General Announcement::REGULATORY MATTERS CONCERNING DR LIN YUCHENG AND DR GUO CHENGHONG

Leader Environmental Technologies Limited

利德环保技术有限公司

(Incorporated in Singapore on 15 August 2006) (Company Registration Number: 200611799H)

REGULATORY MATTERS

CONCERNING DR LIN YUCHENG AND DR GUO CHENGHONG

The Board of Directors of Leader Environmental Technologies Limited ("Company") wishes to inform shareholders that it has been notified by the Company's Executive Chairman and Chief Executive Officer, Dr Lin Yucheng ("Dr Lin"), and the Company's Deputy Chief Technology Officer, Dr Guo Chenghong ("Dr Guo"), that they have received requests from the Authorities (as defined below) in connection with investigations relating to trading of shares in the Company.

Based on the letter dated 7 July 2021 received by each of Dr Lin and Dr Guo from the Singapore Police Force ("SPF"), Monetary Authority of Singapore and Commercial Affairs Department ("CAD") (collectively, "Authorities"), they were informed that CAD is conducting an investigation into an offence under the Securities and Futures Act (Cap. 289 of Singapore), and Dr Lin and Dr Guo were asked to attend interviews with CAD as they appeared to be acquainted with the circumstances of the case being investigated.

Each of them further received a letter from the SPF dated 7 July 2021 whereby they were required to surrender their travel documents to CAD as part of police investigations into the offence of insider trading under Sections 218 and 219 of the Securities and Futures Act (Cap. 289 of Singapore) as there had arisen reasonable grounds for believing that they had committed an offence. In connection with the aforesaid, CAD has further seized certain electronic devices (including mobile phone and laptop) belonging to them for forensic purpose.

Save as disclosed above, the Company is not aware of any restrictions or conditions imposed by the Authorities on Dr Lin or Dr Guo as at the date of this announcement.

The Nominating Committee has assessed the present situation, and is of the view that as the abovementioned investigations are still ongoing and no formal charges have been made against any person, Dr Lin's and Dr Guo's roles and responsibilities in the Company should continue as normal. The Board has accepted the Nominating Committee's recommendation, and is of the view that both Dr Lin and Dr Guo should continue to discharge their responsibilities and duties in the operation of the Group's businesses to ensure business continuity. The Board has requested Dr Lin and Dr Guo to keep the Board updated on the progress of the abovementioned investigations. The Board will continue to monitor the progress of the abovementioned investigations as informed by Dr Lin and Dr Guo, and reassess Dr Lin's and Dr Guo's suitability as a director and/or key management of the Company where appropriate in due course.

The business and operations of the Group are not affected by the abovementioned investigations and will continue as normal. The Company will make further announcements as and when there are material developments which come to its attention.

In the meantime, shareholders of the Company and potential investors are advised to exercise caution when dealing in the shares of the Company. Shareholders of the Company and potential investors are advised to read all further announcements by the Company and to consult their

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stockbrokers, bank managers, solicitors or other professional advisers if they have any doubt about the actions they should take.

BY ORDER OF THE BOARD

LEADER ENVIRONMENTAL TECHNOLOGIES LIMITED

Lim Poh Yeow

Company Secretary

8 July 2021

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