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RESOLUTION OF THE STANDING COMMITTEE OF THE NATIONAL PEOPLE’S CONGRESS APPROVING THE SUPPLEMENTARY PROVISIONS OF THE STATE COUNCIL FOR REHABILITATION THROUGH LABOUR

Resolution of the Standing Committee of the National People’s Congress Approving the Supplementary Provisions of the State Council
for Rehabilitation Through Labour

     (Effective Date:1979.11.29–Ineffective Date:)

The 12th Meeting of the Standing Committee of the Fifth National People’s Congress on November 29, 1979 resolves to approve the Supplementary
Provisions of the State Council for Rehabilitation Through Labour which shall be promulgated for implementation by the State Council.

APPENDIX I:

SUPPLEMENTARY PROVISIONS OF THE STATE COUNCIL FOR REHABILITATION THROUGH LABOUR

(Approved at the 12th Meeting of the Standing Committee of the National People’s Congress and promulgated for implementation by the
State Council on November 29, 1979)

The following supplementary provisions are made with a view to better enforcing the Decision of the State Council Regarding the Question
of Rehabilitation Through Labour, approved by the 78th Meeting of the Standing Committee of the First National People’s Congress
on August 1, 1957:

1. Administrative committees for rehabilitation through labour shall be established by the people’s governments of the provinces,
autonomous regions, and municipalities directly under the Central Government, and of large and medium-sized cities, and shall be
composed of the persons responsible for civil affairs, public security and labour departments. They shall be responsible for directing
and administering the work of rehabilitation through labour.

2. Those people in large and medium-sized cities who need to be rehabilitated through labour shall be interned for the purpose of
rehabilitation. The administrative committees for rehabilitation through labour of the provinces, autonomous regions, and municipalities
directly under the Central Government, and of large and medium-sized cities, shall be responsible for examining and approving those
who need such rehabilitation.

3. The term of rehabilitation through labour shall be one to three years. When necessary, it may be extended for one more year. Rest
shall be allowed on festivals and Sundays.

4. After their release, persons who have undergone rehabilitation through labour shall not be discriminated against in employment
and enrollment in schools. Their families including children shall not be subjected to discrimination.

5. The people’s procuratorates shall exercise supervision over the activities of the organs in charge of rehabilitation through labour.

APPENDIX II: DECISION OF THE STATE COUNCIL REGARDING THE QUESTION OF REHABILITATION THROUGH LABOUR

(Approved at the 78th Meeting of the Standing Committee of the National People’s Congress on August 1, 1957)

The following decision regarding the question of rehabilitation through labour is made in accordance with the provisions of Article
100 of the Constitution of the People’s Republic of China and with a view to reforming those persons who are able to work but insist
on leading an idle life, violating law and discipline, or will not engage in honest pursuits, into persons who are able to support
themselves through their own labour, and to further maintaining public order, thus facilitating socialist construction:

1. Persons of the following categories shall be interned for rehabilitation through labour:

(1) those who will not engage in honest pursuits, involve themselves in hooliganism, commit larceny, fraud or other acts for which
they are not criminally liable or violate public security rules and refuse to mend their ways despite repeated admonition;

(2) counterrevolutionaries and anti-socialist reactionaries who commit minor offences and are not criminally liable and who have been
given sanctions of expulsion by government organs, people’s organizations, enterprises or schools, and as a result have difficulty
in making a living;

(3) employees of government organs, people’s organizations, enterprises and schools who are able-bodied, but have refused to work
for a long period, violated discipline or jeopardized public order, and have been given sanctions of expulsion, and as a result have
difficulty in making a living; or

(4) persons who refuse to accept the work assigned to them or the arrangement made for their employment and settlement after their
demobilization from military service, or who decline to take part in manual labour and production despite persuasion, keep behaving
disruptively on purpose, obstruct public officials from performing their duties and refuse to mend their ways despite repeated admonition.

2. Rehabilitation through labour is a measure whereby education and reform are mandatorily imposed on persons who are interned for
rehabilitation through labour, and is also a measure to resettle them and provide employment for them.

Persons undergoing rehabilitation through labour shall be appropriately paid with wages according to the actual work they do; a suitable
amount may be deducted from their wages for the support of their dependents or reserved for their own expenses in settling down to
a stable life.

Persons undergoing rehabilitation through labour must abide by the discipline prescribed by the organs in charge of rehabilitation
through labour. Those who violate discipline shall be given administrative sanctions and those who commit criminal offences shall
be punished according to law.

For the education and management of the persons undergoing rehabilitation, the policy of combining labour and production with political
education shall be adopted, and disciplinary rules and regulations shall be prescribed for such persons to strictly observe. Help
shall be given to them in cultivating their consciousness of loving the country, abiding by the law and regarding work as a matter
of honour, in learning skills of labour and production, and in fostering a habit of loving manual labour so that they may be turned
into working people who take part in socialist construction and who support themselves by their own labour.

3. Petitions for persons to be interned for rehabilitation through labour shall be presented by departments of civil affairs or public
security, by the units such persons belong to, which may be government organs, people’s organizations, enterprises, schools, etc.,
or by their parents or guardians and shall be approved by the people’s councils of provinces, autonomous regions, and municipalities
directly under the Central Government or by organs authorized by these people’s councils.

