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REGULATIONS ON REWARDS FOR RATIONALIZATION PROPOSALS AND TECHNOLOGICAL IMPROVEMENTS

ANNOUNCEMENT OF THE STATE COUNCIL FOR ENSURING SAFETY IN CIVIL AVIATION

Category  PUBLIC SECURITY Organ of Promulgation  The State Council Status of Effect  In Force
Date of Promulgation  1982-12-01 Effective Date  1982-12-01  


Announcement of the State Council for Ensuring Safety in Civil Aviation



(promulgated on December 1, 1982)

    The following Announcement is hereby issued for the purpose of ensuring
safety in civil aviation, preventing the occurence of such incidents as
hijacking, damages to civil aircraft, and damages to civil aviation
installations and facilities, and guaranteeing the safety of public property
and the safety of passengers’ lives and property:

    1. Chinese and foreign passengers, who travel by the international and
domestic civil air-liners, together with the luggage and things they carry
along, unless specially exempted, must all be subject to safety technical
examination before boarding; passengers shall pass through the safety
examination gate, and the luggage and articles they carry along shall be
examined by instruments; personal examination and open-trunk examination may
also be carried out. Those who refuse to accept the examination shall not be
permitted to board the plane.

    2. Passengers shall be strictly forbidden to enter the airport or travel
by plane with firearms, ammunition, lethal weapons, explosives, combustibles,
poisonous and radioactive matters and other dangerous articles that may
jeopardize the safety of civil aviation.

    3. It is strictly forbidden to climb over such installations round the
airport as the enclosing walls, boundary ditches, and barbed wire
entanglements. It is strictly forbidden to hunt, to fire shots, to shoot or to
traverse within the confines of the airport.

    4. It is strictly forbidden for people unconcerned, or their vehicles, to
come near the aircraft parking area and airliner parking area. All personnel
who have close contact with aircraft must be subject to the control and
examination of guardians and guards.

    5. It is strictly forbidden for personnel who have not undergone safety
examination to enter the isolated area of the airport waiting building. Those
who must enter the isolated area to execute their duties and have obtained
approval must also accept safety examination.

    6. Criminals who use violence or other means in hijacking aircraft or use
explosives or other means in damaging aircraft and civil aviation
installations shall be severely punished according to law by judicial organs.

    7. As regards the criminals who plot to hijack aircraft or to sabotage the
safety of civil aviation, any person is in duty bound to expose and inform
against them by reporting the case to the people’s government. The units or
individuals that have distinguished themselves in preventing and checking an
attempted hijacking scheme or other schemes to sabotage the safety of civil
aviation shall be commended and rewarded.






INTERIM PROVISIONS OF THE MINISTRY OF FINANCE CONCERNING THE REDUCTION AND EXEMPTION OF INCOME TAX ON INTEREST DERIVED FROM CHINA BY FOREIGN BUSINESSES

The Ministry of Finance

Interim Provisions of the Ministry of Finance Concerning the Reduction and Exemption of Income Tax on Interest Derived from China
by Foreign Businesses

CaiShuiZi [1983] No.348

January 7, 1983

In order to contribute to the utilization to the greatest extent possible of foreign funds for China’s economic development, the question
of preferential treatment with respect to the reduction of or exemption from income tax on interest income obtained from China by
foreign companies, enterprises and other economic organizations shall be handled pursuant to these Interim Provisions as follows:

(1)

With respect to credit contracts or trade contracts signed between 1983 through 1985 by foreign companies, enterprises and other economic
organizations with Chinese companies and enterprises, all interest obtained on loans, funds advanced and deferred payments, during
the effective term of the contract, may be subjected to income tax at the reduced rate of 10 per cent.

(2)

In addition to the tax exemptions already provided in the Income Tax Law of the People’s Republic of China Concerning Foreign Enterprises
and the rules for its implementation, the following types of interest income may also temporarily be exempted from income tax:

(a)

Interest income on loans made to the state banks of China by foreign banks at the international interbank call rate.

Trust and investment corporations that engage in foreign exchange business with foreigners with the approval of the State Council
or units authorized by the State Council may also be treated with reference to the above provision.

(b)

Interest income on loans made by foreign banks to the China National Offshore Oil Corporation at rates not exceeding the interbank
call rate.

(c)

Where Chinese companies, enterprises or institutions purchase technology, equipment and commodities from abroad and the state bank
of the other party’s country provide seller’s credits, the interest passed on by Chinese side on deferred payments to the seller
that does not exceed the interest rate on buyer’s credits charged by the foreign state bank.

(d)

Interest on deposits of foreign banks and individuals in Chinese state banks where the interest rate on such deposits is less than
the interest rate on deposits in the country where the depositor bank or individual is located.

(e)

Where technology and equipment are provided to Chinese companies and enterprises, the principal and interest on payments of the purchase
price made in kind by Chinese side, such as by means of product buy-back or payment in product, or the principal and interest on
payments or repayments of the purchase price made by Chinese side through processing of imported materials or assembly.

(3)

With respect to equipment and components provided between 1983 through 1985 by foreign leasing companies to Chinese companies and
enterprises using the leasing trade method, during the effective term of the relevant signed contract, the rental fee obtained after
deducting the equipment price may be subjected to income tax at the reduced rate of 10 per cent.

If the rental fee includes interest, where the loan agreement or contract and receipts or vouchers for interest payments can be provided
and are sufficient to prove that the interest rate conforms to Item c of Article (2) of these Provisions, it may be permissible to
pay a 10 per cent income tax only on the amount left after deducting the interest component.

Rental fees obtained from product buy-back or payment in product or other forms of payment in kind may be exempted from income tax.

(4)

With respect to foreign banks that have been approved to establish a resident representative office within China, if the resident
representative office directly signs contracts with and provides loans to Chinese companies and enterprises, it shall be permissible
to deduct relevant costs and expenses from the interest obtained therefrom. In order to facilitate computation, 15 per cent of the
amount of interest earned may temporarily be deemed to be taxable income, and income tax shall be paid in accordance with the tax
rates provided in Articles 3 and 4 of the Income Tax Law Concerning Foreign Enterprises.

(5)

In the case of interest obtained from China on deposits, loans, funds advanced and deferred payments and on purchased bonds, in all
cases in which it is necessary to grant an exemption from income tax in accordance with these Provisions, Chinese companies and enterprises
that receive the deposits, accept the loans and funds advanced, bear responsibility for deferred payments and issue bonds shall submit
all relevant agreements contracts and data on interest rates to the local tax authorities for appraisal and determination. No units
and individuals that have not gone through the procedures for appraisal and determination may of their own accord reduce or exempt
the income tax.

(6)

These Provisions shall enter into force as of January 1, 1983. With respect to contracts that were signed and approved by the competent
departments and became effective before these Provisions came into effect, where the taxation of interest was already provided for
at that time, the original provisions shall be implemented and not be changed during the effective term of the contract (not including
extensions of the contract term).



 
The Ministry of Finance
1983-01-07

 







REGULATIONS ON THE IMPORT OF TECHNOLOGY TO THE XIAMEN SPECIAL ECONOMIC ZONE

Regulations on the Import of Technology to the Xiamen Special Economic Zone

    

(Effective Date 1984.07.14)

   Article 1. The present set of regulations is drawn up in accordance with relevant laws and decrees of the People’s Republic of China.

