的签订（包括是否与高风险供应商合作），并负责对供应商进行尽职调查相关事宜。对内根据LBMA负责任黄金／白银指南文件，对相关员工进行培训，使相关负责人明白自己在尽职调查政策实施中的职责。
It is the Compliance Director who takes charge of establishing and improving the supply chain due diligence management system, supervising the supply chain due diligence process as well as coordinating the handling of anomalies in due diligence. Externally, we need to approve the signing of cooperation contracts with suppliers (including whether to cooperate with high-risk suppliers) based on our raw material procurement policies, production, finance, and sales conditions with responsibility for conducting due diligence on suppliers. Internally, relevant employees should be trained in accordance with the LBMA Responsible Gold/Silver Guidance Document to enable relevant responsible persons to be aware of their responsibilities when thedue diligence policies are implemented.
合规风控官由公司副总经理担任，协助总监全面负责黄金／白银供应链尽职调查事务。负责制定并更新供应链尽职调查政策、制度，高风险供应链评判标准和执行供应链尽职调查措施，监督、检查各部门的落实情况并考核，汇报供应链尽职调查中的异常情况，组织培训等工作。
The post of Compliance Risk Officer is held by the Company’s Deputy General Manager, assisting the Director with full responsibility for the due diligence of the gold/silver supply chain. Besides formulating and updating supply chain due diligence policies and systems, evaluating standards for high-risk supply chains and implementing supply chain due diligence measures are also needed to supervise and inspect the implementation of various departments with assessment, report for abnormalities in supply chain due diligence, and training organization.
合规专员由交割部、业务部、财务部、收发部、质检中心、精炼车间指派，负责严格执行供应链尽职调查措施，零容忍和高风险供应链评判标准，收集并保存足够的供应链证明文件。
The Compliance Officer is appointed by the Delivery Department, Business Department, Finance Department, Receiving and Distribution Department, Quality Inspection Center, and Refining Workshop with responsibility for strictly implementing supply chain due diligence measures, zero tolerance, and high-risk supply chain evaluation standards, and collecting and maintaining sufficient supply chain supporting documents.
公司制定了对合规人员的问责机制，要求相关专员定期向高级管理人员汇报供应链尽职调查情况。通过监督与检查，确保了供应链尽职调查工作得到有效的实施，规避高风险供应链的交易。
The Company has established an accountability mechanism for compliance personnel, requiring relevant specialists to regularly report supply chain due diligence to senior management. Through supervision and inspection, the supply chain due diligence work has been effectively implemented to avoid high-risk supply chain transactions.
3、强有力的内部追溯体系
3. Strong internal traceability system
公司建立了一套供应链可追溯体系，收集和维护每一批产品的供应链信息，为每一批产品分配编号。
In order to collect and maintain supply chain information for each batch of products and assign numbers to each batch of products, the Company has established a supply chain traceability system.
3.1供应链可追溯体系
3.1 Supply chain traceability system
通过收集尽职调查问卷（KYC）并审查供应商资质、业务运营、股东信息和物料来源等，供应商资信调查通过后签订合同以及承诺书，承诺原料合法，符合LBMA负责任黄金/白银采购政策；供应商送的每一批来料，都有来料验收单，表明产品类型、熔前熔后重量等，验收人员和供应商签字确认；熔炼取样化验，最后形成标准金银锭，分配编号，通过上海黄金交易所进行交易。
After collecting a Due Diligence Questionnaire (KYC) and reviewing the suppliers’ qualifications, business operations, shareholder information, and material sources, the suppliers withthe credit investigation qualification signed a contract and letter of commitment, promising that the raw materials are legal and comply with procurement policy of LBMA responsible gold/silver. For each batch of incoming materials sent by the suppliers, an incoming material acceptance sheet should be provided, indicating the product type, weight before and after melting, etc., which was signed by the acceptance personnel and the suppliers for confirmation. After smelting, sampling and testing, standard gold and silver ingots are finally formed, assigned with a number, and traded through the Shanghai Gold Exchange.
公司对所有交易情况进行监督，确保交易与供应链调查一致。使用在线黄金管理系统以及电子台账记录黄金、白银来料，确保物料可追溯。对于所有的原料入库均保留完整的单据资料，对于入库的金/银料保存有入库单、检验单、财务凭证等。明确各个部门应在日常工作中收集保存的资料，由业务部、检测中心、财务部对相关单据进行保存，并定期将相关资料送至档案室进行存档，保存期限均高于5年。
The Company monitored all transactions to ensure that they are consistent with supply chain investigations. With an online gold management system and electronic ledger to record incoming gold and silver materials, traceability of materials was ensured. For all raw materials warehoused, complete documentation was maintained.For gold/silver materials warehoused, warehouse receipts, inspection sheets, and financial vouchers were maintained. The information that each department should collect and store in their daily work is needed to be specified. The business department, testing center, and finance department will store the relevant documents, and regularly send the relevant information to the archive room for archiving with the storage period of higher than 5 years.
3.2维护资料
3.2 Maintenance data
在业务开展中，供应商身份证、身份验证资料、营业执照、资质验证资料、供应商尽职调查表、每一批次的验收单、检测单、结算单等相关记录保存5年以上。
As business is carried out, relevant records should be kept for more than 5 years, such as supplier ID cards, identity verification materials, business licenses, qualification verification materials, supplier due diligence questionnaires, acceptance forms, testing forms, and settlement forms for each batch.
3.3培训
3.3 Training
公司将供应链尽职调查管理培训、采掘业透明度倡议EITI原则及标准培训和反洗钱、反恐怖主义融资的培训纳入公司年度培训计划当中，定期组织公司重点岗位以及合规专员进行以上相关培训。我司合规部门于2022年已组织公司各相关部门人员进行了四次培训，确保供应链尽职调查管理工作落到实处，相应的培训记录均已存档保留。
The Company incorporated supply chain due diligence management training, EITI principles and standards training for extractive industry transparency initiatives, and training on anti-money laundering and anti-terrorist financing into its annual training plan. In order to conduct the above related training, the Company implemented regular organizations for key positions and compliance officers of the Company. Our compliance department has organized four training sessions for personnel from relevant departments of the company in 2022 to ensure that supply chain due diligence management is implemented with corresponding training records archived and retained.
3.4通过官方银行渠道收付款
3.4 Collection and payment through official bank channels
公司所有业务均通过官方银行渠道收款和付款，没有任何现金交易。全部由业务部门发起资金事项联签程序，通过公司基本户所在的银行网上付款，并打印银行回单作为凭证附件保留。财务合规专员负责交易监控工作，对不符或以任何形式疑似不符的交易背景进行检查，并报告合规总监。2022年度没有发现不符及任何形式不符的情况。
Through official banking channels, the Company received and paidfor all businesses without any cash transactions. The Business Department initiated the fund transaction countersigning process so that payments are finished online through the bank where the Company’s basic account is located. Moreover, the bank receipts are printed as an attachment to the voucher. With responsibility for transaction monitoring, the Financial Compliance Officer checked the background of transactions that are inconsistent or suspected to be inconsistent in any form as well as reported to the Compliance Director. In 2022, no discrepancies or any forms of discrepancies were found.
4、强化合作，协助黄金/白银供应交易方建立尽职调查能力
4. Strengthening for cooperation to assist gold/silver supply traders in establishing due diligence capabilities
公司鼓励与供应商建立基于信任和互认的长期关系，特别是遵守《经济合作与发展组织关于来自受冲突影响和高风险区域矿石的负责任供应链尽职调查指南》并扩展至环境和可持续性责任的供应商。
The Company encouraged long-term relationships based on trust and mutual recognition with suppliers, especially complying with the Due Diligence Guidelines of OECD for Responsible Supply Chains of Minerals from Conflict Affected and High Risk Regions, and expanding to suppliers with environmental and sustainability responsibilities.
公司将黄金、白银供应链的政策与要求、电子培训教材等通过电子邮件、短信、社交软体等方式传达给供应商，提高供应链交易方建立尽职调查能力。2022年对供应商进行了线上培训和经验分享，以确保他们了解公司LBMA管理的要求和供应链政策，协助供应商更大程度地建立尽职调查能力。
For the sake of improving the capabilities of supply chain traders to establish due diligence, the Company communicated policies and requirements for gold and silver supply chains, electronic training materials, etc. to suppliers through email, SMS, social software, and other means. In 2022, online training and experience sharing were conducted for suppliers to ensure that they understand the Company’s LBMA management requirements and supply chain policies, and to assist suppliers in building due diligence capabilities to a greater extent.
公司2022年度签约的所有供应商均签署了相关《承诺书》，承诺黄金、白银来源合法合规，拒绝零容忍和高风险。公司与上游供应严格遵守合同和法律的规定及EITI的相关原则，有助于上游供应商更大程度的透明度的实现。
All suppliers contracted by the Company in 2022 have signed the relevant Letter of Commitment, promising that the source of gold and silver is legal and compliant with rejection for zero tolerance and high risk. The Company and upstream suppliers strictly abide by the provisions of contracts and laws and the relevant principles of EITI, contributing to achieve greater transparency for upstream suppliers.
5、建立申诉机制
5. Establishment of a complaint mechanism
公司利用官网平台，公布电话和邮箱，允许员工和外部利益相关者表达对供应链或任何新的识别风险的担忧。公司已建立了完善的申诉机制并严格执行，在整个申诉过程中保护员工隐私，对举报人信息保密，杜绝任何行为的打击报复。
Withthe official website platform to publish phone numbers and email addresses, the Company allows employees and external stakeholders to express concerns about the supply chain or any new identified risks. Having established a sound complaint mechanism, the Company implemented it to protect employee privacy throughout the complaint process in a strict manner and keep confidential for the informant’s information with prevent of retaliation for any behavior.
申诉渠道在官网公示：https://zhlsy.com/zygg/info_17_itemid_86.html
The complaint channel is accessible on the official website: https://zhlsy.com/zygg/info_17_itemid_86.html
截至2022年底申诉小组没有收到内部员工或供应商的风险申诉信息。
By the end of 2022, the complaint team had not received any risk complaintinformation from internal employees or suppliers.