4. If, in the course of their rehabilitation, persons undergoing rehabilitation through labour have mended their ways and are qualified
for employment, they may be provided with other employments upon the approval of the organs in charge of rehabilitation through labour;
if the units, parents or guardians who have previously petitioned for the persons concerned to be interned for rehabilitation through
labour present another petition requesting that such persons be turned over to them for education and supervision, the organs in
charge of rehabilitation through labour may also approve such petitions according to the actual conditions.

5. Organs in charge of rehabilitation through labour shall be established at the level of provinces, autonomous regions, and municipalities
directly under the Central Government or established with the approval of the people’s councils of provinces, autonomous regions,
and municipalities directly under the Central Government. The work of the organs in charge of rehabilitation through labour shall
be under the joint leadership and administration of the departments of civil affairs and public security.

    






REGULATIONS FOR COLLECTING TALLYING FEES BY THE CHINA OCEAN SHIPPING TALLY COMPANY

CIRCULAR OF THE GENERAL OFFICE OF THE STATE COUNCIL CONCERNING CHINA’S ACCESSION TO THE HAGUE CONVENTION AND THE MONTREAL CONVENTION

Category  CIVIL AVIATION Organ of Promulgation  The State Council Status of Effect  In Force
Date of Promulgation  1980-11-03 Effective Date  1980-11-03  


Circular of the General Office of the State Council Concerning China’s Accession to the Hague Convention and the Montreal Convention



(November 3, 1980)

    Upon approval by the State Council, China acceded on September 10, 1980
to the Convention Concerning the Checking
of the Illegal Hijacking of Aircraft
(hereinafter referred to as “the Hague Convention”) and the Convention
Concerning the Checking of Illegal Acts that Jeopardize Civil Aviation Safety
(hereinafter referred to as “the Montreal Convention”) which had been
concluded internationally, and declared at the time of accedence that China
shall not be bound by Paragraph 1 of Article 17 of the Hague Convention and
Paragraph 1 of Article 14 of the Montreal Convention and that the signing and
rectification of the Conventions by the Taiwan authorities in the name of
China are illegal and null and void. The two Conventions became applicable to
China on October 10, 1980.

    Since the beginning of the 19960s, incidents involving using violence to
hijack civil aircraft and damaging civil aviation facilities have frequently
occurred in the world. In order to check such acts of terrorism and safeguard
the safety of international civil aviation, the International Civil Aviation
Organization presided in 1963 over the formulation of the Convention
Concerning Crimes and Some Other Acts in Aircraft (hereinafter refered to as
“the Tokyo Convention”, to which China acceded in November 1978 upon approval
by the State Council) and, following that it formulated in 1970 and 1971
successively the Hague Convention and the Montreal Convention. These
Conventions are of positive significance to protecting the safety of civil
aircraft and other civil aviation facilities.

    In recent years, although the incidence of hijacking and other terrorist
acts has been reduced in the world, they do occur occasionally; and on China’s
civil aircraft, there have been three attempted hijacking incidents for the
purpose of fleeing the country. In order to ensure the safety in transport for
international and domestic airliners and effectively guard against the
occurrence of hijacking and other criminal acts, it is hoped that various
regions and competent departments earnestly implement the relevant Articles
of the aforementioned international Conventions (for the translated Chinese
version of the Hague Convention and the Montreal Convention, please see the
State Council Bulletin Number 17 of 1980 and, for the translated Chinese
version of the Tokyo Convention, please see the document of the Civil Aviation
Administration of China and the Ministry of Foreign Affairs, Ref.:
(78) Zhijizi No. 591), heighten their vigilance, tighten the ground security
check and the on board security protection measures and strictly prevent any
attempt to use violence to hijack aircraft or damage civil aviation facilities
so as to guarantee the safety in China’s civil aviation. In the event that
incidents should occur involving foreign countries such as hijacked foreign
aircraft landing in China, the matter should be handled properly, in
accordance with the law of China and with reference to the relevant provisions
of the aforementioned three Conventions.






INTERIM PROCEDURES FOR THE HANDLING OF LOANS BY THE BANK OF CHINA TO CHINESE-FOREIGN JOINT VENTURES

Interim Procedures for the Handling of Loans by the Bank of China to Chinese-Foreign Joint Ventures

     (Approved by the State Council on March 13, 1981 and Promulgated by the Bank of China on March 13, 1981)

   Article 1. In accordance with the provisions of Article 8 of the Law of the People’s Republic of China on Chinese-Foreign Joint Ventures that
“A joint venture shall open an account with the Bank of China or a bank approved by the Bank of China”, these Interim Procedures
are formulated to support the requirements of Chinese-foreign joint ventures (hereafter referred to as “joint ventures”) for funds
in their operating and business activities through the handling of loans to joint ventures (hereafter refereed to as “loans”).

   Article 2. Prospective Borrowers. Any joint venture may apply for a loan if, in accordance with the provisions of the Law of the People’s Republic
of China on Chinese-Foreign Joint Ventures, it has been approved by the Foreign Investment Commission, has registered with the General
Administration for Industry and Commerce and has obtained a business license.

   Article 3. Types of Loans. The Bank of China shall handle the following types of loans to joint ventures:

(1).Working capital loans. Short-term revolving funds for deficits that arise in the process of the production or circulation of goods
by the joint venture.

