Company: GRAN
Filing Date: 2025-07-31
Form Type: 20-F
Source: 0001213900-25-069627
Chunk: 107

Company: Grande Group Ltd/HK
Filing Date: 2025-07-31
Form: 20-F
Item: Item 4
Chunk 107
---
 CSRC

Article 24
of Trial Administrative Measures provides that the CSRC may impose administrative regulatory measures including order for correction,
regulatory talks and warning letters in case of violations of the Trial Administrative Measures by securities companies, securities service
providers and relevant practitioners who provided the relevant services in the Mainland China.

Furthermore, the Trial Administrative Measure explicitly stipulated
that the CSRC may also refer the relevant information concerning the alleged misconduct or violation to CSRC’s regulatory counterparts
in overseas jurisdiction, i. e., the HKSFC in Hong Kong, which governs and regulates the business operation of our Operation Subsidiary,
we and our Operating Subsidiary could be subject to inquiries, reviews or investigations, disciplinary actions, revocation or suspension
of licenses, public or private reprimand or imposition of pecuniary penalties, by the HKSFC.

In the case of securities companies failing to
ensure listing applicants’ or listed issuer’s compliance with the obligations set out in the Trial Administrative Measures,
the CSRC has a right to issue warnings and impose fine in an amount from RMB500,000 up to RMB5,000,000, and on their direct persons-in-charge
in an amount from RMB200,000 up to RMB2,000,000. In the case of securities companies failing to exercise proper diligence, and misrepresentations
are made in documents issued pursuant to PRC laws and regulations (or issued pursuant to rules of overseas stock markets, which disrupt
PRC domestic market order), the CSRC has rights to issue correction order and warnings, and impose a fine in an amount between 1 to 10
times of their revenue (in absence of revenue, a fine in an amount from RMB500,000 up to RMB5,000,000), and on their direct persons-in-charge
in an amount from RMB200,000 up to RMB2,000,000.

Compliance
with the Relevant Requirements

Although the offering of our securities in the
United States and the operation of our Operating Subsidiary in Hong Kong do not require approvals, licenses, permits, or qualifications
from the PRC authorities, such as the CSRC or the CAC, as long as our Operating Subsidiary conducts regulated activities in Hong Kong
that involve PRC domestic companies, our Operating Subsidiary is subject to regulatory oversight from the CSRC under the Trial Administrative
Measures for its business of providing listing sponsorship of