Central China Securities : CLARIFICATION ANNOUNCEMENT IN RELATION TO MEDIA REPORTS

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Central China Securities Co., Ltd.

(a joint stock company incorporated in 2002 in Henan Province, the People's Republic of China with limited liability under the Chinese corporate name "中原證券股份有限公司" and carrying on business in Hong Kong as "中州證券")

(Stock Code: 01375) CLARIFICATION ANNOUNCEMENT IN RELATION TO MEDIA REPORTS

The board (the "Board") of directors (the "Directors") of Central China Securities Co., Ltd. (the "Company") noticed that recently certain media used wordings such as "senior management of Dongxing and Central China Securities", "the current chief investment officer of the asset management department of Central China Securities" and "chief officer of Central China Securities" in their reports when referring to Mr. Yue Lin Ji ("Mr. Yue"), one of the accomplices in respect of an official embezzlement.

The Company hereby states that after internal investigation and verification, the Company is not connected with such criminal case and the contents relating to the Company in relevant reports significantly deviate from the truth, leading to higher risks of misunderstanding among investors and relevant parties. The Company hereby clarifies as follows:

1. Mr. Yue joined the Company to assist in the work in respect of equity securities investment in August 2009, and was designated to the asset management headquarters to assist in the work in respect equity investment in March 2014. He resigned voluntarily in August 2015. The media claimed that such criminal incident occurred in summer of 2008 but in fact Mr. Yue was not yet hired as an employee of the Company back then;

2. during his tenure of office in the Company, Mr. Yue had not served as any senior executive or chief investment officer of the Company nor held the positions of other management or technical cadre and was in fact only a general employee; and

3. the bond asset management business of the Company commenced at the end of 2015 and has been in strict compliance with the regulatory requirements. It is operated in accordance with the laws and regulations and has not opened any Class C account. The duties of Mr. Yue in the Company did not involve any bond-related products and researches. The Company does not have any relationship with the duty crime case.

The Company will make further announcement(s) on the development of this incident in accordance with the requirements of the Rules Governing the Listing of Securities on the Stock Exchange of Hong Kong Limited as and when appropriate.

By order of the Board of

Central China Securities Co., Ltd. Jian Mingjun

Chairman

Henan, the PRC, 26 September 2017

As at the date of this announcement, the Board comprises executive Director Mr. JIAN Mingjun, non-executive Directors Mr. LI Xingjia, Mr. WANG Lixin, Mr. ZHANG Qiang, Mr. ZHANG Xiaoqi and Mr. YU Zeyang, and independent non-executive Directors Mr. YUAN Dejun, Mr. YUEN Chi Wai, Mr. NING Jincheng and Mr. YU Xugang.