   Article 2. The regulations apply to the SEZ enterprises and institutions and other economic organizations (hereinafter referred to as the licensee)
import or transfer of technology with payment from foreign or Hongkong, Macao and Taiwan enterprises, other economic organizations
and individuals (hereinafter referred to as the licensor).

   Article 3. The technology thus acquired must be both practical and advanced, and may bring about marked economic benefits. Technology here
is meant to include:

(1) technology with valid patent right;

(2) technology with its patent right being applied for; and

(3) proprietary technology.

   Article 4. Technology that produces the following effects is forbidden to be imported:

(1) that which harms public order of society or violates social ethics; and

(2) that which undermines ecological balance and harms the environment.

   Article 5. Technology transfer or acquisition may take any of the following forms:

(1) licensing;

(2) technical consultancy or technical service;

(3) using patented technology or proprietary know-how as capital contribution in investment, or entering into joint operation with
the licensee;

(4) compensation trade or co-production; and

(5) projects under contract or other forms.

   Article 6. The licensee (recipient) may enjoy special preferential terms set by the Xiamen City People’s Government if the imported technology
meets one of the following conditions, and may apply to a SEZ-based state bank for low-interest loans or financial assistance:

(1) technology which is examined and proved by the state scientific and research department as up to the world advanced level;

(2) that which can markedly improve the competitiveness of the products on the international market;

(3) that which may bring about marked economic results when applied to the technical upgrading of enterprises; and

(4) that which is indispensable to the requirements of the Xiamen City People’s Government.

   Article 7. In technology acquisition, the licensee should apply in writing to an organization authorized by the Xiamen City People’s Government
and should attach a letter of intent about the technology to be acquired and a report on the feasibility study. When examined and
approved, a contract is to be signed between the licensee and licensor (supplier) and submitted to the higher authorities for approval.
The approval department should reply within 44 days after receipt of the application.

The contract comes into force on the date of approval, and it may be cancelled by the approval department if it is not implemented
within six months. The parties involved are allowed to apply for an extension before expiry if they have a valid reason(s).

   Article 8. Contracts must also have the following provisions apart from those that are generally included in Sino-foreign economic contracts:

(1) definition of key terms;

(2) subject and scope of the technology involved, list of technical information and the date of delivery;

(3) progress of implementation, technical service and technical training;

(4) the use of trademark;

(5) warranty, checking and acceptance of the technology;

(6) the rights and obligations of both sides to use and improve the technology;

(7) secrecy clause;

(8) the way to work out and pay the remuneration for the technology; and

(9) liquidated liabilities (damages).

   Article 9. Invalidation of technology transfer agreement clauses if they are formed to include any of the following provisions:

(1) payment for expired or invalid patent rights;

(2) restrictions on the licensee to licensing-in technology from other sources;

(3) restrictions on improvement or development of the technology in the course of application;

(4) obviously unreasonable conditions attached.

   Article 10. In transferring patented technology of an unexpired life, the licensor should provide the licensee with a manual on the patent and
a duplicate or a copy of the letters patent. The certificate of patent right transfer, if any, should also be provided.

In transferring technology for which the patent is pending, the licensor should provide the licensee with such patent application
documents as the letter of application, a manual on the invention and its abstracts, charts, and the letter requesting proprietary
rights, and a progress report on the application process. Documentary evidence on the right to transfer one’s eligibility, if any,
of patent application should also be provided.

In transferring proprietary know-how, the licensor should provide the licensee with the relevant design blueprints, the rules for
the manufacturing processes, illustrated instructions, technical data, prescriptions, formulae, key equipment, models, samples, list
of materials and materials specifications, operating instructions, detailed regulations on on-site operations, and the relevant information
and data regarding technical demonstrations, on-site guidance, product quality control and inspection procedures, repair procedures
and equipment, and other commercial information.

   Article 11. The licensor should, within the time limit set by the contract, conduct training for the required number of people specified by
the licensee with regard to technology, design, management and marketing so that the licensee may master the full range of the technology
provided.

   Article 12. If the licensor is re-licensing the same technology, the licensee has the right to demand that a duplicate of the original licensing
agreement be provided as well.

   Article 13. If the licensor’s patent lapses before the expiration of the agreement, or the application for patent right is rejected, or if it
is found that the know-how does not belong to the licensor, the licensee has the right to demand for changing or terminating the
agreement. The licensor is to be held responsible for any losses arising therefrom, and answerable to any legal proceedings concerning
the patent rights instituted by the third party concerned.

The licensor should make sure that the technical data are complete, correct and reliable. If, for reasons the responsibility for
which rests solely on licensor himself (herself), the technology is found to be not up to the requirements as stipulated in the contract,
the licensor should bear the responsibility for violations of the contract and for payment of the liquidated damages.

   Article 14. The licensee undertakes to discharge the secrecy clause obligations as stipulated in the contract regarding the imported technology.
In case of violations of the secrecy clause, the licensor has the right to withdraw all the relevant information and data, terminate
the contract, and demand compensation from the licensee for the losses resulting therefrom.

Anyone who has access to the technical secrets because of his (her) duties or job responsibilities must not divulge the secrets or
use them without authorization; violations as such shall be legally accountable.

   Article 15. The relevant department of the Xiamen City People’s Government undertakes the necessary monitoring of and control over the effects
of the transfer and application of the technology. In cases where environmental pollution is found or where the expected technical
and economic targets cannot be reached, the department shall demand that the Xiamen City People’s Government suspend the preferential
terms granted to the parties concerned, and take the appropriate actions to rectify the situations.

   Article 16. The present regulations come into force on the date of promulgation.

    






RULES GOVERNING THE CONTROL OVER INWARD AND OUTWARD-BOUND OCEAN-GOING VESSELS OF FOREIGN REGISTRY OF CHINESE-FOREIGN COOPERATIVE EXPLOITATION OF OFFSHORE PETROLEUM, GOODS AND PERSONAL EFFECTS BELONGING TO FOREIGN PERSONNEL WORKING IN

RULES GOVERNING THE APPROVAL OF CLINICAL TRIAL OF FOREIGN DRUG(S)

REGULATIONS OF THE PEOPLE’S REPUBLIC OF CHINA ON ADMINISTRATION OF THE REGISTRATION OF ENTERPRISES AS LEGAL PERSONS

The State Council

Regulations of the People’s Republic of China on Administration of the Registration of Enterprises As Legal Persons

Decree [1988] No.1 of the State Council

June 3, 1988

Chapter I General Provisions

Article 1

In accordance with relevant provisions of the General Principles of the Civil Law of the People’s Republic of China, the present Regulations
are formulated with a view to establishing a system for controlling the registration of enterprises as legal persons, confirming
their status as such, safeguarding their legitimate rights and interests, stamping out illegal business operations, and preserving
social and economic order.

Article 2

Any of the following enterprises which are qualified as legal persons shall register as such in accordance with the relevant provisions
of the present Regulations:

(1)

enterprises owned by the whole people;

(2)

enterprises under collective ownership;

(3)

jointly operated enterprises;

(4)

Chinese-foreign equity joint ventures, Chinese-foreign contractual joint ventures and foreign-capital enterprises established within
the territory of the People’s Republic of China;

(5)

privately operated enterprises;

(6)

other enterprises required by the law to register as legal persons.