(2).loans for the settlement of accounts. Funds for settlement by joint ventures when their production capital is tied up in goods
that are in the process of being sold within the People’s Republic of China or abroad.

(3)Fixed asset loans. Funds for the deficits that arise when joint ventures need to increase their fixed assets in order to expand
their business operations or to make replacements and technical innovations.

The above-mentioned loans fall into two categories: Renminbi loans and foreign currency loans. A loan shall be repaid in the same
currency in which it was made. Interest on a foreign currency loan shall be computed and charged in foreign currency.

   Article 4.Conditions for Loans.

A Joint venture that applies for the use of a loan shall satisfy the following conditions:

(1). It shall comply with the Law of the People’s Republic of China on Chinese-Foreign Joint Ventures.

(2) It shall have opened a deposit account with the Bank of China or a bank approved by the Bank of China (hereafter referred to as
“the bank”).

(3) It shall be creditworthy and soundly managed.

(4)The source of funds for repayment of the loan and for payment of interest shall be fully guaranteed. At the time of drawdown, the
joint venture shall have provided, in a form acceptable to the bank, collateral security or the guaranty of a uarantor enterprise.

   Article 5. Term of Loans.

The term of a lone shall be decided by the borrowing venture and the bank, according to the specific contents of the items covered
by the loan and distinguishing among differing cases.

   Article 6. Interest Rates on Loans. The interest rates on Renminbi loans shall be those prescribed by the People’s Bank of China. The interest
rates on foreign currency loans shall be set by the Bank of China and shall be put into effect after being checked and approved by
the People’s Bank of China.

   Article 7. Application for Loans, Signing of Loan Agreements and Utilization of Loans.

(1) A borrowing venture that applies for a loan must satisfy the conditions for a loan and have the approval of its board of directors;
it shall go through the procedures for applying for a loan from the bank, fill out and submit an application for utilization of the
loan and provide necessary documentation, materials and copies of relevant contracts.

(2) After the loan application is examined and approved by the bank, the borrowing venture shall sign a loan agreement with the bank,
open a loan account and complete borrowing procedures in accordance with the provisions of the agreement. For a loan secured by credit,
a letter of guaranty of repayment of the loan, issued by a guarantor enterprise and acceptable to the bank, shall be attached to
the loan agreement; for a loan secured by things, written confirmation that the collateral serves as security for repayment, issued
by the borrowing venture and acceptable to the bank, shall be attached to the loan agreement.

   Article 8. Repayment of the Principal and Payment of Interest on Loans.

(1) The borrowing venture must repay the bank on the dates and in the amounts prescribed in the repayment schedule of the loan agreement.
If repayment of the loan becomes overdue, in the case of a loan secured by credit the guarantor enterprise shall be responsible for
repayment of the entire amount due, and the bank shall have the right to debit the deposit accounts of the borrowing venture and
the guarantor enterprise for repayment of the principal of the loan and payment of interest thereon; in the case of a loan secured
by things, the bank shall have the right to sell the collateral of the borrowing venture in order to repay the principal of the loan
and pay interest thereon. With respect to overdue loans, the bank shall, from the day on which the loan becomes overdue, charge the
borrowing venture additional interest of 20 to 50 per cent of the original interest rate.

(2) The borrowing venture mast pay interest in accordance with the interest computation dates prescribed by the bank and , if it fails
to do so, the bank on its own initiative shall transfer the amount of interest that is due into the loan account of the borrowing
venture and compute compound interest thereon.

   Article 9. Servicing and Supervision of Loans. In accordance with the policies and decrees of the State, the bank shall actively support joint
ventures in developing their production and operations and provide good service to them. Borrowing ventures shall accept the inspection
and supervision of the bank with respect to utilization of loans and shall provide the bank with materials and reports concerning
various kinds of plans, such as those for production, supply and marketing, finances and capital construction, and how they are being
put into effect. If a borrowing venture does not comply with the loan agreement, the bank may, distinguishing among differing cases,
adopt economic measures to safeguard its rights and interests, such as terminating disbursement of the loan or recalling the loan
ahead of the repayment schedule.

(The English translations are for reference only)

    






THE ECONOMIC CONTRACT LAW OF THE PEOPLE’S REPUBLIC OF CHINA

TRADEMARK LAW

Category  INTELLECTUAL PROPERTY RIGHT Organ of Promulgation  The Standing Committee of the National People’s Congress Status of Effect  With An Amendment Existing
Date of Promulgation  1982-08-23 Effective Date  1983-03-01  


Trademark Law of the People’s Republic of China

Contents
Chapter I  General Provisions
Chapter II  Application for Trademark Registration
Chapter III  Examination and Approval of Trademark Registration
Chapter IV  Renewal, Assignment and Licensing of Registered Trademarks
Chapter V  Determination of Disputes Concerning Registered Trademarks
Chapter VI  Administrative Control of the Use of Trademarks
Chapter VIII  Supplementary Provisions

(Adopted at the 24th Meeting of the Standing Committee of the Fifth

National People’s Congress and promulgated by Order No. 10 of the Standing
Committee of the National People’s Congress on August 23, 1982, and
effective as of March 1, 1983) (Editor’s Note: For the revised text, see
Decision of the Standing Committee of the National People’s Congress on
Revision the Trademark Law of the People’s Republic of China promulgated
on February 22, 1993)
Contents

    Chapter I    General Provisions

    Chapter II   Application for Trademark Registration

    Chapter III  Examination and Approval of Trademark Registration

    Chapter IV   Renewal, Assignment and Licensing of Registered Trademarks

    Chapter V    Determination of Disputes Concerning Registered Trademarks

    Chapter VI   Administrative Control of the Use of Trademarks

    Chapter VII  Protection of the Right to Exclusive Use of a Registered
Trademark

    Chapter VIII Supplementary Provisions
Chapter I  General Provisions

    Article 1  This Law is formulated for the purpose of improving the
administration of trademarks, protecting the right to exclusive use of
trademarks and encouraging producers to guarantee the quality of their goods
and maintain the reputation of their trademarks, so as to protect the
interests of consumers and promote the development of the socialist commodity
economy.

