・I Company OverviewCompliance S仕ucture of Mita SecuritiesWe are a financial instrument business operator who is an important player in this financial market, therefore we not only ensure strictcompliance with all laws and regulations, but also need to develop the sufficient internal control s佐山知re in order to protect investors and tosecure fairness of the market. Compliance is a top management priority for our company.

I GovernanceOur govern組ce企amework is as shown below.
百1e Board of Directors has a role with a full responsibility for the internal control system. It has a 問sponsibility to enhance the quality of the internal controlsby receiving reports and evaluations from the corporate management department, the audit department, the auditors, the accounting auditor, or others.
百1e corporate management department examines血e status of compliance and risk con仕ols of the business department, and checked every day if there are anyviolations oflaws and ordinances and risk control-related problems. If any, it requests the business departments for improvement and also reports these importantissues to the Board ofDirectors.
The audit department periodically exaniines and assesses the quality and functions of the internal con仕ol system of the corporate management dep紅白1ent.
If necessary, it conducts improvement of the problems for the co叩orate management department, the business depar加ent, and the adminis回tivedep訂加1ent, and it points out the problems and lists demands for inlprovement to the Board of Directors.
The auditors have a role for the governance inspection for the Board of Directors, and examine if the Board of Directors is managed legally andappropriately or if there are any violations of the duty of a prudent custodian to the Company. If there are any problems associated with the above, theauditors send a list of demands for improvement to the Board of Directors or conduct the predefined necessary procedures.
The accounting auditor conducts auditing for the appropriateness of our accounting process and the appropriate indication of the financial statements.
Our accounting auditor is SeishinShisei & Co. currently.

IDm盟国lmmmaInstructions for Improvement to Enhancethe Quality of Internal Control System－－－－－－－－－－－－－－－－－－－－－－－－－－－－－－－－－a:.!出川正温担出凶叫当19Governance CheckCheck for Compliance System andInternal Control SystemCheck for Risk Controland Internal ControlsCompany Name:Registration:Commencement of Operation:Capital:M司jor Shareholder:President & CEO:O節目addresses:Pointing Out Problems ofInternal Control SystemMembership in Associations:Check and Assessment of Compliance System.Risk Controls,and lntemal Controls/Demands for Improvement of ProblemsAudit ReportI comp加ce with All Laws and RegulationsIt is essential for all officers and employees in the securities companies to comply with白e compliance wi白 all laws and regulations. However, due to白e existenceofbroad and various re伊lations in the securities indus町，it is likely for us to have a brush with the laws and re伊l剖ions without consciousn悶. In order for ourofficers and employees not to breach the compliance with all laws and regulations, we periodically conduct the training programs for them ainling to e凶組ce theirunderstanding for the compliance. We also display our internal regulations on our inむanet so that our officers and employees can easily browse them.
The corporate management department checks the compliance system every day, and the audit department conducts internal audits based on the audit plan.
If there are any violation of the laws and regulations, the audit department conducts the quick and appropriate procedures, and improves the problems.
Moreover, we place the Compliance Committee under the Board of Directors, and this committee examines O町 overall compliance system with expertise.

I Internal ContrMembership in Exchanges:Membership in Investor Protection Funds:Accounting Auditor:(As ofJune, 2017)．－・2�1-i I ]凶注目'iv:,:Eitai Dori圃圃

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害・司臣2・2 品 •Fukusuke R回圃圃I Risk Control SystemWe analyze various risks including transaction risks, operational flow risks, and system risks, and we pay close attention to those riskmanagement so that we can eliminate or limit risks in advance. It is most important to prevent risks before they actually happen. But if weactually fail to eliminate them, it is reported to the Board of Directors through the manager of corporate management department, and the Boardof Directors conducts risk management in order to deal with it appropriately and quickly.
Moreover, we place the System Risk Committee under the Board of Directors, and this committee periodically examines our overall systemrisks, and improves them if necessary.
As for the risk of sudden natural disasters, we plan the BCP (Business Continuity Plan) and aim to avoid the risks. We also conduct trainingsin order to be able to continue O町 businesses in emergency situations to the greatest degree possible.

・ー「Se叫『而es Dealers Asso旧t陥n I•IT向。T叩iHib�ali問Any financial instrument business operator is required to check client management, sales personnel management，国nsaction management, transactioninspection, underwriting examination, compliance inspection system, lawsuits against clients, administrative management, information control, andexternal business co凶actor management. We also manage a Chinese Wall and the information control related to the clients systematically.

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玉 E さTokyoStock Exchange霊園言3MITA SECURITIES Co., Ltd.
Director ofKanto Local Finance Bureau (Financial instruments firms) No.175Moneylender/ Tokyo Governor (6) No.27088Registered Real Estate Broker/ Minister of Land,Infrastructure and Transport (1) No.9342Real Estate Specified Joint Enterprises / Commissioner of the FSA• M凶ster of Land, Infra蜘cture and Transport No.76July, 1949¥500,000,000Kunihiro MitaKunihiro Mita(Head Office)3・11, Nihonbashi-kabutocho, Chuo-ku, Tokyo干103・ 0026Tel +81-3-3666-0011 Fax +81-3-3668-7350(Osaka Branch)1・7・15, Minami-honmachi, Chuo・ku, Osaka City, Osaka干541・ 0054Tel +81-6-6260-5670 Fax +81-6-6260-0882(Singapore Branch) 07・03/04 112 Robinson Road Singapore 068902Tel +65-9429-4723Japan Securities Dealers AssociationTokyo Real Estate AssociationJapan Financial Services AssociationTokyo Stock Exchange•Osaka ExchangeJapan Investor Protection FundsSeishinShisei & Co. and Aoyama Sogo Accounting Firm Singapore圃Teijin HallChuoOdoriSubway ChuoLine13