Article 3

Those enterprises applying for registration as legal persons shall be given Business Licenses for Enterprises as Legal Persons and
the status of legal persons when their applications for registration have been examined and approved by the authorities in charge
of the registration of enterprises as legal persons and their legitimate rights and interests shall be protected by laws of the State.

Those enterprises, which are required by law to register as legal persons but which have not gone through the procedures of examination
and approval registration by the authorities in charge of the registration of enterprises as legal persons, shall not be allowed
to engage in business operations.

Chapter II Registration Authorities

Article 4

The authorities in charge of the registration of enterprises as legal persons (hereinafter referred to as the registration authorities)
are the State Administration for Industry and Commerce and administrative departments for industry and commerce at various levels.
Registration authorities at various levels shall perform their functions according to law under the leadership of higher registration
authorities and be free from unlawful interference.

Article 5

The registration of national corporations, enterprise groups and corporations handling import-export business set up with the approval
of the State Council or departments authorized by the State Council shall be examined and approved by the State Administration for
Industry and Commerce. The registration of Chinese-foreign equity joint ventures, Chinese-foreign contractual joint ventures and
foreign-capital enterprises shall be examined and approved by the State Administration for Industry and Commerce or by local administrative
departments for industry and commerce authorized by the State Administration for Industry and Commerce.

The registration of son (or branch) companies of national corporations, enterprises, enterprise groups or companies handling import-export
trade established with the approval of the people’s governments of provinces, autonomous regions or municipalities directly under
the Central Government or departments authorized by them shall be examined and approved by the administrative departments for industry
and commerce of the provinces, autonomous regions and municipalities directly under the Central Government.

The registration of other enterprises shall be examined and approved by the administrative departments for industry and commerce of
the cities or counties (districts) where the enterprises are located.

Article 6

Registration authorities at various levels shall institute a file of the registration of enterprises as legal persons and a system
for tabulating statistics relating to such registration, and collect basic information about the registration of enterprises as legal
persons so as to serve the development of a planned commodity economy.

Registration authorities shall offer, in a planned manner and according to the needs of society, the service of providing the public
with data about the registration of enterprises as legal persons.

Chapter III Conditions for Registration and Entities to Apply for Registration

Article 7

Entities applying for registration as enterprises as legal persons must satisfy the following conditions, i.e. having:

(1)

name, organization and articles of association;

(2)

fixed sites for business operations and essential facilities;

(3)

funds and employees in conformity with State regulations and in line with their scale of production, operation or service;

(4)

ability to bear civil liabilities independently;

(5)

a scope of business in conformity with the provisions of the relevant laws, regulations and policies of the State.

Article 8

The application of an enterprise for registration as a legal person shall be filed by the person responsible for establishing the
enterprise.

The registration as a legal person of a jointly operated enterprise which bears civil labilities independently shall be applied for
by the person responsible for initiating the said enterprise.

Chapter IV Items of Registration

Article 9

The major items to be registered for an enterprise as a legal person are: name, residence, site for business operation, legal representative,
economic nature, scope of business, mode of operation, registered capital, number of employees, duration of operation and subdivisions.

Article 10

An enterprise as a legal person shall use only one name. The name to be used by the enterprise as a legal person in its application
for registration shall be examined by the registration authorities and, after it is approved and registered, the enterprise as a
legal person shall enjoy the right to the exclusive use of the registered name within a definite limit.

Those who apply for establishing Chinese-foreign equity joint ventures, Chinese-foreign contractual joint ventures or foreign-capital
enterprises shall apply to the registration authorities for registering the names of the enterprises before their contracts and articles
of association are examined and approved.

Article 11

The legal representative of an enterprise as a legal person, which has been registered after examination and approval by a registration
authority, shall be the signatory who exercises functions and powers on behalf of the enterprise. The signature of the legal representative
shall be submitted to the registration authority for the record.

Article 12

The registered capital of an enterprise as a legal person represents the total value of the property the State entrusts to it for
operation and management or that of the property owned by the enterprise itself.

When an enterprise as a legal person registers for starting operations, the discrepancy between the sum of capital it applies for
registration and the sum of capital it actually possesses shall be handled in accordance with specific regulations of the State.

Article 13

The scope of business of an enterprise as a legal person shall be in harmony, with its capital, sites, equipment, employees and technical
force. It may focus on one line of business as its main operation while engaging in other operations simultaneously in accordance
with relevant regulations of the State. An enterprise as a legal person shall engage in operations within the scope of business as
approved in registration.

Chapter V Registration for Starting Operations

Article 14

An enterprise as a legal person shall apply to a registration authority for registration for starting operations within 30 days after
the approval of the department in charge of it or that of an authority for examination and approval. For an enterprise which does
not have a department in charge or authority for examination and approval, its application for registration for starting operations
shall be examined by a registration authority. The registration authority shall make a decision of approval or disapproval of the
application for registration within 30 days after receiving it.

Article 15

An enterprise as a legal person shall submit the following papers when applying for registration for starting operations:

(1)

an application for registration signed by the person responsible for its establishment;

(2)

the document of approval issued by the department in charge or the authority for examination and approval;

(3)

its articles of association;

(4)

a certificate of its creditworthiness, a certificate of the verification of its capital or a guarantee for its capital;

(5)

a certificate of the identity of the principal responsible person of the enterprise;

(6)

a certificate of the right to use the residence and site for operation;

(7)

other relevant papers and certificates.

Article 16

When the application filed by an entity for starting operations as an enterprise as a legal person has been examined and approved
by a registration authority and a Business License for Enterprise as a Legal Person is received, the enterprise shall be considered
as established. The enterprises as a legal person may henceforth have its official seal made, open a bank account, sign contracts
and conduct business operations by dint of its Business License.

The registration authority may, after a check-up, issue duplicates of the Business License, if the enterprise as a legal person needs
them for its business operations.

Chapter VI Changes in Registration

Article 17

An enterprise as a legal person shall apply for making changes in its registration whenever it changes its name, residence, site,
legal representative, economic nature, scrape of business, mode of operation, registered capital or duration of operation and whenever
it increases or disbands its branches.

Article 18

An enterprise as a legal person shall apply to the registration authority for making changes in its registration within 30 days after
the changes are approved by the department in charge or by the authority for examination and approval.

Article 19

An enterprise as a legal person shall apply to the registration authority for making changes in its registration, or for registration
for starting operations or for cancelling its registration, whenever it is split up, or merged with others or moved elsewhere, within
30 days after these changes are approved by the department in charge or by the authority for examination and approval.

Chapter VII Cancellation of Registration

Article 20

An enterprise as a legal person shall go through the procedures for cancelling its registration with the registration authority when
it closes down, is dissolved, declares bankruptcy or terminates its business operations for other reasons.

Article 21

Whenever an enterprise as a legal person is to cancel its registration, it must submit an application signed by its legal representative,
a document of approval issued by the department in charge or by the authority for examination and approval, a certificate showing
the completion of the clearing up of its liabilities, or a document showing that a liquidation organization will be responsible for
clearing up its creditor’s rights and liabilities. The registration authority, after examining and approving the application, shall
recall the Business License for Enterprise as a Legal Person, duplicates of the License, take over the official seal of the enterprise,
and notify the banks at which it has opened an account of the cancellation of its registration.

Article 22

An enterprise as a legal person, which fails to start operations 6 months after receiving its Business License for Enterprise as a
Legal Person or which has ceased its operations for a year, shall be regarded as having closed down, and the registration authority
shall recall its Business License for Enterprises as a Legal Person, duplicates of the License, take over its official seal and notify
the banks at which it has opened an account of the cancellation of its registration.