    Article 2  The Trademark Office of the administrative department for
industry and commerce under the State Council shall be in charge of the work
of trademark registration and administration throughout the country.

    Article 3  Registered trademarks are those that have been approved and
registered by the Trademark Office. Trademark registrants shall enjoy the
right to exclusive use of their trademarks and shall be protected by law.

    Article 4  Any enterprise, institution or self-employed industrialist or
businessman that needs to acquire the right to exclusive use of a trademark
for the goods it produces, manufactures, processes, selects or markets shall
file an application for registration with the Trademark Office.

    Article 5  With respect to goods that the state has designated as
requiring the use of a registered trademark, an application for trademark
registration must be filed; the goods may not be sold on the market before
registration is granted.

    Article 6  The user of a trademark shall be responsible for the quality
of the goods on which the trademark is used. The administrative departments
for industry and commerce at all levels shall, by means of trademark
administration, exercise supervision over the quality of goods and stop any
practices that deceive consumers.

    Article 7  Any word or design, or combination thereof, used as a
trademark, shall have distinctive characteristics so as to facilitate
identification. Wherever a registered trademark is used, it shall bear the
words “Registered trademark” or a sign indicating that it is registered.

    Article 8  The following words or designs may not be used in trademarks:

    (1) those identical with or similar to the national name, national flag,
national emblem, military flag or medals of the People’s Republic of China;

    (2) those identical with or similar to the national name, national flag,
national emblem or military flag of any foreign country;

    (3) those identical with or similar to the flag, emblem or name of any
intergovernmental international organization;

    (4) those identical with or similar to the symbol or name of the Red
Cross or the Red Crescent;

    (5) the generic name or design of the goods concerned;

    (6) those directly indicating the quality, main raw materials, function,
use, weight, quantity or other characteristics of the goods concerned;

    (7) those having the nature of discrimination against any nationality;

    (8) those constituting exaggerated and deceitful advertising; and

    (9) those detrimental to socialist morality or customs, or having other
harmful influences.

    Article 9  Where a foreigner or foreign enterprise applies for trademark
registration in China, the matter shall be handled in accordance with any
agreement concluded between the country to which the applicant belongs and
the People’s Republic of China, or any international treaty to which both
countries are parties, or on the basis of the principle of reciprocity.

    Article 10  Where a foreigner or foreign enterprise applies for trademark
registration or deals with other trademark matters in China, it shall
entrust an organization designated by the Chinese Government to act on its
behalf.
Chapter II  Application for Trademark Registration

    Article 11  An applicant for trademark registration shall report, in
accordance with the prescribed classification of goods, the class of the goods
and the designation of the goods on which the trademark is to be used.

    Article 12  If an applicant intends to use the same trademark on goods
in different classes, it shall submit separate applications for registration
in accordance with the classification of goods.

    Article 13  If a registered trademark needs to be used on other goods of
the same class, a new application for registration shall be filed.

    Article 14  If any word or design of a registered trademark needs to be
changed, a new application for registration shall be filed.

    Article 15  If a change needs to be made in the name, address or any other
registered matter concerning the registrant of a registered trademark, an
application to make the change shall be filed.
Chapter III  Examination and Approval of Trademark Registration

    Article 16  When an application has been made to register a trademark that
is in conformity with the relevant provisions of this Law, the Trademark Office
shall make a preliminary examination and approval of that trademark and shall
publicly announce it.

    Article 17  If an application has been made to register a trademark that
is not in conformity with the relevant provisions of this Law or that is
identical with or similar to another person’s trademark which has already been
registered or given preliminary examination and approval for use on the same
kind of goods or similar goods, the Trademark Office shall reject the current
application and shall not publicly, announce that trademark.

    Article 18  If two or more applicants apply for registration of identical
or similar trademarks for the same kind of goods or similar goods, the
trademark whose registration was first applied for shall be given preliminary
examination and approval and shall be publicly announced; if the applications
are filed on the same day, the trademark which was first used shall be given
preliminary examination and approval and shall be publicly announced, and the
applications of the others shall be rejected and shall not be publicly
announced.

    Article 19  Any person may file on opposition to a trademark which has
been given preliminary examination and approval, within three months from the
day it was publicly announced. If no opposition is filed, or if it is
determined that the opposition is not justified, registration shall be
granted, a trademark registration certificate shall be issued and the
trademark shall be publicly announced. If it is determined that the opposition
is justified, no registration shall be granted.

    Article 20  The administrative department for industry and commerce under
the State Council shall establish a Trademark Review and Adjudication Board to
be responsible for handling trademark disputes.