第二步 供应链风险的识别与评估
Step 2: Identify and assess risk in the supply chain
合规声明与要求：
Compliance Statement with Requirement:
我公司已经充分遵守第2步骤：对供应链中的风险进行识别和评估。
We have fully complied with Step 2: Identify and assess risk in the supply chain.
公司制定了受冲突影响和高风险区域（CAHRA）定义流程与判定标准，并对识别出来的风险规定了处理程序，充分对供应链中的风险进行识别、评估和缓解。2022年度，公司主要从国内供应商采购当地金银回收料和矿山料，根据受冲突影响和高风险区域的识别程序判定，中国未被识别为受冲突影响和高风险区域。截止到目前，均未识别出零容忍和高风险。
The Company formulated the conflict-affected and high-risk areas (CAHRA) definition process and judgment standards, and stipulated the processing procedures for the identified risks, fully identifying, evaluating and mitigating the risks of the supply chain. In 2022, the Company mainly purchased local gold and silver recycling materials and mining materials from domestic suppliers. According to the identification procedures for conflict-affected and high-risk areas, China has not been identified as a conflict-affected and high-risk area. Neither zero tolerance nor high risk has been identified so far.
1、识别供应链风险
1. Identification of risks of supply chain
根据《经济合作与发展组织关于来自受冲突影响和高风险区域矿石的负责任供应链尽职调查指南》，黄金/白银冶炼公司应识别相关风险包括密切关注来自侵犯人权、武装冲突、非法开采、开采利用汞以及源于世界遗产遗址等地区的黄金和白银，以及用于贿赂、洗钱、恐怖主义融资等行为的黄金/白银。公司为每个供应商建立供应商档案，根据风险状况进行了调查，在与其签合同之前完成供应商档案的建立工作。
According to OECD Due Diligence Guidance for Responsible Supply Chains of Minerals from Conflict-affected and High-risk Areas, gold/silver smelters should identify associated risks. For example, they should pay close attention to gold and silver originating from areas under circumstances such as human rights abuses, armed conflict, illegal mining, mining and utilization of mercury, as well as gold and silver mined from world heritage sites or those used for bribery, money laundering, terrorist financing, etc. The Company established supplier files for each supplier, conducted an investigation according to the risk level, and completed the establishment of the supplier file before signing a contract.
2、评估供应链风险
2. Evaluation of risks of supply chain
2.1供应链调查
2.1 Investigation of supply chain
公司通过以下措施对供应链进行尽职调查，并完成了尽职调查问卷：
By virtue of the following measures, the Company carried out due diligence on the supply chain, with due diligence questionnaire completed:
（1）资质验证。对于所有供应商均进行供应链的尽职管理调查，在进行合作前要求合作方提供相应的资质证明文件，法人客户提供营业执照，个人客户提供身份证复印件，矿山客户还需要提供采矿许可证、环评认证以及关注矿工佩戴劳保、健康安全交易、职业病体检等。
(1) Qualification verification. Supply chain due diligence shall be carried out for all suppliers. Before cooperation, partners are required to provide corresponding qualification certificates. Legal person customers shall provide business licenses. Individual customers shall provide copies of ID cards, and mining customers also need to provide mining licenses, EIA certification with attention paid to miners wearing labor insurance, health and safety transactions and physical examination of occupational diseases, etc.
（2）建立供应商档案。对供应商基本情况、股东信息、提供原料类型及产地、计划精炼贵金属类型、与其供应商结算方式、供应商概况等信息进行详细调查，并尽可能的将供应链调查向供应商的上游延伸，最终确定其风险等级，对于涉及高风险标准的供应商终止合作。
(2) Creating supplier files. It is required to carry out detailed investigations on the basic situation of suppliers, shareholder information, types and origins of raw materials provided, types of precious metals planned to be refined, methods of settlement with suppliers, supplier profiles and other information. In addition, it is needed to extend the supply chain investigation to the upstream of suppliers as much as possible, finalizing its risk level and terminating cooperation with suppliers involving high risk criteria.
（3）建立来料登记簿。对供应商当批次来料的日期、重量、原料来源、主要上游供应商进行调查登记，判断其来料风险等级。
(3) Creating register books for incoming materials. It is required to investigate and register the date, weight, source of raw materials, and major upstream suppliers of the supplier’s incoming batches of materials, judging the risk level of the incoming materials.
（4）建立供应商年度调研报告工作流程。对除银行之外的全年黄金、白银来料量前三名进行专项尽职调查，形成供应商年度调查报告，内容包括：供应商概况、资质信息、来料类型及所占比重、上游供应商概况及名单、原料产地及品种、是否存在国外黄金、白银等。
(4) Establishing annual survey report workflow of supplier. It is required to carry out special due diligence on the top three annual gold and silver incoming materials other than banks, and form annual supplier investigation reports, including: supplier profile, qualification information, incoming material type and proportion, upstream suppliers overview and list, origin and variety of raw materials, whether there is foreign gold and silver, etc.
（5）建立客户专项调研报告工作流程。在走访客户时，对原料来源进行追溯，向供应商传达尽职调查管理政策。
(5) Establishing customer-specific research report workflow. When visiting customers, it is required to trace the source of raw materials and convey the due diligence management policies to suppliers.
（6）对产品的去向进行尽职调查。针对黄金、白银销售业务，对一次性购买黄金重量超过30公斤或累计购买超过100公斤的客户，一次性购买白银重量超过2000公斤或累计购买超过5000公斤的客户，进行产品去向尽职调查工作，充分发挥网络作用，利用天眼查、中国审判信息网等网站对供应商资质情况、失信情况、诉讼情况、处罚情况进行查询，对涉及高风险行为的供应商终止合作。
(6) Conducting due diligence on whereabouts of the products. With regard to gold-and-silver sales business, for customers who purchase more than 30 kilograms of gold at one time or purchase more than 100 kilograms in total, and customers who purchase over 2,000 kilograms of silver at a time or purchase more than 5,000 kilograms in total, it is required to conduct due diligence on the whereabouts of products, give full play to the role of network, use Tianyancha (a business data and investigation platform), China Judgment Information Website as well as other websites to inquire about supplier qualifications, dishonesty, litigation, and punishment, and terminate cooperation with suppliers involved in high-risk behaviors.
2.2 CAHRA的判定。公司制定了CHARA的定义流程。公司采用以下资源和标准判定CAHRA：
2.2 Judgment of CAHRA. The Company developed definition processes for CHARA. The following resources and criteria are applied to determine CAHRA by the Company:
(1) 脆弱国家指数（2022） Fragile States Index（2022）
(1) Fragile States Index (2022)
(2) 全球冲突晴雨表（2021版）
(2) Global Conflict Barometer (2021)
(3) 联合国人类发展指数（UN Human Development Indicator）
(3) UN Human Development Indicator
(4) 多德-弗兰克法案第 1502条列“指明国家）
(4) “Designated Countries” listed in the Section 1502 of the Dodd-Frank Act
(5) 欧盟根据 2017/821条例提供的CAHRA清单
(5) CAHRA List provided by the European Union under Regulation 2017/821
(6) 联合国人权事务高级专员办事处或同等机构
(6) The Office of the High Commissioner for Human Rights (UN Human Rights) or equivalent institutions
(7) 金融行动特别工作组 (FATF) 的报告(包括相关国家/地区报告)
(7) Financial Action Task Force (FATF) Reports (including reports about relevant countries/regions)
(8) 关于高风险黄金中心/转运中心和高洗钱风险国家/地区的可靠市场情报
(8) Reliable market intelligence on high-risk gold centers/transit centers and countries/regions with high risks of money laundering
2.3 零容忍和高风险供应链
2.3 Zero tolerance and high-risk supply chains
根据LBMA和OECD相关规定，结合公司实际情况，特规定如下零容忍和高风险供应链评判标准：
Based on the relevant regulations of LBMA & OECD and combined with the actual situation of the Company, the following criteria for judging zero-tolerance and high-risk supply chains are specially stipulated:
零容忍风险：
Zero-tolerance risks:
（1）矿山金/银来自被指定为世界遗产地的地区。
(1) Mined gold/silver comes from areas designated as World Heritage Sites.
（2）以违反国际制裁(包括但不吸纳与联合国、欧盟、英国和美国制裁)的方式采购矿山金/银、再生金/银。
(2) Purchasing mined gold/silver and recycled gold/silver in a manner that violates international sanctions (including but not inclusive of sanctions imposed by the United Nations, the European Union, the United Kingdom, and the United States).
（3）矿山金/银、再生金/银的供应对手方、其他已知的上游公司或其 UBO 是已知的洗钱者、欺诈者或恐怖分子，或曾严重侵犯人权，或直接或间接支持非法非国家武装组织。
(3) Suppliers of mine gold/silver, recycled gold/silver, other known upstream companies or their UBOs are known as money launderers, fraudsters or terrorists, or have seriously violated human rights, or directly or indirectly supported illegal non-state armed groups.
矿山金的高风险标准：
High-risk criteria of mining gold:
Ø 高风险的位置
Ø High-risk locations
（1）黄金／白银(含金／银精矿)来自受冲突影响和高风险地区 (CAHRA) 或曾在该等地区过境或通过该等地区运输。
(1) Gold/silver (containing gold/silver concentrate) originating from or transited through or transported through conflict-affected and high-risk areas (CAHRAs).
（2）黄金／白银(含金／银精矿)据称来自已知或合理怀疑来自 CAHRA 的黄金/白银过境的国家/地。
(2) Gold/silver (containing gold/silver concentrate) purportedly originating from countries/regions known or reasonably suspected to be transited gold/silver from CAHRA.
（3）黄金／白银(含金／银精矿)据称来自已知储量、可能资源或预期产量有限的国家/地区。
(3) Gold/silver (containing gold/silver concentrate) purportedly originating from known countries/regions with limited reserves, possible resources or expected production.