Chapter VIII Announcement, Annual Check-up and Control of Certificates

Article 23

The registration authority shall issue registration announcements whenever an enterprise as a legal person starts operations, changes
its name or cancels its registration. No other organ shall be enpost_titled to issue such announcements without the approval of the registration
authority.

Article 24

A system for conducting annual check-up shall be instituted to administer the registration of enterprises as legal persons. An enterprise
as a legal person shall submit its annual check-up report, its balance sheet or statement of assets and liabilities to the registration
authority at the time it prescribes. The registration authority shall check up the major items contained in the registration of the
enterprise as a legal person.

Article 25

The Business License for Enterprises as a Legal Person issued by the registration authority is the certificate of an enterprise as
a legal person. Except the registration authority, which may withhold or cancel it in accordance with the legal procedures, no other
organ or individual is enpost_titled to take over, detain or destroy it.

An enterprise as a legal person, which has lost its Business License for Enterprise as a Legal Person or duplicates of the License,
must announce the loss in a newspaper before it can apply for a replacement.

The Business License for Enterprise as a Legal Person and its duplicates may not be forged, altered, leased, lent, sold or reproduced
without permission.

Article 26

An enterprise as a legal person shall pay registration and annual check-up fees according to the rules when it registers for starting
operations and applies for making changes in its registration and when it receives the annual check-up. The fees to be charged on
registration for starting operations shall be 1 millesimal of the sum of the enterprise’s registered capital; in cases where the
registered capital exceeds 10 million yuan, the fees to be charged on the portion in excess of the said sum shall be 0.5 millesimal
of it; in cases where the registered capital exceeds 100 million yuan, no fees shall be charged on the portion in excess of the said
sum. The minimum registration fee shall be 50 yuan. Fees to be charged on making changes in the registration and conducting the annual
check-up shall be prescribed by the State Administration for Industry and Commerce.

Chapter IX Control of the Registration of Business Operations by Institutions and Scientific and Technological Public Organizations

Article 27

When institutions or scientific and technological public organizations establish enterprises qualified as legal persons in line with
relevant regulations of the state, the applications for registration shall be filed by the enterprises. They may engage in business
operations only after their applications for registration have been approved by the registration authorities and after they have
received their respective Business Licenses for Enterprise as a Legal Person.

Article 28

Institutions, which are run like enterprises in accordance with relevant regulations of the State and which no longer receive operating
funds from the State, or scientific and technological public organizations which are established for business operations, shall apply
for registration if they are qualified to be enterprises as legal persons. They may engage in business operations only after their
applications have been approved by the registration authorities and they have received their respective Business Licenses for Enterprise
as a Legal Person.

Chapter X Supervision and Control

Article 29

The registration authorities shall exercise the following functions of supervision and control over enterprises as legal persons according
to law:

(1)

supervising the registration for starting operations, the application for making changes and the cancellation of registration by enterprises
as legal persons according to regulations;

(2)

supervising the conduct of business operations by enterprises as legal persons in line with the items of registrations, articles of
association and contracts;

(3)

supervising the compliance of enterprises as legal persons and their legal representatives with laws, regulations and policies of
the State;

(4)

stopping, investigating or dealing with illegal business operations of enterprise as legal persons; protecting their legitimate rights
and interests.

Article 30

The registration authority may, in light of the circumstance, penalize an enterprise as legal person by warning, fine, confiscation
of illegal earnings, suspension of business for consideration, or withholding or revoking the Business License for Enterprise as
a legal Person, if it is involved in any of the following case:

(1)

concealing the true situation and resorting to deception in the course of registration or starting operations before the approval
of its registration;

(2)

altering major items in the registration without permission or engaging in business operations beyond the scope of business as approved
in registration;

(3)

failing to cancel registration according to the rules or failing to submit the check-up report or receive the annual check-up;

(4)

forging, altering, leasing, lending, transferring, selling or reproducing the Business License for Enterprise as a Legal Person or
its duplicates without permission;

(5)

withdrawing or transferring capital, concealing assets or dodging liabilities;

(6)

engaging in illegal business operations.

While penalizing an enterprise as a legal person in line with the above provisions, the registration authority shall investigate its
legal representative’s administrative and economic responsibilities according to the seriousness of the violations of the law; judicial
organs shall investigate the criminal responsibilities of those who have violated the criminal law.

Article 31

The registration authority shall ascertain the facts and act according to law when dealing with the illegal activities of an enterprise
as a legal person and notify the parties concerned of its decision in writing.

Article 32

When an enterprise as a legal person disagrees with the penalty meted out but by the registration authority, it may appeal within
15 days after receiving the notice of penalty, to the immediate higher registration authority for reconsideration. The higher registration
authority shall make a reconsideration decision within 30 days after receiving the appeal for reconsideration. The enterprise may
file a suit in a people’s court within 30 days after receiving the notice of reconsideration in it disagrees with the reconsideration
decision. The registration authority may, in accordance with the prescribed procedures, ask the bank at which the enterprise has
an account to transfer from its account the sum to be fined or confiscated as penalty, if it fails to appeal or to pay the fine or
the confiscated sum at the expiry of the prescribed period.

Article 33

When an enterprise as a legal person has its business license revoked, the registration authority shall take over its official seal
and notify the bank at which it has account of the cancellation of its registration, and the department in charge or a liquidation
organization shall be responsible for settling its creditor’s rights and liabilities.

Article 34

Any functionary of the department in charge, the authority for examination and approval or of the registration authority, who has
violated the present Regulations, neglected his duties to a serious extent, abused his powers, practised graft and embezzlement,
extorted and taken bribes or encroached on the legitimate rights and interests of an enterprise as a legal person, shall be given
administrative or economic penalty in light of the circumstances; the judicial organ shall investigate, according to law, his criminal
responsibility, if he violates the criminal law.

Chapter XI Supplementary Provisions

Article 35

When an enterprise as a legal person establishes a branch which is incapable of bearing civil liability independently, the registration
of the branch shall be applied for by the enterprise. The branch shall receive a Business License after the application is approved
by the registration authority and may engage in business operations within the scope of business as approved in registration.

In accordance with relevant State regulations, administrative institutions depending on State funding or scientific and technological
social bodies must apply for registration if they engage in business operations or establish enterprises not qualified; as legal
persons. They shall receive Business Licenses after their applications are approved by the registration authorities and may engage
in business operations within the scope of business as approved in registration.

The specific control of the registration involved shall be enforced with reference to the provisions of the present Regulations.

Article 36

For new enterprises to be established with the approval of relevant departments of the State Council or planning departments at various
levels, if their preparations have been under way for more than 1 year, applications for the registration of the establishment shall
be filed according to specific regulations.

Article 37

Enterprises qualified as legal persons, whose registration was approved by the registration authorities before the present Regulations
are put into effect, are not required to go through the formalities again for registration as enterprises as legal persons.

Article 38

The State Administration for Industry and Commerce shall be responsible for interpreting the present Regulations; and the rules for
their implementation shall also be formulated by the State Administration for Industry and Commerce.