    Article 21  When an application for trademark registration has been
rejected and the trademark is not to be publicly announced, the Trademark
Office shall notify the applicant in writing. If the applicant does not agree
with the rejection, it may apply for a reexamination within 15 days after
receiving the notification, and the Trademark Review and Adjudication Board
shall make a final decision and notify the applicant in writing.

    Article 22  If an opposition is filed against a trademark which has been
given preliminary examination and approval and has been publicly announced,
the Trademark Office shall hear the opponent’s and the applicant’s statements
of the facts and reasons and shall, after investigation and verification,
make a decision. If a party disagrees with the decision, it may apply for a
reexamination within 15 days after receiving notification of the decision,
and the Trademark Review and Adjudication Board shall make a final decision
and notify the opponent and the applicant in writing.
Chapter IV  Renewal, Assignment and Licensing of Registered Trademarks

    Article 23  The period of validity of a registered trademark shall be ten
years, counted from the day the registration is approved.

    Article 24  If a registrant needs to continue to use the registered
trademark after the period of validity expires, an application for renewal of
registration shall be made within six months before the expiration. If the
registrant fails to make such an application within that period, an extension
period of six months may be granted. If no application has been filed before
the extension period expires, the registered trademark shall be cancelled.

    The period of validity for each renewal of registration shall be ten
years. After a renewal of registration has been approved, it shall be publicly
announced.

    Article 25  When a registered trademark is to be assigned, the assignor
and the assignee shall jointly file an application with the Trademark Office.
The assignee shall guarantee the quality of the goods on which the registered
trademark is to be used.

    After the assignment of a registered trademark has been approved, it
shall be publicly announced.

    Article 26  A trademark registrant may, by concluding a trademark
licensing contract, authorize another person to use its registered trademark.
The licensor shall supervise the quality of the goods on which the licensee
uses the licensor’s registered trademark, and the licensee shall guarantee the
quality of the goods on which the registered trademark is to be used.

    The trademark licensing contract shall be submitted to the Trademark office
for the record.
Chapter V  Determination of Disputes Concerning Registered Trademarks

    Article 27  If there is a dispute over a registered trademark, the
disputant may apply to the Trademark Review and Adjudication Board for a
ruling within one year from the day, the trademark registration was approved.

    After the Trademark Review and Adjudication Board has received an
application for a ruling, it shall notify the parties concerned and request
them to reply within a specified period.

    Article 28  If an opposition was filed and a ruling already made prior to
the approval of the registration of a trademark, the same facts and reasons
may not be used in an another application for a ruling.

    Article 29  After the Trademark Review and Adjudication Board has made the
final ruling upholding or revoking a registered trademark in dispute, it shall
notify the parties concerned in writing.
Chapter VI  Administrative Control of the Use of Trademarks

    Article 30  In the event of any of the following acts concerning the use
of a registered trademark, the Trademark Office shall order rectification of
the situation within a specified period or shall revoke the registered
trademark:

    (1) if any word or design, or combination thereof, of the registered
trademark is altered without authorization;

    (2) if the registrant’s name, address or any other registered matters
concerning the registered trademark is changed without authorization;

    (3) if the registered trademark is assigned without authorization; and

    (4) if the registered trademark has not been used for three consecutive
years.

    Article 31  If a registered trademark is used on crudely manufactured
goods that are passed off as being of high quality, thus deceiving consumers,
the administered administrative departments for industry and commerce at
various levels shall, according to the circumstances, order rectification of
the situation within a specified period and may, in addition, circulate a
notice on the matter or impose a fine, or the Trademark Office may revoke
the registered trademark.

    Article 32  If a registered trademark is revoked or is not renewed after
its period of validity expires, the Trademark Office shall not approve any
application for the registration of a trademark identical with or similar to
the said trademark within one year from the day of the revocation or
cancellation.

    Article 33  In the event of a violation of the provisions of Article 5 of
this Law, the local administrative department for industry and commerce shall
order the violator to file an application for registration within a specified
period and may, in addition, impose a fine.

    Article 34  In the event of any of the following acts concerning the use
of an unregistered trademark, the local administrative department for industry
and commerce shall stop the use of the trademark, order rectification of the
situation within a specified period and may, in addition, circulate a notice
on the matter or impose a fine:

    (1) if the trademark is falsely represented as being a registered one;

    (2) if the trademark violates the provisions of Article 8 of this Law; or

    (3) if the trademark is used on crudely manufactured goods that are passed
off as being of high quality, thus deceiving consumers.

    Article 35  If a party disagrees with the decision of the Trademark Office
to revoke a registered trademark, it may apply for a reexamination within 15
days after receiving notification of the revocation, and the Trademark Review
and Adjudication Board shall make a final decision and notify the applicant
in writing.

    Article 36  If a party disagrees with the decision of the administrative
department for industry and commerce to impose a fine under the provisions of
Article 31,33 or 34 of this Law, it may bring a suit in a people’s court
within 15 days after receiving the notification of the decision. If, at the
expiration of such a period, the party has neither brought a suit nor complied
with the decision, the relevant administrative department for industry and
commerce shall apply to the people’s court for compulsory enforcement of its
decision.

    Chapter VII  Protection of the Right to Exclusive Use of a Registered
Trademark

    Article 37  The right to exclusive use of a registered trademark shall be
limited to trademarks which have been approved for registration and to goods
on which the use of a trademark has been approved.