Ø 高风险供应商/交易方或其他已知上游公司：
Ø High risk suppliers/parties or other known upstream companies:
（1）具有符合基于位置高风险标准的股东或最终收益方或其他黄金白银供应权益
(1) With shareholders or ultimate beneficiaries or other gold and silver supply interests that meet the high risk criteria based on location
（2）具有身为政治人物最终收益方
(2) With the ultimate beneficiary as a politician
（3）从事高风险商业活动(如军火、赌博和娱乐业、古董和艺术、教派及其领袖)
(3) Being engaged in high-risk business activities (such as arms, gambling and entertainment, antiques and art, sects and as their leaders)
（4）已知在过去12 个月曾从高风险国家/地区采购黄金/白银
(4) Known to have purchased gold/silver from high-risk countries in the past 12 months
（5）提供的文件有重大差异/不一致，或拒绝提供所要求的文件。
(5) With substantial discrepancies/inconsistencies in the documents provided, or refusal to provide the requested documents.
Ø 高风险物料：
Ø High-risk materials:
（1）采购自ASM
(1) Purchased from ASM
（2）使用汞生产
(2) Produced with mercury
（3）造成灾难性伤害或高度不利的ESG 因素(在公司尽可能能够识别的范围内)
(3) Catastrophic injury or highly adverse ESG factors (to the extent that the Company is able to identify them)
再生金的高风险标准
High-risk criteria for recycled gold
Ø 高风险的位置
Ø High-risk locations
（4）再生金/再生银来自受冲突影响和高风险地区 (CAHRA) 或曾在该等地区过境或通过该等地区运输。
(4) Recycled gold/silver originating from or transited through or transported through conflict-affected and high-risk areas (CAHRAs).
（5）再生金/再生银据称来自已知或合理怀疑来自 CAHRA 的黄金/白银过境的国家/地区。
(5) Recycled gold/silver purportedly originating from countries/regions known or reasonably suspected to have been transited gold/silver from CAHRA.
（6）再生金/再生银据称来自已知储量、可能资源或预期产量有限的国家/地区。
(6) Recycled gold/silver purportedly originating from countries/regions with limited known reserves, possible resources or expected production.
Ø 高风险供应商/交易方或其他已知上游公司：
Ø High risk suppliers/transaction parties or other known upstream companies:
（1）在具有高洗钱风险的国家/地区运营
(1) Operating in a country with a high risk of money laundering
（2）具有符合基于位置高风险标准的股东或最终收益方或其他黄金白银供应权益
(2) With shareholders or ultimate beneficiaries or other gold and silver supply interests that meet the high risk criteria based on location
（3）具有身为政治人物最终收益方
(3) With ultimate beneficiaries as politicians
（4）从事高风险商业活动(如军火、赌博和娱乐业、古董和艺术、教派及其领袖)
(4) Being engaged in high-risk business activities (such as arms, gambling and entertainment, antiques and art, sects and their leaders)
（5）已知在过去 12 个月曾从高风险国家/地区采购黄金/白银
(5) Known to have purchased gold/silver from high-risk countries in the past 12 months
（6）与供应链中的供应商或对手方之间有重要且无法解释的运输路线。
(6) There are important and unexplained transportation routes with suppliers or counterparties in the supply chain.
Ø 高风险物料：
Ø High-risk materials:
（1）来自具有高风险供应链的中间精炼厂或交易商或从具有高风险供应链的中间精炼厂采购的交易对手方
(1) Transaction counterparties from intermediate refineries or traders with high-risk supply chains or purchases from intermediate refineries with high-risk supply chains
（2）无法证明其为再生金/再生银
(2) Unable to prove that to be recycled gold/silver
当上述评判标准任何一条客观存在时，则判定为零容忍或高风险。对于识别到的零容忍风险，公司将立即终止与交易方的合作并由合规专员应立即上报合规风控专员，由合规风控专员上报合规总监。
When any of the above criteria matches with the reality, the situation should be judged as zero tolerance or high risk. For the zero-tolerance risk identified, the Company will immediately terminate the cooperation with the transaction party and the compliance officer should immediately report it to the compliance risk control officer. Then, the compliance risk control officer should report it to the compliance director.
2.4 公司建立风险评估流程，对公司黄金、白银供应商风险进行评估：
2.4 With the risk assessment procedure established, the assessment of risks of the company’s gold and silver suppliers was carried out:
由合规部、业务部、财务部负责对风险事件造成的损失进行量化评估，对相关责任人追究其责任，对风险事件跟踪调查，消除危险源，减少损失。
The quantitative assessment of the losses caused by risk events was carried out by the Compliance Department, Business Department and Finance Department to investigate the relevant responsible persons andconduct the follow-up investigation of risk events, with the elimination of danger sourcesand the reduction of losses.
公司通过KYC流程对上游原料供应商进行尽职调查，主要包括供应商基本信息，业务活动，供应商股东和受益人信息，物料来源，负责任采购建立和实施情况，ESG基本情况，反洗钱、反贿赂和反恐怖主义融资的相关规定，强迫劳工和物料运输情况。公司收集了所有黄金白银交易方的KYC信息，结合制定的《风险评估表》对交易方进行了CAHRAs识别和风险识别。所有物料均来自于中国，且中国未被识别为CAHRAs,也未识别出供应商和其供应链中有零容忍风险和高风险。
The due diligenceon upstream material suppliers was conducted by the Company through the KYC procedure, mainly including basic information on suppliers, business activities, suppliers’ shareholders and beneficiary information, sources of materials, the establishment and implementation of responsible procurement, basic information on ESG, relevant provisions on anti-money laundering, anti-bribery and anti-terrorist financing, forced labor and material transportcondition.KYC information of all gold and silver trading parties were collected by the Company, and combined with the formulated Risk Assessment Form, the CAHRAs identification and riskidentificationfor trading parties were carried out. All materials are from China, and China has not been identified as CAHRAs, with the non-identification of zero-tolerancerisk and highrisk in suppliers and its supply chain.
如果一旦供应链中有任何的高风险被识别出来，公司根据《LBMA负责任黄金指南第9版》，《LBMA负责任白银指南》和《《经济合作与发展组织关于来自受冲突影响和高风险区域矿石的负责任供应链尽职调查指南》（第三版）设计了《现场考察表》对涉及高风险的供应商通过线上和现场拜访的形式进行加强型尽职调查，如可能，会聘请有资质的公司执行，以确定并评估风险。因公司未识别出任何的高风险，所以没有也无需实施加强型尽职调查流程。
In case any risk in the supply chain is identified, in accordance with the9th Edition of LBMA Responsible Gold Guidance, the LBMA Responsible Silver Guidanceand theOECD Guidance on Responsible Supply Chain Due Diligence for Ores from Conflict-affected and High-risk Regions (Third Edition),theSite Inspection Formwould be designed by the Company to enhance the due diligence on the suppliers involving high risk in the form of online and on-site visits. If any, a qualified company would be employed to determine and assess the risk. As the Company did not identify any high risk, an enhanced due diligence processwas not or needed not be implemented.
3、向高级管理层报告风险评估
3. Report risk assessment to the senior management
公司建立风险评估报告制度，每年合规专员对部门尽职调查工作汇报合规风险官。2022年年度的风险识别和评估结果已经汇报给风险总监并保留了相应的传达记录。
With risk assessment reporting system established, the Compliance Officer reports annually the department due diligence work to the Compliance Risk Officer. The 2022 annual risk identification and assessment results have been reported to the Risk Director and a corresponding communication record has been retained.
第三步 设计并实施策略来应对已识别的风险
Step 3: Design and implement a management strategy to respond to identified risks
合规声明与要求：
Compliance Statement with Requirement:
我公司已经充分遵守第3步：设计和落实管理体系应对识别的所有风险。
We have fully complied with Step 3: Design and implement a management system to respond to identified risks.
公司制订了《供应链风险减缓管理办法》并作为文控管理，约定了在供应商评估及日常业务开展过程中发现的违规情况的处理方式；规范了发现供应商存在高风险行为的处理步骤；明确了尽职管理各级组织、人员的责任，以及向高级管理人员汇报实施进度等。
The Supply Chain Risk Mitigation Management Approach was formulated by the Company and it was taken as the document control and management, with the agreement of the method of dealing with violations found in supplier evaluation and daily business development; The procedures for finding high risk behaviors in suppliers were regulated; The responsibilities of due diligence management of all levels of organization and personnel were clarified, and the implementation progress to senior management was reported.
疑似高风险来料后，对其进行单独登记，并告知精炼车间，对其原料单独熔炼，在整个工艺流程中不与其他客户混合，对由其原料生产的成品金银进行单独编号，并在金库中与其他成品金银分区域存放。
High-risk or suspected high-risk incoming materials shall be registered separately and conveyed to the refining workshop. The corresponding raw materials shall be melted separately and shall not be mixed with the raw materials from other customers in the whole process flow. The finished gold and silver produced by such raw materials shall be numbered separately and stored separately with other finished gold and silver in the vault.
如果供应链中识别出零容忍的风险，公司必须立即终止现有的业务关系。
If a zero-tolerance risk is identified in the supply chain, the Company must immediately terminate the existing business relationship.
当实施加强型尽职调查后，识别出以下问题，公司应立即停止与交易方的合作关系，并及时汇报给LBMA：
Where the following problems are identified after the enhanced due diligence is carried out, the Company shall immediately stop the cooperative relationship with the trading party and report to LBMAwithout delay:
1. 洗钱
1. Money laundering
2. 恐怖主义融资
2. Terrorist financing
3. 严重侵犯人权
3. Serious violations of human rights
4. 直接或间接支持非国家武装组织
4. Direct or indirect support for non-state armed groups.
5. 谎报矿物产地
5. Misrepresentation of mineral origin
当实施加强型尽职调查后，对以下问题有合理的怀疑，公司应立即暂停与交易方的合作关系，一旦在6个月内从供应商初获取对下述怀疑的反驳性证明和回应，即可由合规总监审批后恢复业务关系。
If there is reasonable doubt about the following problems after the implementation of the enhanceddue diligence, the cooperation with counterparty shall be temporarily suspended by the Company. After the refutation and response to the following suspicions are obtained from the suppliers within six months, business relationship can be resumed upon approval by the Compliance Director.