Article 39

The present Regulations shall enter into force as of July 1, 1988. The Measures on Administration of the Registration of Chinese-foreign
Equity Joint Ventures promulgated by the State Council on July 26, 1980, the Regulations on Administration of the Registration of
Industrial and Commercial Enterprises promulgated by the State Council on August 9, 1982, and the Interim Provisions on Administration
of the Registration of Companies approved by the State Council on August 14, 1985 and promulgated by the State Administration for
Industry and Commerce on August 25, 1985 shall all be repealed simultaneously.



 
The State Council
1988-06-03

 







IMPORT AND EXPORT COMMODITY INSPECTION

Category  INSPECTION OF IMPORT AND EXPORT COMMODITIES Organ of Promulgation  The Standing Committee of the  National People’s Congress Status of Effect  In Force
Date of Promulgation  1989-02-21 Effective Date  1989-08-01  


Law of the People’s Republic of China on Import and Export Commodity Inspection

Contents
Chapter I  General Provisions
Chapter II  Inspection of Import Commodities
Chapter III  Inspection of Export Commodities
Chapter IV  Supervision and Administration
Chapter V  Legal Responsibility
Chapter VI  Supplementary Provisions

(Adopted at the Sixth Meeting of the Standing Committee of the Seventh

National People’s Congress on February 21, 1989, promulgated by Order No. 14
of the President of the People’s Republic of China on February 21, 1989, and
effective as August 1, 1989)
Contents

    Chapter I    General Provisions

    Chapter II   Inspection of Import Commodities

    Chapter III  Inspection of Export Commodities

    Chapter IV   Supervision and Administration

    Chapter V    Legal Responsibility

    Chapter VI   Supplementary Provisions
Chapter I  General Provisions

    Article 1  This law is enacted with a view to strengthening the inspection
of import and export commodities, ensuring the quality of import and export
commodities, protecting the lawful rights and interests of the parties
involved in foreign trade, and promoting the smooth development of China’s
economic and trade relations with foreign countries.

    Article 2  The State Council shall establish an Administration for Import
and Export Commodity Inspection (hereinafter referred to as the State
Administration for Commodity Inspection), which shall be in charge of the
inspection of import and export commodities throughout the country. The
local import and export commodity inspection authorities (hereinafter referred
to as the commodity inspection authorities) set up by the State Administration
for Commodity Inspection shall be responsible for the inspection of import and
export commodities within areas under their jurisdiction.

    Article 3  The commodity inspection authorities and other inspection
organization by the State Administration for Commodity Inspection and the
commodity inspection authorities shall, in accordance with the law, perform
the inspection of import and export commodities.

    Article 4  The State Administration for Commodity Inspection shall, in
the light of the development of foreign trade, make, adjust and publish a List
of Import and Export Commodities Subject to Inspection by the Commodity
Inspection Authorities (hereinafter referred to as the List of Commodities).

    Article 5  Import and export commodities which are included in the list
of Commodities and import and export commodities subject to inspection by
the commodity inspection authorities under other laws or administrative rules
and regulations must be inspected by the commodity inspection authorities or
inspection organizations designated by the State Administration for Commodity
Inspection or the commodity inspection authorities. No permission shall be
granted for the sale or use of import commodities specified in the preceding
paragraph until they have undergone inspection; and no permission shall be
granted for the export of export commodities specified in the preceding
paragraph until they have been found to be up to standard through inspection.

    Import and export commodities specified in the first paragraph of this
Article may be exempted from inspection upon the examination and approval of
an application from the consignee or consignor by the State Administration
for Commodity Inspection.

    Article 6  Inspection on import and export commodities performed by the
commodity inspection authorities shall cover quality, specifications,
quantity, weight, packing and the requirements for safety and hygiene.

    Import and export commodities governed by compulsory standards or other
inspection standards which must be complied with as provided for by laws or
administrative rules and regulations shall be inspected in accordance with
such inspection standards; in the absence of such stipulations, import and
export commodities shall be inspected in accordance with the inspection
standards agreed upon in the foreign trade contracts.

    Article 7  Import and export commodities or items subject to inspection
by other inspection organizations under laws or administrative rules and
regulations shall be inspected in accordance with the provisions of relevant
laws or administrative rules and regulations.

    Article 8  The State Administration for Commodity Inspection and the
commodity inspection authorities shall collect information on the inspection
of import and export commodities and make it available to the relevant
circles.
Chapter II  Inspection of Import Commodities

    Article 9  For import commodities which are subject to inspection by the
commodity inspection authorities in accordance with this Law, the consignee
must register them with the commodity inspection authorities located at the
port of discharge or the station of arrival. Import commodities which are
included in the list of Commodities shall be checked and released by the
Customs upon presentation of the seal of the commodity inspection authorities
affixed to the Customs declaration.

    Article 10  For import commodities which are subject to inspection by
the commodity inspection authorities in accordance with this Law, the
consignee shall apply to the same authorities for inspection in places and
within the time limit specified by there. The commodity inspection authorities
shall accomplish the procedures for inspection and issue an inspection
certificate within the period of validity of claims prescribed in a foreign
trade contract.

    Article 11  If import commodities other than those which are subject to
inspection by the commodity inspection authorities in accordance with this
Law are found to be not up to the quality standard, damaged or short on
weight or quantity, the consignee shall apply to the commodity inspection
authorities for inspection and the issuance of an inspection certificate if
such a certificate is necessary for claiming compensation.

    Article 12  For important import commodities and a complete set of
equipment in large size, the consignee shall, in accordance with the terms
agreed upon in a foreign trade contract, conduct initial inspection or initial
supervision over manufacturing or loading in the exporting country before
shipment, while the relevant competent departments shall strengthen their
supervision. The commodity inspection authorities may, when necessary,
dispatch inspection personnel to take part in such inspection and supervision.
Chapter III  Inspection of Export Commodities

    Article 13  For export commodities which are subject to inspection by the
commodity inspection authorities in accordance with this Law, the consignor
shall apply to the same authorities for inspection in the places and within
the time limit specified by them. The commodity inspection authorities shall
accomplish the procedures for inspection and issue a certificate without
delaying the prescribed time for shipment.

    Export commodities which are included in the List of Commodities shall be
checked and released by the Customs upon presentation of the inspection
certificate or the paper for release issued by the commodity inspection
authorities or the seal of the same authorities affixed to the Customs
declaration.

    Article 14  Export commodities which have been inspected and passed by
the commodity inspection authorities and for which an inspection certificate
or a paper for release has been issued by the same authorities shall be
declared for export and shipped out of the country within the time limit
specified by the same authorities. Failing to meet the time limit shall
entail reapplication for inspection.

    Article 15  An enterprise manufacturing packagings for dangerous export
goods must apply to the commodity inspection authorities for a test of the
performance of such packagings. An enterprise producing dangerous export
goods must apply to the same authorities for a test of the use of packagings.
No permission shall be granted for the export of dangerous goods kept in
packagings which have not passed a test.

    Article 16  For vessel holds or containers used for carrying perishable
foods, the carrier or the organization using the containers shall apply for
inspection before loading. No permission shall be granted for loading and
shipment until the relevant conditions are passed by the inspectors.
Chapter IV  Supervision and Administration

    Article 17  The commodity inspection authorities may make a random
inspection of import and export commodities beyond those subject to inspection
by the commodity inspection authorities in accordance with this Law. No
permission shall be granted for the export of export commodities found to be
substandard in a random inspection.

    Article 18  The commodity inspection authorities may, when necessary,
assign inspection personnel to manufacturers of export commodities which are
included in the List of Commodities to take part in supervision over the
quality inspection of export commodities before they leave the factory.

