Core Viewpoint - The internal audit system of Aorite Pharmaceutical Co., Ltd. aims to enhance the quality of internal audits, protect investors' rights, and comply with relevant laws and regulations [1][2]. Summary by Sections General Principles - The internal audit system is established based on the Shanghai Stock Exchange's self-regulatory guidelines and relevant laws to improve audit quality and protect investor rights [1]. - The system applies to all business segments of wholly-owned, controlling subsidiaries, and significant equity investees [1]. Internal Audit Organization and Responsibilities - The company has set up an internal audit department responsible for supervising business activities, risk management, internal controls, and financial information, reporting directly to the board's audit committee [4]. - The internal audit department must maintain independence and not be under the financial department's leadership [5]. - Internal audit staff must possess necessary auditing knowledge, and the head of the department is appointed by the board's audit committee [2][3]. Audit Scope and Duties - Internal audits should cover all business segments related to financial reporting and information disclosure, including sales, procurement, inventory management, and more [2]. - The internal audit department is tasked with evaluating the completeness and effectiveness of internal control systems and auditing the legality and compliance of financial data [2][3]. - The department must report to the audit committee at least quarterly and submit an annual audit report [3][4]. Constraints and Incentives - The company has established a mechanism for evaluating the performance of internal audit personnel, with the audit committee involved in assessing the head of the internal audit department [5][6]. - Recommendations for rewards or disciplinary actions can be made based on compliance with company regulations and the performance of departments and individuals [6][7]. Final Provisions - The internal audit system will take effect upon approval by the board and can be amended by the internal audit department with the board's approval [7].

Core Viewpoint - The internal audit system of Shanghai Sailun Biotechnology Co., Ltd. aims to standardize and enhance the quality of internal audit work, ensuring effective risk management and financial information integrity [2][3]. Group 1: General Principles - The internal audit system is established in accordance with relevant laws and regulations, including the Audit Law of the People's Republic of China and the Shanghai Stock Exchange's guidelines for listed companies [2]. - The system applies to all departments, subsidiaries included in the consolidated financial statements, and significant equity investees [2]. Group 2: Audit Committee and Personnel - The Board of Directors establishes an Audit Committee to guide and supervise the internal audit system's implementation [3]. - The internal audit personnel must possess relevant professional knowledge and maintain their competency through continuous education [3][4]. Group 3: Responsibilities of the Audit Committee - The Audit Committee is responsible for guiding the establishment and implementation of the internal audit system and reviewing the annual internal audit work plan [4][5]. - The Committee must report on the progress and quality of internal audit work to the Board of Directors [5]. Group 4: Responsibilities of the Audit Department - The Audit Department evaluates the effectiveness of internal controls and compliance of financial information across the company and its subsidiaries [5][6]. - The department must report at least quarterly to the Audit Committee on the execution of the internal audit plan and any issues discovered [6][7]. Group 5: Implementation of Internal Audit Work - The Audit Department conducts audits based on business processes and evaluates the effectiveness of internal controls related to financial reporting [6][7]. - The department must submit an internal control evaluation report to the Board at least annually, detailing the purpose, scope, and conclusions of the evaluation [7][8]. Group 6: Audit Work Procedures - The Audit Department is required to prepare an annual audit work plan, which must be approved by the Audit Committee before implementation [10][11]. - After completing the audit, the audit team must compile a report that includes the audit scope, findings, and recommendations [10][11]. Group 7: Assessment and Rewards - The company must establish a mechanism for evaluating the performance of internal audit personnel, rewarding those who perform well and penalizing those who violate regulations [12][13]. - Internal audit personnel found to have committed violations may face administrative or economic penalties based on the severity of the offense [12][13].