1. 洗钱
1. Money laundering
2. 恐怖主义融资
2. Terrorist financing
3. 严重侵犯人权
3. Serious violations of human rights
4. 直接或间接支持非国家武装组织
4. Direct or indirect support for non-state armed groups.
5. 谎报矿物产地
5. Misrepresentationof mineral origin
6. 具有灾难性的ESG影响
6. Catastrophic ESG effects
当实施加强型尽职调查的结果不令人满意，或被认为依然存在以下情况，但是供应商已经做出合理和善意的努力，公司可以继续与供应商合作，并与供应商一起继续执行制定的改善计划：
If the implement of due diligence result is not satisfactory, or if it is considered that the supplier has made reasonable efforts in good faith despite the following circumstances, the cooperation with suppliers can be kept by the Company, and the formulated improvement plan can be together executed:
1. 贿赂
1. Bribery
2. 非欺诈性误报矿物产地
2. Non-fraudulent misreporting of mineral origin
3. 未支付应付政府的税收、费用和特许权使用费
3. Failure to pay taxes, fees and royalties due to the government
4. 严重违反与环境、健康、安全、劳工和社区有关的地方立法，及/或存在极有可能造成高度不利影响的 ESG 风险。
4. Serious violation of environmental, health, safety, labor and community-related local methods, which is highly likely to cause serious adverse effects.
对任何识别出的风险，公司将会与交易方和利益相关方进行沟通并制定相应的风险缓解计划。风险缓解计划实施后，相关的风控专员就供应商提供材料证据与反馈的过程进行记录，对供应商所提交的材料进行核实与审查，确保风险缓解进展与实施的有效性并记录。
With respect to any identified risks, the Company will communicate with counterparties and stakeholders and formulate appropriate risk mitigation plans.After the implementation of the riskmitigation plan, the process of providingmaterial evidence and feedback by suppliers will be recorded by the relevant risk control specialist to verify and review the materials submitted by suppliers, with the guarantee and record of effectiveness of risk mitigation progress and implementation.
公司严格遵守LBMA负责任黄金、白银指南，设计并实施策略来应对已识别的风险。2022年未发现零容忍和高风险供应链，不需要做风险缓解措施。
The Company has strictly complied with LBMA Responsible Gold and Silver Guidance and designed and implemented strategies to respond to identified risks. No zero-tolerance and high-risk supply chain is found in 2022 and no risk mitigation measures of supply chain are taken.
第四步 对精炼商的尽职调查实践开展独立的第三方审计
Step 4 Conduct an independent third-party audit of the refiner’s due diligence practice.
合规声明与要求：
Compliance Statement with Requirement:
我公司已经充分遵守第4步：安排供应链尽职调查的独立第三方审计。
We have fully complied with Step 4: Arrange for an independent third-party audit.
公司严格遵守对精炼商的尽职调查实践开展独立的第三方审计的要求。自2020年开始，公司已委托RCS Global进行LBMA相关负责任合规审计并依照审计要求提供相关数据及文件。
The Company has strictly complied with the requirements of Step 4 of the LBMA Responsible Gold and Silver Guidance “conduct an independent third-party audit of the refiner’s due diligence practice” and have appointed RCS Global to audit the supply chain due diligence system of the Company in since 2020.
公司每年聘请独立的第三方审计机构（深圳和诚会计师事务所）对财务进行审计，并出具审计报告。
The company hire third party auditors(Shenzhen Hecheng Certified Public Accountant) to conduct financial audit and issue audit report every year.
第五步 供应链尽职调查年度报告
Step 5 Annual report on supply chain due diligence
合规声明与要求：
Compliance Statement with Requirement:
我公司已经充分遵守第5步：有关供应链尽职调查的报告。
We have fully complied with Step 5: Report on supply chain due diligence.
公司严格遵守供应链尽职调查年度合规报告的要求。
The Company has strictly complied with the requirements of Step 5 of the LBMA Responsible Gold and Silver Guidance “annual report on supply chain due diligence”.
公司每年对供应链尽职调查政策进行公示。
The Company publicizes the supply chain due diligence policy every year.
根据2022年的尽职调查结果，无供应商需要进行风险缓解的管理策略。在2022年度无黄金、白银供应链的评估结果为未识别出零容忍的风险和高风险。供应链尽职管理合规报告将在公司官方网站进行公示:
https://zhlsy.com/zygg/info_17_itemid_91.html
According to the due diligence results in 2022, no supplier was required to implement a risk mitigation management strategy. In 2022, there were no suppliers whose gold and silver assessment results were zero-tolerance or high risk. The supply chain due diligence management compliance report will be published on the Company’s official website:
https://zhlsy.com/zygg/info_17_itemid_91.html
四、管理结论
IV. Management conclusion
综上所述，在报告年度截至于2022年12月31日的财务年内，根据《伦敦金银市场协会（LBMA）负责任黄金指南第9版》的要求，深圳市众恒隆实业有限公司实施了有效的管理制度、程序、流程和实践。深圳市众恒隆实业有限公司致力于不断的改进提升，所有的纠正措施将在内部进行定期监测。
In conclusion, in the financial year ended December 31, 2022, Shenzhen Zhonghenglong Industrial Co., Ltd. has implemented effective management systems, procedures, processes and practices in accordance with the LBMA Responsible Gold and Silver Guidance. Shenzhen Zhonghenglong Industrial Co., Ltd. is committed to continuous improvement and all corrective measures will be regularly monitored internally.
五、其他报告批注
V. Other report comments
如果本报告用户希望就本报告向深圳市众恒隆实业有限公司进行任何反馈，则可以通过邮箱478152938@qq.com联系企业相关部门。
If users of this report wish to provide any feedback to Shenzhen Zhonghenglong Industrial Co., Ltd with respect to this report, feel free to contact related departments of the enterprise by E-mail 478152938@qq.com.
公司名称：深圳市众恒隆实业有限公司
Company name: Shenzhen Zhonghenglong Industrial Co., Ltd
地址：广东省深圳市龙华区民康路112号1970科技小镇1栋401
Company address: Rm.401，Block 1, 1970 Science Park, Minkang Rd., Longhua District, Shenzhen City, Guangdong Province
工厂地址：广东省东莞市凤岗镇五联村碧湖大道雨湖路9号
Refinery Address: No.9, Yuhu Road, Bihu Avenue,Wulian Village, Fenggang Town, Dongguan City, Guangdong Province
办事处：深圳市罗湖区水贝二路特力珠宝大厦A座8楼
Purchasing office: 8/F., Block A, Teli Jewelry Building, Shuibeier Road, Luohu District, Shenzhen City
年终报告：2022年度供应链尽职管理合规报告
Year-end report: 2022 Supply Chain Due Diligence Management Compliance Report
报告日期：2023年2月22日
Reporting date: February 22, 2023
报告负责人：曹健（公司副总经理）
Person in Charge: Cao Jian (Deputy General Manager of the company)
Website: WWW.ZHLSY.COM
联系电话：0755-29500999
Tel: 0755-29500999
一、公司概况
I. Company profile
深圳市众恒隆实业有限公司（简称公司），地处广东省深圳市。公司1997年03月18日成立，存续至今，独立法人企业，依托我国矿物加工工艺技术的优势，采用先进的工艺设备和自动化技术，有针对性的解决生产节能环保、矿产资源综合回收、生产废水零排放三大技术难题，形成黄金产业的循环经济发展模式，建设成为节能减排、低碳环保的绿色产业。
Shenzhen Zhonghenglong Industrial Co., Ltd (hereinafter referred to as the Company) is located in Shenzhen City, Guangdong Province. Founded on March 18, 1997, the Company has existed till now and is an independent corporate enterprise. Relying on advantages of mineral processing process and technology of China, the Company adopts advanced process equipment and automated technology to specifically solve three technical problems, namely production energy conservation and environmental protection, comprehensive recovery of mineral resources, zero discharge of production wastewater, thus forming the recycling economy development mode of gold industry and building energy-saving, emission-reduction, low-carbon and eco-friendly green industry.
深圳市众恒隆实业有限公司是华南地区最大的贵金属精炼企业，是上海黄金交易所标准金锭、标准金条、标准银锭提供企业，高效的生产工艺,高品质的贵金属产品,以及环保和安全（已具备ISO/ICE17025、ISO9001、ISO14001资质证书）的三废处理系统的现代化国际标准的提纯精炼企业。现有年生产的银 (Ag)200吨 、黄金 (Au)300吨、铂金 (Pt)、 钯金 (Pd)20吨以及处理各种贵金属废料 400 吨的生产设备和能力,而且各类产品均达到国家和行业规定的标准;环保和废水、废气的排放也达到国家法律规定的标准。
Shenzhen Zhonghenglong Industrial Co., Ltd is the largest precious metal refining enterprise in South China and the approved enterprise of standard gold ingots, standard gold bars and standard silver ingots of Shanghai Gold Exchange. With efficientproduction process, high-quality precious metal products, environmentally-friendly and safe three-waste treatment system, it is a purification and refinement enterprise following modern international standards( the Company has obtained ISO/ICE17025,ISO9001 and ISO14001 certificates). At present, it has production equipment and capacity to annually produce 200 tons of silvers (Ag), 300 tons of gold (Au), 20 tons of platinum (Pt) and palladium (Pd) and could process 400 tons of precious metal wastes. Besides, all products have reached national and industrial standards and environmental protection, waste water and waste gas discharge also reaches standards specified by national laws.
2019年当选“广东省黄金协会，副会长单位”“中国珠宝玉石首饰行业协会常务理事单位”。2020年获得上海黄金交易所颁发的“最佳可提供标准金锭、银锭企业”“最佳风控会员”“综合类年度优秀会员”“最佳竞价交易自营会员”。
In 2019, the Company was selected as “Vice-Chairman Unit of Gold Association of Guangdong Province” and “Standing Director of GEMS & Jewelry Trade Association of China”In 2020, the Company won titles of “Best Enterprise of Standard Gold Ingots and Silver Ingots”, “Best Risk Control Member”, “Comprehensive Annual Excellent Member”, “Best Self-Operated Competitive Price Transaction Member” awarded by Shanghai Gold Exchange.
二、供应商情况概述
II. Condition overview of supplier
公司原料主要来源为从社会中回收的合质金/银(回收金和矿山金)，且均为国内供应商，没有识别出与供应商以及供应链相关联的零容忍风险和高风险。
Main sources of raw materials of the Company are gold/silveralloy purchased from societyand all suppliers are from China. No zero-tolerance and high risk have been identified from suppliers and supply chain.