    Article 38  Any of the following acts shall be an infringement of the
right to exclusive use of a registered trademark:

    (1) using a trademark which is identical with or similar to the registered
trademark on the same kind of goods or similar goods without a licence from
the owner of that registered trademark;

    (2) manufacturing or selling, without authorization, representations of
the registered trademark of another person; or

    (3) harming, in other ways, another person’s right to exclusive use of a
registered trademark.

    Article 39  In the event of any of the acts listed in Article 38 of this
Law, infringing the right to exclusive use of a registered trademark, the
party whose right has been infringing may request the administrative
department for industry and commerce at or above the county level in the place
where the infringer is located to handle the matter. The relevant
administrative department for industry and commerce shall have the right to
order the infringer to stop the infringing act immediately and to compensate
the party whose right has been infringed for its losses; the amount of
compensation shall be the profits which the infringer has obtained as a result
of the infringement during the period of the infringement or the losses
incurred by the party whose right has been infringed as a result of the
infringement during the period of the infringement. If the circumstances
are serious, a fine may be concurrently imposed. If a party disagrees with
the order, it may bring a suit in a people’s court within 15 days after
receiving notification of the order. If, at the expiration of such a period,
the party has neither brought a lawsuit nor complied with the decision, the
relevant administrative department for industry and commerce shall request
the people’s court for compulsory enforcement of its decision. In the event of
an infringement of the right to exclusive use of a registered trademark, the
party whose right has been infringed may also directly bring a suit in a
people’s court.

    Article 40  Any person who falsely uses the registered trademark of
another person, including the unauthorized manufacture or sale of
representations of another person’s registered trademark, shall be ordered to
make compensation for the losses suffered by the party whose right has been
infringed and may be concurrently punished by a fine. Moreover, the criminal
responsibility of the person directly responsible shall be investigated by
the judicial organs in accordance with the law.
Chapter VIII  Supplementary Provisions

    Article 41  Applicants for trademark registration and the handling of
other trademark matters shall pay a fee, the specific standards of which shall
be prescribed separately.

    Article 42  Rules for the implementation of this Law shall be formulated
by the administrative department for industry and commerce under the State
Council, and shall be implemented after they have been submitted to and
approved by the State Council.

    Article 43  This Law shall go into effect as of March 1, 1983. On that
same day, the Regulations on Trademark Administration promulgated by the State
Council on April 10, 1963 shall simultaneously be repealed, and any other
provisions concerning trademark administration that conflict with this Law
shall be invalidated.

    Trademarks registered before this Law goes into effect shall continue to
be valid.






DETAILED RULES FOR THE IMPLEMENTATION OF CUSTOMS SUPERVISION AND CONTROL AND TAXATION ON IMPORT AND EXPORT GOODS BY ENTERPRISES DOING PROCESSING, ASSEMBLING AND SMALL AND MEDIUM-SCALED COMPENSATION TRADE

REGULATIONS ON CONTRACTS OF PROPERTY INSURANCE

Regulations of the PRC on Contracts of Property Insurance

    

(Effective Date 1983.09.01)

CONTENTS

CHAPTER I GENERAL PROVISIONS

CHAPTER II CONCLUSION, ALTERATION AND ASSIGNMENT OF CONTRACT OF

INSURANCE

CHAPTER III OBLIGATIONS OF THE INSURED

CHAPTER IV THE LIABILITY OF THE INSURER FOR COMPENSATION

CHAPTER V SUPPLEMENTARY PROVISIONS

CHAPTER I GENERAL PROVISIONS

   ARticle 1. The Regulations of the People’s Republic of China on Contracts of Property Insurance are drawn up in accordance with
relevant provisions of the Economic Contract Law of the People’s Republic of China.

   Article 2. The property insurance referred to in the present Regulations includes various kinds of insurance on either
property or interest as the subject matter of insurance, such as property insurance, agricultural insurance,
liability insurance, surety bond, credit insurance etc.

The event mentioned in the present Regulations refers to and event coming within the scope of cover under the contract of insurance.

   Article 3. An applicant for cover of property insurance (called the Insured in the policy or the certificate of insurance) shall
be owner or the operating manager of the insured property or a person who has an insurable interest in the subject
matter insured. In applying to the Insurer for the conclusion of a contract of insurance, the applicant shall
be obligated to pay the insurance premium.

   Article 4. The parties to the contract of insurance applying to the organ for control of contracts for reconciliation or
arbitration in accordance with the provisions of Article 50 of the Economic Contract Law of the People’s Republic
of China shall make their submission within a period of one year from the date on which the incidence of an insured
event is known or ought to be known by them.

CHAPTER II CONCLUSION, ALTERATION AND ASSIGNMENT OF CONTRACT OF INSURANCE

   Article 5. A contract of insurance shall be deemed to be concluded when the applicant puts forward his proposal for insurance
by filling in an application and agrees with the Insurer on the method of payment of insurance premium and when
the Insurer signifies acceptance of the said application form by affixing his seal thereto. The Insurer shall
issue a policy or a certificate of insurance to the applicant in good time in accordance with the contract of
insurance.

   Article 6. An applicant may conclude an open cover with the Insurer, and the Insurer shall, in witness thereof issue an open policy
to the applicant according to the contract of insurance.