    Article 19  The commodity inspection authorities may undertake the
quality certification of import and export commodities on the basis of
agreements signed between the State Administration for Commodity Inspection
and the foreign bodies concerned or upon entrustment by the foreign bodies
concerned. They may permit the use of quality certification marks on import
and export commodities which have been given quality certification.

    Article 20  The State Administration for Commodity Inspection and the
commodity inspection authorities shall, on the basis of the requirements in
their inspection, entrust competent inspection organizations at home and
abroad with the inspection of import and export commodities after examining
their qualifications.

    Article 21  The State Administration for Commodity Inspection and the
commodity inspection authorities shall exercise supervision over the import
and export commodity inspection conducted by the inspection organizations
designated or approved by them and may make a random inspection of the
commodities which have been inspected by such organization.

    Article 22  The State shall, when necessary, institute a quality licence
system for important import and export commodities and their manufacturers.
The specific measures thereof shall be drawn up by the State Administration
for Commodity Inspection in conjunction with the relevant competent
departments under the State Council.

    Article 23  The commodity inspection authorities may, when necessary,
place commodity inspection marks or sealings on import and export commodities
proved to be up to standard through inspection.

    Article 24  In case an applicant for the inspection of import and export
commodities disagrees with the results of inspection presented by the
commodity inspection authorities, he may apply for reinspection to the same
authorities, to those at the next higher level or to the State Administration
for Commodity Inspection. The conclusion on reinspection shall be made by the
commodity inspection authorities or the State Administration for Commodity
Inspection which has accepted the application for reinspection.

    Article 25  The commodity inspection authorities, the inspection
organizations designated by them and other inspection organizations approved
by the State Administration for Commodity Inspection may handle the business
of superintending and surveying import and export commodities as entrusted
by parties involved in foreign trade or by foreign inspection bodies.

    The scope of business of superintending and surveying import and export
commodities shall cover: inspection of the quality, quantity, weight and
packing of import and export commodities; inspection of cargoes with respect
to general or particular average; inspection of container cargoes; damage
survey of import cargoes; inspection of technical conditions for the shipment
of exports; measurement of dead tonnage; certification of the origin or value
of exports and other superintending and surveying services.
Chapter V  Legal Responsibility

    Article 26  Anyone who, in violation of the relevant provisions of this
Law, purposely markets or uses import commodities which are included in the
last of Commodities or subject to inspection by the commodity inspection
authorities in accordance with other laws or administrative rules and
regulations without having such commodities inspected, or purposely exports
export commodities which are included in the List of Commodities or subject to
inspection by the commodity inspection authorities in accordance with other
laws or administrative rules and regulations without having such commodities
inspected and proved up to standard shall be fined by the commodity inspection
authorities. If the circumstances are serious and cause heavy economic losses,
the criminal responsibility of the personnel directly responsible shall be
investigated by applying mutatis mutandis the provisions of Article 187 of the
Criminal Law.

    Anyone who, in violation of the provisions of Article 17 of this Law,
purposely exports export commodities which have been found substandard during
a random inspection by the commodity inspection authorities, shall be punished
in accordance with the provisions of the preceding paragraph.

    Article 27  If the falsifying or remaking of the certificates or
documents, seals or stamps, marks, sealings or quality certification marks
for commodity inspection constitutes a crime, the criminal responsibility of
the personnel directly responsible shall be investigated by applying mutatis
mutandis the provisions of Article 167 of the Criminal Law; if the
circumstances are minor, the offender shall be fined by the commodity
inspection authorities.

    Article 28  If a party refuses to accept the punishment decision of the
commodity inspection authorities, he may, within 30 days of receiving the
notice on the punishment, apply for reconsideration to the same authorities
which have made the punishment decision, to those at the next higher level
or to the State Administration for Commodity Inspection. If the party refuses
to accept the decision on the reconsideration, he may, within 30 days of
receiving the notice on the reconsideration decision, bring a suit before a
court of law. If the party neither applies for reconsideration nor brings a
suit nor complies with the punishment decision within the prescribed time
limit, the commodity inspection authorities which have made the punishment
decision shall apply to a court of law for compulsory execution.

    Article 29  Any functionary of the State Administration for Commodity
Inspection or of the commodity inspection authorities or any of the inspection
personnel of the inspection organizations designated by the State
Administration for Commodity Inspection and the commodity inspection
authorities who abuses his power, commits irregularities for the benefit of
his relatives or friends, falsifies inspection results or fails to conduct
inspection and issue a certificate within the time limit through dereliction
shall, depending on the seriousness of the circumstances, be given
administrative sanction, or his criminal responsibility shall be investigated
according to law.
Chapter VI  Supplementary Provisions

    Article 30  The commodity inspection authorities and other inspection
organizations shall collect fees according to relevant provisions for carrying
out inspection or performing superintending and surveying services in
accordance with the provisions of this Law. The procedures for collecting
fees shall be drawn up by the State Administration for Commodity Inspection
in conjunction with the competent departments under the State Council.

    Article 31  Rules for the implementation of this Law shall be formulated
by the State Administration for Commodity Inspection and shall come into force
after being submitted to and approved by the State Council.

    Article 32  This Law shall come into force as of August 1, 1989. The
Regulations of the People’s Republic of China on the Inspection of Import
and Export Commodities promulgated by the State Council on January 28, 1984.
shall be invalidated as of the same date.

                                                  







DECISION OF THE STANDING COMMITTEE OF THE NATIONAL PEOPLE’S CONGRESS ON THE PUNISHMENT OF CRIMINALS WHO SMUGGLE, PRODUCE, SELL OR DISSEMINATE PORNOGRAPHIC ARTICLES

Category  CRIMINAL LAW Organ of Promulgation  The Standing Committee of the National People’s Congress Status of Effect  In Force
Date of Promulgation  1990-12-28 Effective Date  1990-12-28  


Decision of the Standing Committee of the National People’s Congress on the Punishment of Criminals Who Smuggle, Produce, Sell or
Disseminate Pornographic Articles



(Adopted at the 17th Meeting of the Standing Committee of the Seventh

National People’s Congress on December 28, 1990, promulgated by Order No.39
of the President of the People’s Republic of China on December 28, 1990, and
effective as of December 28, 1990)(Editor’s Note: In accordance with the
provisions of Article 452 of the Criminal Law of the People’s Republic of China revised at the Fifth Session of the Eighth National
People’s Congress on
March 14, 1997, and effective on October 1, 1997, the provisions regarding
administrative penalties and administrative measures in this Decision shall
continue to be in force and the provisions regarding criminal liability have
been incorporated into the revised Criminal Law)

    With a view to punishing criminals who smuggle, produce, sell or
disseminate pornographic books and periodicals, movies, video- and
audio-tapes, pictures or other pornographic articles, and for the purpose of
maintaining social security and public order, strengthening the building of a
socialist society with advanced culture and ideology and stemming the
corrosive influence of the decadent bourgeois ideology, the following decision
is made:

    1. Whoever smuggles pornographic articles for the purpose of making
profits or disseminating them shall be punished in accordance with the
Supplementary Provisions Concerning the Punishment of the Crimes of Smuggling.
Whoever carries or mails any pornographic article of small quantity into or
out of the territory of China, not for the purpose of making  profits or
disseminating them, shall be punished in accordance with the relevant
provisions of the Customs Law.