三、合规情况概述
III. Overview of compliance conditions
公司对所有供应商进行尽职的供应链调查，要求所有供应商提供的原料来源合法、合规。
The Company has carried out supply chain investigation of due diligence for all suppliers and required that resources provided by all suppliers are legal and compliant.
第一步 建立强大的公司管理体系
Step 1: Establish strong company management systems
合规声明与要求：
Compliance Statement with Requirement:
我公司已经充分遵守第1步骤：建立强大的公司管理体系。
We have fully complied with Step 1: Establish strong company management systems.
公司严格遵守《LBMA负责任黄金指南》和《LBMA负责任白银指南》，已经建立了强大的管理体系，确保供应链尽职调查工作全面落地。
The Company has strictly established strong management systems to ensure comprehensive implementation of supply chain due diligence work.
1、政策方面
1. Policy
公司2022年通过并发布了一项《黄金/白银负责任供应链尽职调查政策》（以下简称“政策”），该政策符合《经济合作与发展组织关于来自受冲突影响和高风险区域矿石的负责任供应链尽职调查指南》（第三版）中的规定，并扩展至环境和可持续性责任，该政策已经过合规总监的审查和批复并在公司官网上进行公布。政策网址链接：https://zhlsy.com/zygg/info_17_itemid_85.html
The Company has passed and introduced a supply chain responsible sourcing policy which conforms to OECD Due Diligence Guidance for Responsible Supply Chains of Minerals from Conflict-Affected and High-Risk Areas(Version 3) with extension to environmental and sustainable responsibility. Such policy has been reviewed and approved by compliance director and published on the official website at https://zhlsy.com/zygg/info_17_itemid_85.html
公司已经将该政策传达给所有的黄金白银的交易方以及内部的各个职能部门，相关的传达记录均已保留并存档。
The policy has been issued by the Company to all gold and silver trading parties and each internal functional department with relevant communication records retained and archived.
政策要求公司及其供应商严格遵守国家关于职工权利、环境保护、公平交易等各项法律法规，积极参与供应链尽职调查工作，确保矿产金/银、再生金/银来源符合要求，并作出承诺，拒绝来自侵犯人权、冲突地区、贿赂、洗钱、恐怖主义融资、非法开采、世界遗产遗址、采用汞开采等高风险地区的黄金、白银。公司会每年定期的审查政策并按照要求进行更新，特别是当客户要求或行业标准发生变化时。
According to policy requirements, the Company and its suppliers should strictly comply with various national laws and regulations on employee rights, environmental protection, fair dealing with active participation in supply chain due diligence to ensure that the sources of mineral gold/silver and renewable gold/silver meet the requirements. In addition, commitments need to be made to reject gold and silver from high-risk areas such as human rights violations, conflict zones, bribery, money laundering, terrorist financing, illegal mining, World Heritage sites as well as mercury mining. The Company should regularly review the policy annually and update it as required, especially when customer requirements or industry standards change.
2、管理架构
2. Management structure
根据体系要求，公司已建立了内部管理制度，按照出台的政策对管理、作用、职责、内部审计、沟通进行界定、并开展尽职调查体系的年度管理评审。
According to the system requirements, the internal management system has been established in the Company to define management, roles, responsibilities, internal audit as well as communication in the light of the issued policies, and conductannual management reviews of the due diligence system.
公司已于2022年12月28日进行了年度管理评审，并将管理评审结果汇报给了合规总监。
The Company conducted an annual management review on December 28, 2022 with the results of the management review reported to the Compliance Director.
2.1规章制度方面
2.1 Rules and regulations
公司根据《LBMA负责任黄金指南第9版》和《LBMA负责任白银指南》制订了《LBMA负责任黄金白银供应链尽职调查管理程序》、《黄金/白银负责任供应链尽职调查政策》、《供应链风险减缓管理办法》，主要明确供应链尽职调查组织架构、职责、高风险地区定义，制定高风险供应链评估标准、调查处理程序、交易监控、文件保存等内容。上述制度通过合规总监、董事会审批后已下发至公司各部门。
According to the 9th Edition of LBMA Responsible Gold Guidance and LBMA Responsible Silver Guidance, the Company formulated the Due Diligence Management Procedure for LBMA Responsible Gold and Silver Supply Chain, Due Diligence Policy for Gold/Silver Responsible Supply Chain, and Management Measures forSupply Chain Risk Mitigation, which were mainly for defining the organizational structure, responsibilities, and high-risk region definition of supply chain due diligence, and formulating high-risk supply chain evaluation standards,investigation and processing procedures, transaction monitoring, documents retention, etc. The above system has been approved by the Compliance Director and the Board of Directors and issued to all departments of the Company.
2.2职责与权限
2.2 Duties and authorities
公司设置合规总监、合规风控官以及合规专员。
The Company has set up Compliance Director, Compliance Risk Control Officer and Compliance Officer.
合规总监负责建立健全供应链尽职调查管理体系，监督供应链尽职调查流程，协调处理尽职调查中的异常情况。对外根据我司原料采购政策、生产、财务以及销售等实际情况需要审批与供应商合作合同的签订（包括是否与高风险供应商合作），并负责对供应商进行尽职调查相关事宜。对内根据LBMA负责任黄金／白银指南文件，对相关员工进行培训，使相关负责人明白自己在尽职调查政策实施中的职责。
It is the Compliance Director who takes charge of establishing and improving the supply chain due diligence management system, supervising the supply chain due diligence process as well as coordinating the handling of anomalies in due diligence. Externally, we need to approve the signing of cooperation contracts with suppliers (including whether to cooperate with high-risk suppliers) based on our raw material procurement policies, production, finance, and sales conditions with responsibility for conducting due diligence on suppliers. Internally, relevant employees should be trained in accordance with the LBMA Responsible Gold/Silver Guidance Document to enable relevant responsible persons to be aware of their responsibilities when thedue diligence policies are implemented.
合规风控官由公司副总经理担任，协助总监全面负责黄金／白银供应链尽职调查事务。负责制定并更新供应链尽职调查政策、制度，高风险供应链评判标准和执行供应链尽职调查措施，监督、检查各部门的落实情况并考核，汇报供应链尽职调查中的异常情况，组织培训等工作。
The post of Compliance Risk Officer is held by the Company’s Deputy General Manager, assisting the Director with full responsibility for the due diligence of the gold/silver supply chain. Besides formulating and updating supply chain due diligence policies and systems, evaluating standards for high-risk supply chains and implementing supply chain due diligence measures are also needed to supervise and inspect the implementation of various departments with assessment, report for abnormalities in supply chain due diligence, and training organization.
合规专员由交割部、业务部、财务部、收发部、质检中心、精炼车间指派，负责严格执行供应链尽职调查措施，零容忍和高风险供应链评判标准，收集并保存足够的供应链证明文件。
The Compliance Officer is appointed by the Delivery Department, Business Department, Finance Department, Receiving and Distribution Department, Quality Inspection Center, and Refining Workshop with responsibility for strictly implementing supply chain due diligence measures, zero tolerance, and high-risk supply chain evaluation standards, and collecting and maintaining sufficient supply chain supporting documents.
公司制定了对合规人员的问责机制，要求相关专员定期向高级管理人员汇报供应链尽职调查情况。通过监督与检查，确保了供应链尽职调查工作得到有效的实施，规避高风险供应链的交易。
The Company has established an accountability mechanism for compliance personnel, requiring relevant specialists to regularly report supply chain due diligence to senior management. Through supervision and inspection, the supply chain due diligence work has been effectively implemented to avoid high-risk supply chain transactions.
3、强有力的内部追溯体系
3. Strong internal traceability system
公司建立了一套供应链可追溯体系，收集和维护每一批产品的供应链信息，为每一批产品分配编号。
In order to collect and maintain supply chain information for each batch of products and assign numbers to each batch of products, the Company has established a supply chain traceability system.
3.1供应链可追溯体系
3.1 Supply chain traceability system
通过收集尽职调查问卷（KYC）并审查供应商资质、业务运营、股东信息和物料来源等，供应商资信调查通过后签订合同以及承诺书，承诺原料合法，符合LBMA负责任黄金/白银采购政策；供应商送的每一批来料，都有来料验收单，表明产品类型、熔前熔后重量等，验收人员和供应商签字确认；熔炼取样化验，最后形成标准金银锭，分配编号，通过上海黄金交易所进行交易。
After collecting a Due Diligence Questionnaire (KYC) and reviewing the suppliers’ qualifications, business operations, shareholder information, and material sources, the suppliers withthe credit investigation qualification signed a contract and letter of commitment, promising that the raw materials are legal and comply with procurement policy of LBMA responsible gold/silver. For each batch of incoming materials sent by the suppliers, an incoming material acceptance sheet should be provided, indicating the product type, weight before and after melting, etc., which was signed by the acceptance personnel and the suppliers for confirmation. After smelting, sampling and testing, standard gold and silver ingots are finally formed, assigned with a number, and traded through the Shanghai Gold Exchange.
公司对所有交易情况进行监督，确保交易与供应链调查一致。使用在线黄金管理系统以及电子台账记录黄金、白银来料，确保物料可追溯。对于所有的原料入库均保留完整的单据资料，对于入库的金/银料保存有入库单、检验单、财务凭证等。明确各个部门应在日常工作中收集保存的资料，由业务部、检测中心、财务部对相关单据进行保存，并定期将相关资料送至档案室进行存档，保存期限均高于5年。
The Company monitored all transactions to ensure that they are consistent with supply chain investigations. With an online gold management system and electronic ledger to record incoming gold and silver materials, traceability of materials was ensured. For all raw materials warehoused, complete documentation was maintained.For gold/silver materials warehoused, warehouse receipts, inspection sheets, and financial vouchers were maintained. The information that each department should collect and store in their daily work is needed to be specified. The business department, testing center, and finance department will store the relevant documents, and regularly send the relevant information to the archive room for archiving with the storage period of higher than 5 years.
3.2维护资料
3.2 Maintenance data
在业务开展中，供应商身份证、身份验证资料、营业执照、资质验证资料、供应商尽职调查表、每一批次的验收单、检测单、结算单等相关记录保存5年以上。
As business is carried out, relevant records should be kept for more than 5 years, such as supplier ID cards, identity verification materials, business licenses, qualification verification materials, supplier due diligence questionnaires, acceptance forms, testing forms, and settlement forms for each batch.