The open cover shall stipulate the scope of cover, the range of property insured, the maximum amount of insurance each
risk or at each place and the method of settling premium, etc.

During the currency of the open cover, the insured shall declare to the Insurer in writing, in good time each
and every risk falling within the scope of the open cover according to the stipulations. The Insurer shall treat
each written declaration by the Insured as a part of the open cover and shall be liable therefor in accordance with the
contract of insurance. The Insurer shall be enpost_titled to verify the contents of the declarations, and in case of any omission,
the Insured shall rectify it by filing the omitted declaration or declarations. The Insured may ask the Insurer to
issue a separate policy for any one risk declared.

   Article 7. At the time a contract of insurance is concluded, the Insurer shall advise the Insured of all matters related
to the way of effecting insurance, and the Insured shall, as required by the Insurer, disclose all material circumstances
which the Insurer requires to know in deciding whether or not to accept the risk or the premium to be charged.

Should, after the conclusion of the contract of insurance, there be any non-disclosure, concealment or misrepresentation
by the Insured of the material circumstances mentioned in the preceeding paragraph the Insurer shall be enpost_titled
to rescind the contract of insurance or disclaim liability.

   Article 8. The Insurer shall not be liable for any loss of or damage to the insured property in consequence of an insured event
caused by any intentional act of the Insured.

   Article 9. The contents of a contract of insurance may be altered by agreement between the Insured and the Insurer during the currency
thereof. Any agreement on the alteration of the contract of insurance shall be certified to by the Insurer
by endorsing the policy or the certificate of insurance or by affixing an endorsement thereto.

   Article 10. Once a contract of insurance is concluded, the Insurer shall not terminate it during its currency. In case the
contract of insurance is terminated by the Insurer prior to its expiry pursuant to law or to the agreement of the
contract of insurance, the premium to be calculated pro rata daily for the unexpired period shall be refunded to the
Insured.

When the contract is terminated at the request of the Insured, the Insurer shall be enpost_titled to charge the premium calculated
on the basis of the short period rating schedule set by the State Insurance Supervisory Authority for the time
the contract has been in force, and refund to the Insured the premium paid by him.

In no case can the insured ask for termination of cargo transportation insurance and insurance on conveyances
for voyages once they commence and for refund of premium, unless otherwise stipulated in the contract of insurance.

   Article 11. With the exception of the cargo transportation policy or certificate of insurance which may be transferred by the
Insured by endorsement without the necessity of obtaining the approval of the Insurer the insurance shall terminate
at the time of the transfer, assignment or sale of the subject-matter insured unless prior written notice is given
to the Insurer and his consent obtained, with the policy or the certificate of insurance duly endorsed.

CHAPTER III OBLIGATIONS OF THE INSURED

   Article 12. The Insured shall pay the insurance premium within the specified time. If he fails to do so, the Insurer may,
depending on specific circumstances either require the Insured to pay the premium due with interest or terminate the
contract of insurance. In case of termination of the contract, the Insurer shall remain enpost_titled to require
the Insured to pay the full amount of the premium in arrears and the interest due hereon before the contract is terminated.

   Article 13. The Insured shall safeguard the safety of workers and the insured property by observing the relevant rules and regulations
on fire-fighting, safety, productive operation and labour protection.

The Insurer shall be enpost_titled to make inspections as to the security condition of the insured property, and shall,
in case of any potential unsafe factors being discovered, make reasonable recommendation to the Insured in good time
for the removal thereof and the Insured shall take measures to eliminate them without delay, failing which he shall be liable
for any less arising from an insured event caused thereby, and the Insurer shall exenterate himself from liability.

   Article 14. In case of any change in the use of the insured property or increase in the risk exposure, the INsured shall immediately
notify the Insurer in writing and shall pay an additional premium according to stipulations when so required.
If the Insured fails to do so, the Insurer shall not be held liable for any loss arising from an insured event resulting
therefrom.

   ARticle 15. Upon the incidence of an insured event, the Insured shall take all necessary measures to prevent aggravation of the loss
and shall notify the Insurer immediately of full details of the event. If the Insured fails to take such measures,
the Insurer shall be enpost_titled to repudiate liability for any loss so aggravated.

CHAPTER IV THE LIABILITY OF THE INSURANCE OR COMPENSATION

   Article 16. The Insurer shall, in accordance with the stipulations of the contract of insurance perform the obligation of compensating
for loss of or damage to the subject matter insured or for liability caused by or arising from an insured event.

Unless otherwise agreed, the liability of the Insurer for compensation is for loss or damage actually suffered
by the Insurer at the time of an insured event subject to a maximum not exceeding the insured amount of the subject-matter
insured. If there are separate items with separate insured amounts the insurer’s maximum liability shall not exceed the
insured amount of each item of the subject-matter insured.

In compensating for loss of or damage to the insured property, the Insurer shall deduct from the amount of compensation
the salvage value of such property and the amount recovered by the Insured from third parties.

   Article 17. The Insurer will according to the stipulations of the contract of insurance be liable for reasonable costs necessarily
incurred by the Insured for salving, safeguarding, reconditioning or litigation to mitigate a loss within the
scope of cover and for reasonable expenses incurred for inspecting, assesing or selling of the damaged subject-matter
insured for the purpose of ascertaining the loss falling under the scope of cover, provided that such costs and expenses
shall not exceed the sum insured.