    2. Whoever produces, duplicates, publishes, sells or disseminates
pornographic articles for the purpose of making profits shall be sentenced to
fixed-term imprisonment of not more than three years or criminal detention
and shall concurrently be sentenced to a fine; if the circumstances are
serious, the offender shall be sentenced to fixed-term imprisonment of not
less than three years but not more than ten years and shall concurrently be
sentenced to a fine; and if the circumstances are especially serious, the
offender shall be sentenced to fixed-term imprisonment of not less than ten
years or life imprisonment and shall concurrently be sentenced to a fine or
confiscation of property. If the circumstances are relatively  minor, the
offender shall be subjected to punishment by the public security organ in
accordance with the relevant provisions of the Regulations on Administrative
Penalties for Public Security.

    Whoever provides book numbers for others to publish pornographic books and
periodicals shall be sentenced to fixed-term imprisonment of not more than
three years or criminal detention and shall concurrently or simply be
sentenced to a fine. Whoever provides others with book numbers when he clearly
knows that these will be used in the publication of pornographic books and
periodicals shall be punished in accordance with the provisions of the
preceding paragraph.

    3. Whoever disseminates in society pornographic books and periodicals,
movies, video- and audio-tapes, pictures or any other pornographic articles,
where the circumstances are serious, shall be sentenced to fixed-term
imprisonment of not more than two years or criminal detention; where the
circumstances are relatively minor, the offender shall be subjected to
punishment by the public security organ in accordance with the relevant
provisions of the Regulations on Administrative Penalties for Public Security.

    Whoever organizes shows of pornographic movies or video-tapes or similar
audio- and video-products shall be sentenced to fixed-term imprisonment of
not more than three years or criminal detention and shall concurrently be
sentenced to a fine; where the circumstances are serious, the offender shall
be sentenced to fixed-term imprisonment of not less than three years but not
more than ten years and shall concurrently be sentenced to a fine. Where the
circumstances are relatively minor, the offender shall be subjected to
punishment by the public security organ in accordance with the relevant
provisions of the Regulations on Administrative Penalties for Public Security.

    Whoever produces or duplicates pornographic movies and video-tapes or
similar audio- and video-products and organizes shows of such products shall
be given a heavier punishment in accordance with the provisions of the
preceding paragraph.

    Whoever disseminates pornographic articles to minors under the age of
eighteen shall be given a heavier punishment.

    Parents and schools shall rigorously discipline and educate minors under
the age of sixteen who make private copies of, or pass around, pornographic
pictures, books and periodicals, or other pornographic articles.

    4. Whoever uses pornographic articles to engage in criminal hooligan
activities shall be punished in accordance with the provisions of Article 160
of the Criminal Law; ringleaders of criminal hooligan groups or those who
engage in criminal hooligan activities leading to especially serious
consequences, may, in accordance with the provisions of Article 1 of the
Decision Regarding the Severe Punishment of Criminals Who Seriously Endanger
Public Security, be given punishment above the maximum punishment stipulated
in the Criminal Law, up to and including the death sentences.

    Whoever uses pornographic articles to impart ways for committing crimes
shall be punished in accordance with the provisions of Article 2 of the
Decision Regarding the Severe Punishment of Criminals Who Seriously Endanger
Public Security; where the circumstances are especially serious, the offender
shall be sentenced to life imprisonment or death.

    5. If a unit commits any illicit or criminal act mentioned in Article 1, 2
or 3 of this Decision, the person(s) directly in charge and other person(s)
directly involved in it shall be punished respectively in accordance with the
provisions of the aforesaid Articles, the unit shall be subjected to a fine or
penalty, and the competent administrative department may order the unit to
suspend business for rectification or rescind its licence.

    6. Whoever is under any of the following circumstances shall be given a
heavier punishment in accordance with the relevant provisions of this
Decision:

    (1) ringleaders of a criminal group;

    (2) State functionaries who take advantage of their of their office to
smuggle, produce, duplicate, publish, sell or disseminate pornographic
articles;

    (3) persons in charge of facilities for video recording, photographing,
duplicating, etc. who, by taking advantage of these facilities, commit illicit
or criminal acts mentioned in Article 2, 3, or 4 of this Decision; or

    (4) adults who instigate any minor under the age of eighteen to smuggle,
produce, duplicate, sell or disseminate pornographic articles.

    7. Pornographic articles, illegal gains from smuggling, producing,
duplicating, publishing, selling or disseminating pornographic articles and
the offender’s own guilty tools shall be confiscated. The confiscated
pornographic articles shall be destroyed in accordance with relevant
regulations of the State. All gains from fines and penalties or confiscation
shall be turned over to the State Treasury.

    8. For the purpose of this Decision, pornographic articles refer to
obscene books, periodicals, movies, video- and audio-tapes, pictures, etc.
that explicitly portray sexual behavior or undisguisedly publicize
pornography.

    Scientific works on human physiology or medical knowledge are not
pornographic articles.

    Literary and art works of artistic value which contain obscene contents
shall not be regarded as pornographic articles.

    The categories and catalogues of pornographic articles shall be prescribed
by the relevant competent departments under the State Council.

    9. This Decision shall enter into force as of the date of promulgation.






REGULATIONS CONCERNING FOREIGN JOURNALISTS AND PERMANENT OFFICES OF FOREIGN NEWS AGENCIES

Regulations Concerning Foreign Journalists and Permanent Offices of Foreign News Agencies

     (Effective Date 1990.01.19–Ineffective Date )

   Article 1. These Regulations are formulated for the purpose of promoting international exchanges and the dissemination of information, regulating
the activities of foreign journalists and permanent offices of foreign news agencies within the territory of China and facilitating
their journalistic work.

   Article 2. The present Regulations shall apply to resident foreign correspondents, foreign reporters for short-term news coverage (hereinafter
both referred to as foreign journalists) and permanent offices of foreign news agencies.

Resident foreign correspondents refer to the professional journalists dispatched by foreign news agencies, in accordance with these
Regulations, to be stationed in China for a period of more than 6 months for news coverage and reporting.

Foreign reporters for short-term news coverage refer to the professional journalists who come to China and stay for a period not exceeding
6 months for news coverage and reporting in accordance with these Regulations.

Permanent offices of foreign news agencies refer to branch offices composed of one or more staff members and established within the
territory of China by foreign news agencies for news coverage and reporting in accordance with these Regulations.

   Article 3. The Government of the People’s Republic of China shall protect according to law the legitimate rights and interests of foreign journalists
and of the permanent offices of foreign news agencies and provide them with facilities for their normal journalistic activities.

Foreign journalists and permanent offices of foreign news agencies must abide by the laws and regulations of the People’s Republic
of china.

   Article 4. The Ministry of Foreign Affairs of the People’s Republic of China (hereinafter referred to as the Foreign Ministry) is the competent
authority in charge of the affairs concerning foreign journalists and the permanent offices of foreign news agencies in China.

   Article 5. A foreign news agency wishing to send a resident correspondent to China shall file an application with the Information Department
of the Foreign Ministry (hereinafter referred to as the Information Department). The application must be signed by the head of its
headquarters and contain the following particulars, with necessary papers attached thereto:

(1) Basic facts about the news agency;

(2) The name, sex, age, nationality, position, curriculum vitae and the place of intended residence of the correspondent to be sent;
and

(3) The professional correspondent certificate of the correspondent.