3.3培训
3.3 Training
公司将供应链尽职调查管理培训、采掘业透明度倡议EITI原则及标准培训和反洗钱、反恐怖主义融资的培训纳入公司年度培训计划当中，定期组织公司重点岗位以及合规专员进行以上相关培训。我司合规部门于2022年已组织公司各相关部门人员进行了四次培训，确保供应链尽职调查管理工作落到实处，相应的培训记录均已存档保留。
The Company incorporated supply chain due diligence management training, EITI principles and standards training for extractive industry transparency initiatives, and training on anti-money laundering and anti-terrorist financing into its annual training plan. In order to conduct the above related training, the Company implemented regular organizations for key positions and compliance officers of the Company. Our compliance department has organized four training sessions for personnel from relevant departments of the company in 2022 to ensure that supply chain due diligence management is implemented with corresponding training records archived and retained.
3.4通过官方银行渠道收付款
3.4 Collection and payment through official bank channels
公司所有业务均通过官方银行渠道收款和付款，没有任何现金交易。全部由业务部门发起资金事项联签程序，通过公司基本户所在的银行网上付款，并打印银行回单作为凭证附件保留。财务合规专员负责交易监控工作，对不符或以任何形式疑似不符的交易背景进行检查，并报告合规总监。2022年度没有发现不符及任何形式不符的情况。
Through official banking channels, the Company received and paidfor all businesses without any cash transactions. The Business Department initiated the fund transaction countersigning process so that payments are finished online through the bank where the Company’s basic account is located. Moreover, the bank receipts are printed as an attachment to the voucher. With responsibility for transaction monitoring, the Financial Compliance Officer checked the background of transactions that are inconsistent or suspected to be inconsistent in any form as well as reported to the Compliance Director. In 2022, no discrepancies or any forms of discrepancies were found.
4、强化合作，协助黄金/白银供应交易方建立尽职调查能力
4. Strengthening for cooperation to assist gold/silver supply traders in establishing due diligence capabilities
公司鼓励与供应商建立基于信任和互认的长期关系，特别是遵守《经济合作与发展组织关于来自受冲突影响和高风险区域矿石的负责任供应链尽职调查指南》并扩展至环境和可持续性责任的供应商。
The Company encouraged long-term relationships based on trust and mutual recognition with suppliers, especially complying with the Due Diligence Guidelines of OECD for Responsible Supply Chains of Minerals from Conflict Affected and High Risk Regions, and expanding to suppliers with environmental and sustainability responsibilities.
公司将黄金、白银供应链的政策与要求、电子培训教材等通过电子邮件、短信、社交软体等方式传达给供应商，提高供应链交易方建立尽职调查能力。2022年对供应商进行了线上培训和经验分享，以确保他们了解公司LBMA管理的要求和供应链政策，协助供应商更大程度地建立尽职调查能力。
For the sake of improving the capabilities of supply chain traders to establish due diligence, the Company communicated policies and requirements for gold and silver supply chains, electronic training materials, etc. to suppliers through email, SMS, social software, and other means. In 2022, online training and experience sharing were conducted for suppliers to ensure that they understand the Company’s LBMA management requirements and supply chain policies, and to assist suppliers in building due diligence capabilities to a greater extent.
公司2022年度签约的所有供应商均签署了相关《承诺书》，承诺黄金、白银来源合法合规，拒绝零容忍和高风险。公司与上游供应严格遵守合同和法律的规定及EITI的相关原则，有助于上游供应商更大程度的透明度的实现。
All suppliers contracted by the Company in 2022 have signed the relevant Letter of Commitment, promising that the source of gold and silver is legal and compliant with rejection for zero tolerance and high risk. The Company and upstream suppliers strictly abide by the provisions of contracts and laws and the relevant principles of EITI, contributing to achieve greater transparency for upstream suppliers.
5、建立申诉机制
5. Establishment of a complaint mechanism
公司利用官网平台，公布电话和邮箱，允许员工和外部利益相关者表达对供应链或任何新的识别风险的担忧。公司已建立了完善的申诉机制并严格执行，在整个申诉过程中保护员工隐私，对举报人信息保密，杜绝任何行为的打击报复。
Withthe official website platform to publish phone numbers and email addresses, the Company allows employees and external stakeholders to express concerns about the supply chain or any new identified risks. Having established a sound complaint mechanism, the Company implemented it to protect employee privacy throughout the complaint process in a strict manner and keep confidential for the informant’s information with prevent of retaliation for any behavior.
申诉渠道在官网公示：https://zhlsy.com/zygg/info_17_itemid_86.html
The complaint channel is accessible on the official website: https://zhlsy.com/zygg/info_17_itemid_86.html
截至2022年底申诉小组没有收到内部员工或供应商的风险申诉信息。
By the end of 2022, the complaint team had not received any risk complaintinformation from internal employees or suppliers.
第二步 供应链风险的识别与评估
Step 2: Identify and assess risk in the supply chain
合规声明与要求：
Compliance Statement with Requirement:
我公司已经充分遵守第2步骤：对供应链中的风险进行识别和评估。
We have fully complied with Step 2: Identify and assess risk in the supply chain.
公司制定了受冲突影响和高风险区域（CAHRA）定义流程与判定标准，并对识别出来的风险规定了处理程序，充分对供应链中的风险进行识别、评估和缓解。2022年度，公司主要从国内供应商采购当地金银回收料和矿山料，根据受冲突影响和高风险区域的识别程序判定，中国未被识别为受冲突影响和高风险区域。截止到目前，均未识别出零容忍和高风险。
The Company formulated the conflict-affected and high-risk areas (CAHRA) definition process and judgment standards, and stipulated the processing procedures for the identified risks, fully identifying, evaluating and mitigating the risks of the supply chain. In 2022, the Company mainly purchased local gold and silver recycling materials and mining materials from domestic suppliers. According to the identification procedures for conflict-affected and high-risk areas, China has not been identified as a conflict-affected and high-risk area. Neither zero tolerance nor high risk has been identified so far.
1、识别供应链风险
1. Identification of risks of supply chain
根据《经济合作与发展组织关于来自受冲突影响和高风险区域矿石的负责任供应链尽职调查指南》，黄金/白银冶炼公司应识别相关风险包括密切关注来自侵犯人权、武装冲突、非法开采、开采利用汞以及源于世界遗产遗址等地区的黄金和白银，以及用于贿赂、洗钱、恐怖主义融资等行为的黄金/白银。公司为每个供应商建立供应商档案，根据风险状况进行了调查，在与其签合同之前完成供应商档案的建立工作。
According to OECD Due Diligence Guidance for Responsible Supply Chains of Minerals from Conflict-affected and High-risk Areas, gold/silver smelters should identify associated risks. For example, they should pay close attention to gold and silver originating from areas under circumstances such as human rights abuses, armed conflict, illegal mining, mining and utilization of mercury, as well as gold and silver mined from world heritage sites or those used for bribery, money laundering, terrorist financing, etc. The Company established supplier files for each supplier, conducted an investigation according to the risk level, and completed the establishment of the supplier file before signing a contract.
2、评估供应链风险
2. Evaluation of risks of supply chain
2.1供应链调查
2.1 Investigation of supply chain
公司通过以下措施对供应链进行尽职调查，并完成了尽职调查问卷：
By virtue of the following measures, the Company carried out due diligence on the supply chain, with due diligence questionnaire completed:
（1）资质验证。对于所有供应商均进行供应链的尽职管理调查，在进行合作前要求合作方提供相应的资质证明文件，法人客户提供营业执照，个人客户提供身份证复印件，矿山客户还需要提供采矿许可证、环评认证以及关注矿工佩戴劳保、健康安全交易、职业病体检等。
(1) Qualification verification. Supply chain due diligence shall be carried out for all suppliers. Before cooperation, partners are required to provide corresponding qualification certificates. Legal person customers shall provide business licenses. Individual customers shall provide copies of ID cards, and mining customers also need to provide mining licenses, EIA certification with attention paid to miners wearing labor insurance, health and safety transactions and physical examination of occupational diseases, etc.
（2）建立供应商档案。对供应商基本情况、股东信息、提供原料类型及产地、计划精炼贵金属类型、与其供应商结算方式、供应商概况等信息进行详细调查，并尽可能的将供应链调查向供应商的上游延伸，最终确定其风险等级，对于涉及高风险标准的供应商终止合作。
(2) Creating supplier files. It is required to carry out detailed investigations on the basic situation of suppliers, shareholder information, types and origins of raw materials provided, types of precious metals planned to be refined, methods of settlement with suppliers, supplier profiles and other information. In addition, it is needed to extend the supply chain investigation to the upstream of suppliers as much as possible, finalizing its risk level and terminating cooperation with suppliers involving high risk criteria.
（3）建立来料登记簿。对供应商当批次来料的日期、重量、原料来源、主要上游供应商进行调查登记，判断其来料风险等级。
(3) Creating register books for incoming materials. It is required to investigate and register the date, weight, source of raw materials, and major upstream suppliers of the supplier’s incoming batches of materials, judging the risk level of the incoming materials.
（4）建立供应商年度调研报告工作流程。对除银行之外的全年黄金、白银来料量前三名进行专项尽职调查，形成供应商年度调查报告，内容包括：供应商概况、资质信息、来料类型及所占比重、上游供应商概况及名单、原料产地及品种、是否存在国外黄金、白银等。
(4) Establishing annual survey report workflow of supplier. It is required to carry out special due diligence on the top three annual gold and silver incoming materials other than banks, and form annual supplier investigation reports, including: supplier profile, qualification information, incoming material type and proportion, upstream suppliers overview and list, origin and variety of raw materials, whether there is foreign gold and silver, etc.
（5）建立客户专项调研报告工作流程。在走访客户时，对原料来源进行追溯，向供应商传达尽职调查管理政策。
(5) Establishing customer-specific research report workflow. When visiting customers, it is required to trace the source of raw materials and convey the due diligence management policies to suppliers.
