China Yurun Food : Announcements and Notices - Voluntary Announcement

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CHINA YURUN FOOD GROUP LIMITED 中 國 雨 潤 食 品 集 團 有 限 公 司*

(Incorporated in the Bermuda with limited liability)

(Stock Code: 1068)

VOLUNTARY ANNOUNCEMENT

This announcement is published on a voluntary basis by the board of directors (the

"Board") of China Yurun Food Group Limited (the "Company", together with its subsidiaries, the "Group").

The company has recently discovered that online media has circulated a report in relation to Mr. Zhu Yicai ("Mr. Zhu"), the Honorary Chairman of the Company and Senior Advisor to the Board, which mentioned that Mr. Zhu bribed the employees of 南京中央商 場（集團）股份有限公司 (Nanjing Central Emporium (Group) Stocks Co., Ltd.*)

("Central Emporium") and misappropriated the funds of the Central Emporium.

After the Board enquiring Mr. Zhu, Mr. Zhu confirmed that such report is false and incorrect. According to Mr. Zhu, as clarified by the Central Emporium in the morning on 25 January 2019, the Chinese prosecutor believed that the incident mentioned therein does not constitute a misappropriation of funds and it has taken the initiative to withdraw the allegations of bribery against Mr. Zhu. Apart from the above, there is no further supplemental information from Mr. Zhu.

Save as the information provided by Mr. Zhu as mentioned above, as at the date of this announcement, the Company does not have any further information about this incident, and the Company will not comment on any statements in such report regarding Mr. Zhu.

Mr. Zhu is the Honorary Chairman of the Company and Senior Advisor to the Board, and is not currently involved in the day-to-day operation of the Company. As at the date of this announcement, Mr. Zhu declares that he holds an interest in 470,699,900 shares of the Company, representing approximately 25.82% of the entire issued share capital of the Company, in accordance with the provisions of Part XV of the Securities and Futures Ordinance.

By Order of the Board

Yu Zhangli

Chairman

Hong Kong, 25 January 2019

As at the date of this announcement, the executive directors of the Company are Yu Zhangli, Li Shibao, Sun Tiexin, Yang Linwei and Yao Guozhong; the independent non-executive directors are Gao Hui, Chen Jianguo and Miao Yelian.

* For identification purposes only