The so–called short swing profit rule ("SSPR") is originally provided in the PRC Securities Law. Under Article 44 of the PRC Securities Law, for shareholders that hold more than 5% shares of a listed company or a company whose stocks are traded on the other national securities trading venues as approved by the State Council, directors, supervisors or senior management personnel of the said company, where they buy/sell and then sell/buy within six months the stocks or other securities of equity nature in the said company, the proceeds realized from such transactions shall belong to the said company, and the board of directors of the said company shall recover the proceeds. Article 44 further provides that the China Securities Regulatory Commission ("CSRC") may prescribe exemptions under which the SSPR shall not apply.