（6）对产品的去向进行尽职调查。针对黄金、白银销售业务，对一次性购买黄金重量超过30公斤或累计购买超过100公斤的客户，一次性购买白银重量超过2000公斤或累计购买超过5000公斤的客户，进行产品去向尽职调查工作，充分发挥网络作用，利用天眼查、中国审判信息网等网站对供应商资质情况、失信情况、诉讼情况、处罚情况进行查询，对涉及高风险行为的供应商终止合作。
(6) Conducting due diligence on whereabouts of the products. With regard to gold-and-silver sales business, for customers who purchase more than 30 kilograms of gold at one time or purchase more than 100 kilograms in total, and customers who purchase over 2,000 kilograms of silver at a time or purchase more than 5,000 kilograms in total, it is required to conduct due diligence on the whereabouts of products, give full play to the role of network, use Tianyancha (a business data and investigation platform), China Judgment Information Website as well as other websites to inquire about supplier qualifications, dishonesty, litigation, and punishment, and terminate cooperation with suppliers involved in high-risk behaviors.
2.2 CAHRA的判定。公司制定了CHARA的定义流程。公司采用以下资源和标准判定CAHRA：
2.2 Judgment of CAHRA. The Company developed definition processes for CHARA. The following resources and criteria are applied to determine CAHRA by the Company:
(1) 脆弱国家指数（2022） Fragile States Index（2022）
(1) Fragile States Index (2022)
(2) 全球冲突晴雨表（2021版）
(2) Global Conflict Barometer (2021)
(3) 联合国人类发展指数（UN Human Development Indicator）
(3) UN Human Development Indicator
(4) 多德-弗兰克法案第 1502条列“指明国家）
(4) “Designated Countries” listed in the Section 1502 of the Dodd-Frank Act
(5) 欧盟根据 2017/821条例提供的CAHRA清单
(5) CAHRA List provided by the European Union under Regulation 2017/821
(6) 联合国人权事务高级专员办事处或同等机构
(6) The Office of the High Commissioner for Human Rights (UN Human Rights) or equivalent institutions
(7) 金融行动特别工作组 (FATF) 的报告(包括相关国家/地区报告)
(7) Financial Action Task Force (FATF) Reports (including reports about relevant countries/regions)
(8) 关于高风险黄金中心/转运中心和高洗钱风险国家/地区的可靠市场情报
(8) Reliable market intelligence on high-risk gold centers/transit centers and countries/regions with high risks of money laundering
2.3 零容忍和高风险供应链
2.3 Zero tolerance and high-risk supply chains
根据LBMA和OECD相关规定，结合公司实际情况，特规定如下零容忍和高风险供应链评判标准：
Based on the relevant regulations of LBMA & OECD and combined with the actual situation of the Company, the following criteria for judging zero-tolerance and high-risk supply chains are specially stipulated:
零容忍风险：
Zero-tolerance risks:
（1）矿山金/银来自被指定为世界遗产地的地区。
(1) Mined gold/silver comes from areas designated as World Heritage Sites.
（2）以违反国际制裁(包括但不吸纳与联合国、欧盟、英国和美国制裁)的方式采购矿山金/银、再生金/银。
(2) Purchasing mined gold/silver and recycled gold/silver in a manner that violates international sanctions (including but not inclusive of sanctions imposed by the United Nations, the European Union, the United Kingdom, and the United States).
（3）矿山金/银、再生金/银的供应对手方、其他已知的上游公司或其 UBO 是已知的洗钱者、欺诈者或恐怖分子，或曾严重侵犯人权，或直接或间接支持非法非国家武装组织。
(3) Suppliers of mine gold/silver, recycled gold/silver, other known upstream companies or their UBOs are known as money launderers, fraudsters or terrorists, or have seriously violated human rights, or directly or indirectly supported illegal non-state armed groups.
矿山金的高风险标准：
High-risk criteria of mining gold:
Ø 高风险的位置
Ø High-risk locations
（1）黄金／白银(含金／银精矿)来自受冲突影响和高风险地区 (CAHRA) 或曾在该等地区过境或通过该等地区运输。
(1) Gold/silver (containing gold/silver concentrate) originating from or transited through or transported through conflict-affected and high-risk areas (CAHRAs).
（2）黄金／白银(含金／银精矿)据称来自已知或合理怀疑来自 CAHRA 的黄金/白银过境的国家/地。
(2) Gold/silver (containing gold/silver concentrate) purportedly originating from countries/regions known or reasonably suspected to be transited gold/silver from CAHRA.
（3）黄金／白银(含金／银精矿)据称来自已知储量、可能资源或预期产量有限的国家/地区。
(3) Gold/silver (containing gold/silver concentrate) purportedly originating from known countries/regions with limited reserves, possible resources or expected production.
Ø 高风险供应商/交易方或其他已知上游公司：
Ø High risk suppliers/parties or other known upstream companies:
（1）具有符合基于位置高风险标准的股东或最终收益方或其他黄金白银供应权益
(1) With shareholders or ultimate beneficiaries or other gold and silver supply interests that meet the high risk criteria based on location
（2）具有身为政治人物最终收益方
(2) With the ultimate beneficiary as a politician
（3）从事高风险商业活动(如军火、赌博和娱乐业、古董和艺术、教派及其领袖)
(3) Being engaged in high-risk business activities (such as arms, gambling and entertainment, antiques and art, sects and as their leaders)
（4）已知在过去12 个月曾从高风险国家/地区采购黄金/白银
(4) Known to have purchased gold/silver from high-risk countries in the past 12 months
（5）提供的文件有重大差异/不一致，或拒绝提供所要求的文件。
(5) With substantial discrepancies/inconsistencies in the documents provided, or refusal to provide the requested documents.
Ø 高风险物料：
Ø High-risk materials:
（1）采购自ASM
(1) Purchased from ASM
（2）使用汞生产
(2) Produced with mercury
（3）造成灾难性伤害或高度不利的ESG 因素(在公司尽可能能够识别的范围内)
(3) Catastrophic injury or highly adverse ESG factors (to the extent that the Company is able to identify them)
再生金的高风险标准
High-risk criteria for recycled gold
Ø 高风险的位置
Ø High-risk locations
（4）再生金/再生银来自受冲突影响和高风险地区 (CAHRA) 或曾在该等地区过境或通过该等地区运输。
(4) Recycled gold/silver originating from or transited through or transported through conflict-affected and high-risk areas (CAHRAs).
（5）再生金/再生银据称来自已知或合理怀疑来自 CAHRA 的黄金/白银过境的国家/地区。
(5) Recycled gold/silver purportedly originating from countries/regions known or reasonably suspected to have been transited gold/silver from CAHRA.
（6）再生金/再生银据称来自已知储量、可能资源或预期产量有限的国家/地区。
(6) Recycled gold/silver purportedly originating from countries/regions with limited known reserves, possible resources or expected production.
Ø 高风险供应商/交易方或其他已知上游公司：
Ø High risk suppliers/transaction parties or other known upstream companies:
（1）在具有高洗钱风险的国家/地区运营
(1) Operating in a country with a high risk of money laundering
（2）具有符合基于位置高风险标准的股东或最终收益方或其他黄金白银供应权益
(2) With shareholders or ultimate beneficiaries or other gold and silver supply interests that meet the high risk criteria based on location
（3）具有身为政治人物最终收益方
(3) With ultimate beneficiaries as politicians
（4）从事高风险商业活动(如军火、赌博和娱乐业、古董和艺术、教派及其领袖)
(4) Being engaged in high-risk business activities (such as arms, gambling and entertainment, antiques and art, sects and their leaders)
（5）已知在过去 12 个月曾从高风险国家/地区采购黄金/白银
(5) Known to have purchased gold/silver from high-risk countries in the past 12 months
（6）与供应链中的供应商或对手方之间有重要且无法解释的运输路线。
(6) There are important and unexplained transportation routes with suppliers or counterparties in the supply chain.
Ø 高风险物料：
Ø High-risk materials:
（1）来自具有高风险供应链的中间精炼厂或交易商或从具有高风险供应链的中间精炼厂采购的交易对手方
(1) Transaction counterparties from intermediate refineries or traders with high-risk supply chains or purchases from intermediate refineries with high-risk supply chains
（2）无法证明其为再生金/再生银
(2) Unable to prove that to be recycled gold/silver
当上述评判标准任何一条客观存在时，则判定为零容忍或高风险。对于识别到的零容忍风险，公司将立即终止与交易方的合作并由合规专员应立即上报合规风控专员，由合规风控专员上报合规总监。
When any of the above criteria matches with the reality, the situation should be judged as zero tolerance or high risk. For the zero-tolerance risk identified, the Company will immediately terminate the cooperation with the transaction party and the compliance officer should immediately report it to the compliance risk control officer. Then, the compliance risk control officer should report it to the compliance director.
2.4 公司建立风险评估流程，对公司黄金、白银供应商风险进行评估：
2.4 With the risk assessment procedure established, the assessment of risks of the company’s gold and silver suppliers was carried out:
由合规部、业务部、财务部负责对风险事件造成的损失进行量化评估，对相关责任人追究其责任，对风险事件跟踪调查，消除危险源，减少损失。
The quantitative assessment of the losses caused by risk events was carried out by the Compliance Department, Business Department and Finance Department to investigate the relevant responsible persons andconduct the follow-up investigation of risk events, with the elimination of danger sourcesand the reduction of losses.
公司通过KYC流程对上游原料供应商进行尽职调查，主要包括供应商基本信息，业务活动，供应商股东和受益人信息，物料来源，负责任采购建立和实施情况，ESG基本情况，反洗钱、反贿赂和反恐怖主义融资的相关规定，强迫劳工和物料运输情况。公司收集了所有黄金白银交易方的KYC信息，结合制定的《风险评估表》对交易方进行了CAHRAs识别和风险识别。所有物料均来自于中国，且中国未被识别为CAHRAs,也未识别出供应商和其供应链中有零容忍风险和高风险。
The due diligenceon upstream material suppliers was conducted by the Company through the KYC procedure, mainly including basic information on suppliers, business activities, suppliers’ shareholders and beneficiary information, sources of materials, the establishment and implementation of responsible procurement, basic information on ESG, relevant provisions on anti-money laundering, anti-bribery and anti-terrorist financing, forced labor and material transportcondition.KYC information of all gold and silver trading parties were collected by the Company, and combined with the formulated Risk Assessment Form, the CAHRAs identification and riskidentificationfor trading parties were carried out. All materials are from China, and China has not been identified as CAHRAs, with the non-identification of zero-tolerancerisk and highrisk in suppliers and its supply chain.