If one resident correspondent is to be sent by two or more foreign news agencies, these agencies shall submit separate applications
according to the procedures as stipulated in the preceding paragraph and indicate in their respective applications the posts held
concurrently by the said correspondent.

   Article 6. Upon approval the application, the resident foreign correspondent to be sent shall, within 7 days of his/her arrival in China, register
with the Information Department on presentation of an appointment letter signed by the head of the headquarters of the relevant news
agency and his/her passport, and obtain the Foreign Journalist Identity Card.

A resident foreign correspondent to reside in a place other than Beijing shall, within 7 days of his/her arrival in China, go through
the procedures as stipulated in the preceding paragraph at the relevant foreign affairs office of the local people’s government entrusted
by the Information Department (hereinafter referred to as the authorities entrusted by the Information Department).

   Article 7. A foreign news agency shall apply to the Information Department if it wishes to set up a permanent office in China. The application
shall be signed by its legal representative and shall contain the following particulars, with necessary papers attached thereto:

(1) Basic facts about the news agency;

(2) The name of the office to be set up in China, the place of intended residence, business scope, number of staff as well as the
name, sex, age, nationality, position and curriculum vitae of the head of the office and those of other members; and

(3) A copy of the registration certificate of the news agency issued by its home country.

   Article 8. Upon approval of the application, the head of the permanent office to be set up shall, within 7 days of his/her arrival in China,
register with the Information Department on presentation of an appointment letter signed by the legal representative of the foreign
news agency concerned and his/her passport and the passports of other members, and obtain the Certificate for Permanent Office of
Foreign News Agency in China.

The head of a permanent office of a foreign news agency in a place other than Beijing shall, within 7 days of his/her arrival in China,
go through the procedures as stipulated in the preceding paragraph at the authorities entrusted by the Information Department.

   Article 9. If a foreign news agency wishes to send an acting correspondent in the absence of its resident correspondent in china for a period
of no less than one month and no more than 6 months, the head of the agency’s headquarters shall submit in advance to the Information
Department or the authorities entrusted by it a written application which shall contain the name, sex, age, nationality, position,
curriculum vitae of the acting correspondent, with his/her professional correspondent certificate attached thereto. The acting correspondent
may not engage in journalistic activities unless he/she obtains approval and due certification.

   Article 10. A resident foreign correspondent shall apply to the Information Department or the authorities entrusted by it for examination and
renewal of his/her Foreign Journalist Identity Card once every full year. Whoever fails to go through such procedure within 30 days
after the period due without justification will automatically forfeit his/her status of resident foreign correspondent.

Whenever a permanent office of a foreign news agency needs a change of its head, a change in the size of its staff and other important
changes, it shall submit an application to the Information Department, obtain the latter’s approval and go through the necessary
registration procedures for the change.

   Article 11. For foreign journalists wishing to come to China to cover a visit by the head of state or government or the foreign minister of a
country, the application for approval shall be made collectively through the Ministry of Foreign Affairs of that country in advance
to the Chinese Foreign Ministry.

   Article 12. A foreign reporter or journalist group wishing to come to China for news coverage on a short-term basis shall file an application
with a Chinese embassy or consulate abroad or a department concerned in China. Upon approval, the said reporter or group shall go
through the procedures for visas at a chinese embassy or consulate abroad or a visa-issuing organ authorized by the Foreign Ministry.

A foreign reporter or journalist group that is to visit China at the invitation of a chinese organization for short-term news coverage
shall apply for visas at a Chinese embassy or consulate abroad or a visa-issuing organ authorized by the Foreign Ministry on presentation
of the invitation letter or cable.

   Article 13. The Chinese host organization shall be responsible for arranging the short-term news coverage activities of a foreign journalist
within the territory of China and render him/her assistance in this regard.

A foreign reporter for short-term news coverage shall obtain the consent of the host organization for an extended news coverage in
China with justified reasons and shall go through formalities for extension of the visa in accordance with the relevant regulations.

   Article 14. A foreign journalist or permanent office of a foreign news agency shall conduct journalistic activities within the scope of business
as registered or within that of the mutually agreed plan for news coverage.

Foreign journalists and permanent offices of foreign news agencies must observe journalistic ethics and may not distort facts, fabricate
rumours or carry out news coverage by foul means.

Foreign journalists and permanent offices of foreign news agencies may not engage in any activities incompatible with their status
or the nature of their profession, or detrimental to China’s national security, unity or social and public interest.

   Article 15. A foreign journalist shall apply for approval through the Information Department for interviewing a top leader of China, and shall
apply to the relevant foreign affairs departments for approval for gathering news form China’s government departments or other institutions.

Foreign journalists shall obtain in advance permission from the relevant foreign affairs office of the people’s government of a province,
autonomous region or municipality directly under the Central Government for news coverage in an open area in China. They shall submit
a written application to the Information Department for approval, if they intend to covernews in a nonopen area in China. Upon approval,
they shall go through formalities for travel certificates at the relevant public security organ.

   Article 16. Resident foreign correspondents and permanent offices of foreign news agencies shall rent houses and set up office in accordance
with the relevant Chinese regulations.

Resident foreign correspondents and permanent offices of foreign news agencies may employ Chinese citizens as staff members or service
personnel through local foreign affairs service departments, whereas the employment of citizens of theirs respective home countries
or of a third country as staff members or service personnel requires the consent of the Information Department.

   Article 17. Foreign journalists and permanent offices of foreign news agencies may not install transceivers or statellite communications facilities
within the territory of China. They shall apply to the competent telecommunications department of the Chinese Government for approval
if they are to use walkie-talkies or similar telecommunication facilities within the territory of China.

Foreign reporters for short-term news coverage in China shall apply to the Foreign Ministry for approval if they are to carry with
them or install satellite communications facilities for special reasons.

   Article 18. Resident foreign correspondent shall notify in writing the Information Department of their departure 30 days before they leave their
posts and return their Foreign Journalist Identity Cards to the Information Department or the authorities entrusted by it for cancellation
before their departure from China. A permanent office of a foreign news agency in China shall notify the Information Department
of its closure 30 days beforehand and, after closure, it shall return its Certificate for Permanent Office of Foreign News Agency
to the Information Department or the authorities entrusted by it for cancellation.

   Article 19. In case of violation of the present Regulations by foreign journalists or permanent offices of foreign news agencies in China, the
Information Department may, on the merits of each case, give them a warning, suspend or stop their journalistic activities in China,
or revoke their Foreign Journalist Identity Cards or Certificates for Permanent Office of Foreign News Agency.

Cases involving violations of the Law of the People’s Republic of China on Control of the Entry and Exit of Aliens or other laws and
regulations shall be dealt with by the competent Chinese authorities according to law.

   Article 20. Foreigners and foreign agencies other than the foreign journalists and permanent offices of foreign news agencies as specified in
the present Regulations may not engage in journalistic activities in China. Due penalty shall be meted out by the relevant Chinese
public security organ to any violator depending on the seriousness of the case.

   Article 21. The Ministry of Foreign Affairs shall be responsible for the interpretation of these Regulations.

    

MOFTEC P.R.C.

EDITOR:Victor






CONSTITUTION ACT, 1982 – page 22

NOTES (1) The enacting clause was repealed by the Statute Law Revision Act, 1893, 56-57 Vict., c. 14 (U.K.). It read as...