如果一旦供应链中有任何的高风险被识别出来，公司根据《LBMA负责任黄金指南第9版》，《LBMA负责任白银指南》和《《经济合作与发展组织关于来自受冲突影响和高风险区域矿石的负责任供应链尽职调查指南》（第三版）设计了《现场考察表》对涉及高风险的供应商通过线上和现场拜访的形式进行加强型尽职调查，如可能，会聘请有资质的公司执行，以确定并评估风险。因公司未识别出任何的高风险，所以没有也无需实施加强型尽职调查流程。
In case any risk in the supply chain is identified, in accordance with the9th Edition of LBMA Responsible Gold Guidance, the LBMA Responsible Silver Guidanceand theOECD Guidance on Responsible Supply Chain Due Diligence for Ores from Conflict-affected and High-risk Regions (Third Edition),theSite Inspection Formwould be designed by the Company to enhance the due diligence on the suppliers involving high risk in the form of online and on-site visits. If any, a qualified company would be employed to determine and assess the risk. As the Company did not identify any high risk, an enhanced due diligence processwas not or needed not be implemented.
3、向高级管理层报告风险评估
3. Report risk assessment to the senior management
公司建立风险评估报告制度，每年合规专员对部门尽职调查工作汇报合规风险官。2022年年度的风险识别和评估结果已经汇报给风险总监并保留了相应的传达记录。
With risk assessment reporting system established, the Compliance Officer reports annually the department due diligence work to the Compliance Risk Officer. The 2022 annual risk identification and assessment results have been reported to the Risk Director and a corresponding communication record has been retained.
第三步 设计并实施策略来应对已识别的风险
Step 3: Design and implement a management strategy to respond to identified risks
合规声明与要求：
Compliance Statement with Requirement:
我公司已经充分遵守第3步：设计和落实管理体系应对识别的所有风险。
We have fully complied with Step 3: Design and implement a management system to respond to identified risks.
公司制订了《供应链风险减缓管理办法》并作为文控管理，约定了在供应商评估及日常业务开展过程中发现的违规情况的处理方式；规范了发现供应商存在高风险行为的处理步骤；明确了尽职管理各级组织、人员的责任，以及向高级管理人员汇报实施进度等。
The Supply Chain Risk Mitigation Management Approach was formulated by the Company and it was taken as the document control and management, with the agreement of the method of dealing with violations found in supplier evaluation and daily business development; The procedures for finding high risk behaviors in suppliers were regulated; The responsibilities of due diligence management of all levels of organization and personnel were clarified, and the implementation progress to senior management was reported.
疑似高风险来料后，对其进行单独登记，并告知精炼车间，对其原料单独熔炼，在整个工艺流程中不与其他客户混合，对由其原料生产的成品金银进行单独编号，并在金库中与其他成品金银分区域存放。
High-risk or suspected high-risk incoming materials shall be registered separately and conveyed to the refining workshop. The corresponding raw materials shall be melted separately and shall not be mixed with the raw materials from other customers in the whole process flow. The finished gold and silver produced by such raw materials shall be numbered separately and stored separately with other finished gold and silver in the vault.
如果供应链中识别出零容忍的风险，公司必须立即终止现有的业务关系。
If a zero-tolerance risk is identified in the supply chain, the Company must immediately terminate the existing business relationship.
当实施加强型尽职调查后，识别出以下问题，公司应立即停止与交易方的合作关系，并及时汇报给LBMA：
Where the following problems are identified after the enhanced due diligence is carried out, the Company shall immediately stop the cooperative relationship with the trading party and report to LBMAwithout delay:
1. 洗钱
1. Money laundering
2. 恐怖主义融资
2. Terrorist financing
3. 严重侵犯人权
3. Serious violations of human rights
4. 直接或间接支持非国家武装组织
4. Direct or indirect support for non-state armed groups.
5. 谎报矿物产地
5. Misrepresentation of mineral origin
当实施加强型尽职调查后，对以下问题有合理的怀疑，公司应立即暂停与交易方的合作关系，一旦在6个月内从供应商初获取对下述怀疑的反驳性证明和回应，即可由合规总监审批后恢复业务关系。
If there is reasonable doubt about the following problems after the implementation of the enhanceddue diligence, the cooperation with counterparty shall be temporarily suspended by the Company. After the refutation and response to the following suspicions are obtained from the suppliers within six months, business relationship can be resumed upon approval by the Compliance Director.
1. 洗钱
1. Money laundering
2. 恐怖主义融资
2. Terrorist financing
3. 严重侵犯人权
3. Serious violations of human rights
4. 直接或间接支持非国家武装组织
4. Direct or indirect support for non-state armed groups.
5. 谎报矿物产地
5. Misrepresentationof mineral origin
6. 具有灾难性的ESG影响
6. Catastrophic ESG effects
当实施加强型尽职调查的结果不令人满意，或被认为依然存在以下情况，但是供应商已经做出合理和善意的努力，公司可以继续与供应商合作，并与供应商一起继续执行制定的改善计划：
If the implement of due diligence result is not satisfactory, or if it is considered that the supplier has made reasonable efforts in good faith despite the following circumstances, the cooperation with suppliers can be kept by the Company, and the formulated improvement plan can be together executed:
1. 贿赂
1. Bribery
2. 非欺诈性误报矿物产地
2. Non-fraudulent misreporting of mineral origin
3. 未支付应付政府的税收、费用和特许权使用费
3. Failure to pay taxes, fees and royalties due to the government
4. 严重违反与环境、健康、安全、劳工和社区有关的地方立法，及/或存在极有可能造成高度不利影响的 ESG 风险。
4. Serious violation of environmental, health, safety, labor and community-related local methods, which is highly likely to cause serious adverse effects.
对任何识别出的风险，公司将会与交易方和利益相关方进行沟通并制定相应的风险缓解计划。风险缓解计划实施后，相关的风控专员就供应商提供材料证据与反馈的过程进行记录，对供应商所提交的材料进行核实与审查，确保风险缓解进展与实施的有效性并记录。
With respect to any identified risks, the Company will communicate with counterparties and stakeholders and formulate appropriate risk mitigation plans.After the implementation of the riskmitigation plan, the process of providingmaterial evidence and feedback by suppliers will be recorded by the relevant risk control specialist to verify and review the materials submitted by suppliers, with the guarantee and record of effectiveness of risk mitigation progress and implementation.
公司严格遵守LBMA负责任黄金、白银指南，设计并实施策略来应对已识别的风险。2022年未发现零容忍和高风险供应链，不需要做风险缓解措施。
The Company has strictly complied with LBMA Responsible Gold and Silver Guidance and designed and implemented strategies to respond to identified risks. No zero-tolerance and high-risk supply chain is found in 2022 and no risk mitigation measures of supply chain are taken.
第四步 对精炼商的尽职调查实践开展独立的第三方审计
Step 4 Conduct an independent third-party audit of the refiner’s due diligence practice.
合规声明与要求：
Compliance Statement with Requirement:
我公司已经充分遵守第4步：安排供应链尽职调查的独立第三方审计。
We have fully complied with Step 4: Arrange for an independent third-party audit.
公司严格遵守对精炼商的尽职调查实践开展独立的第三方审计的要求。自2020年开始，公司已委托RCS Global进行LBMA相关负责任合规审计并依照审计要求提供相关数据及文件。
The Company has strictly complied with the requirements of Step 4 of the LBMA Responsible Gold and Silver Guidance “conduct an independent third-party audit of the refiner’s due diligence practice” and have appointed RCS Global to audit the supply chain due diligence system of the Company in since 2020.
公司每年聘请独立的第三方审计机构（深圳和诚会计师事务所）对财务进行审计，并出具审计报告。
The company hire third party auditors(Shenzhen Hecheng Certified Public Accountant) to conduct financial audit and issue audit report every year.
第五步 供应链尽职调查年度报告
Step 5 Annual report on supply chain due diligence
合规声明与要求：
Compliance Statement with Requirement:
我公司已经充分遵守第5步：有关供应链尽职调查的报告。
We have fully complied with Step 5: Report on supply chain due diligence.
公司严格遵守供应链尽职调查年度合规报告的要求。
The Company has strictly complied with the requirements of Step 5 of the LBMA Responsible Gold and Silver Guidance “annual report on supply chain due diligence”.
公司每年对供应链尽职调查政策进行公示。
The Company publicizes the supply chain due diligence policy every year.
根据2022年的尽职调查结果，无供应商需要进行风险缓解的管理策略。在2022年度无黄金、白银供应链的评估结果为未识别出零容忍的风险和高风险。供应链尽职管理合规报告将在公司官方网站进行公示:
https://zhlsy.com/zygg/info_17_itemid_91.html
According to the due diligence results in 2022, no supplier was required to implement a risk mitigation management strategy. In 2022, there were no suppliers whose gold and silver assessment results were zero-tolerance or high risk. The supply chain due diligence management compliance report will be published on the Company’s official website:
https://zhlsy.com/zygg/info_17_itemid_91.html
四、管理结论
IV. Management conclusion
综上所述，在报告年度截至于2022年12月31日的财务年内，根据《伦敦金银市场协会（LBMA）负责任黄金指南第9版》的要求，深圳市众恒隆实业有限公司实施了有效的管理制度、程序、流程和实践。深圳市众恒隆实业有限公司致力于不断的改进提升，所有的纠正措施将在内部进行定期监测。
In conclusion, in the financial year ended December 31, 2022, Shenzhen Zhonghenglong Industrial Co., Ltd. has implemented effective management systems, procedures, processes and practices in accordance with the LBMA Responsible Gold and Silver Guidance. Shenzhen Zhonghenglong Industrial Co., Ltd. is committed to continuous improvement and all corrective measures will be regularly monitored internally.
五、其他报告批注
V. Other report comments
如果本报告用户希望就本报告向深圳市众恒隆实业有限公司进行任何反馈，则可以通过邮箱478152938@qq.com联系企业相关部门。
If users of this report wish to provide any feedback to Shenzhen Zhonghenglong Industrial Co., Ltd with respect to this report, feel free to contact related departments of the enterprise by E-mail 478152938@qq.com.