   Article 18. The Insured shall when lodging a claim submit to the Insurer a statement of claim and statements for salvage charges,
etc. as well as necessary accounts, vouchers and documentary evidence. Upon receipt of the documents for such claim, the
Insurer shall decide whether or not to admit liability, and where an agreement on the amount payable is reached
with the Insured, shall effect payment within ten days from the date of such agreement. In case of failure to pay within
the prescribed time, the Insurer shall be liable for breach of the contract and subject to a penalty commencing from
the eleventh day following the date on which the amount of indemnity is determined, according to the interest rate then
prevailing for short term loans to enterprises as set by the People’s Bank of China.

   Article 19. If the insured property sustains a loss within the scope of cover for which a third party shall be held liable, the Insured
shall file a claim with such third party. The Insurer may make compensation in advance according to the provisions of the
contract if the Insured claims against him, in such case, however, the Insured shall subrogate to the Insurer the right of
recovery against the third party and assist the latter in pursuing such recovery.

CHAPTER V SUPPLEMENTARY PROVISIONS

   Article 20. The Present Regulations shall apply to contracts of insurance concluded between the Insurer and individuals.

   Article 21. The Present Regulations shall apply to contract of insurance on property involving foreign elements.

   Article 22. Unless otherwise stipulated by The Law, the present Regulations shall apply to contracts of marine insurance.

   Article 23. The present Regulations comes into force on the day of promulgation.

    






REGULATIONS ON THE ADMINISTRATION OF ENVIRONMENTAL PROTECTION IN THE EXPLORATION AND DEVELOPMENT OF OFFSHORE PETROLEUM

Category  ENVIRONMENTAL PROTECTION Organ of Promulgation  The State Council Status of Effect  In Force
Date of Promulgation  1983-12-29 Effective Date  1983-12-29  


Regulations of the People’s Republic of China on the Administration of Environmental Protection in the Exploration and Development
of Offshore Petroleum



(Promulgated by the State Council on December 29, 1983)

    Article 1  These Regulations are formulated in order to implement the
Marine Environmental Protection Law
of the People’s Republic of China and
prevent pollution damage to marine environment resulting from offshore
petroleum exploration and development.

    Article 2  These Regulations are applicable to enterprises, institutions,
operators and individuals engaged in the exploration and development of
petroleum in the see areas under the jurisdiction of the People’s Republic of
China, and the stationary and mobile platforms and other relevant facilities
they use.

    Article 3  The departments in charge of environmental protection in
exploration and development of offshore petroleum are the State Oceanographic
Bureau of the People’s Republic of China and its agencies, hereinafter
referred to as the “competent departments”.

    Article 4  Enterprises or operators, while compiling the overall programs
for developing oil (gas) fields, must compile a marine environmental impact
report and submit it to the Ministry of Urban and Rural Construction and
Environmental Protection of the People’s Republic of China. The Ministry of
Urban and Rural Construction and Environmental Protection, in conjunction with
the State Oceanographic Bureau and the Ministry of Petroleum Industry, is to
organize examination and approval in accordance with the stipulations
governing the administration of environmental protection over the projects of
state capital construction.

    Article 5  The marine environmental impact report shall include the
following:

    (1) the name, geographical position and size of the oil field;

    (2) the natural environment and the conditions of marine resources of the
sea areas where the oil field is located;

    (3) the types, composition, amount and the means of disposal of the waste
materials to be discharged in developing the oil field;

    (4) an assessment of the impact on the marine environment; the possible
impact from development of offshore petroleum on the natural environment and
marine resources of the surrounding sea areas; the possible impact on the sea
fishery, shipping and other sea activities; measures for environmental
protection to be adopted to avoid and reduce various types of harmful impact;

    (5) the impact that can not be avoided in the final outcome and the
graveness and causes of the impact;

    (6) measures for preventing major oil pollution accidents; the
organization of prevention, provision of personnel, technical equipment and
communications and liaison.

    Article 6  Enterprises, institutions and operators shall have the
capacity of dealing with emergencies with regard to the prevention and control
of oil pollution accidents, formulate emergency plans, have oil recovery
facilities and equipment for containing oil and eliminating oil commensurate
with the scale of exploration and development of offshore petroleum in which
they are engaged.

    If oil-eliminating chemical agents are to be used, their brand names and
composition shall be reported to the competent departments for verification
and approval.

    Article 7  The requirements for the pollution-prevention equipment of the
stationary and mobile platforms are:

    (1) oil and water separation equipment shall be fitted;

    (2) the oil extraction platforms shall be fitted with the equipment for
treating oil-polluted water; the oil content of the polluted water, after
treatment by this equipment, shall reach the discharge standards set by the
State;

    (3) devices for monitoring and control of oil discharge shall be fitted;

    (4) facilities for retrieving residual oil and waste oil shall be fitted;

    (5) equipment for garbage pulverization shall be fitted;

    (6) the above equipment shall go through the examination by the shipping
inspection agencies of the People’s Republic of China and must satisfy the
standards before efficacy certiticates are issued.

    Article 8  The stationary and mobile platforms that already started
petroleum exploration and development in the sea areas under the jurisdiction
of the People’s Republic of China before March 1, 1983, if their
pollution-prevention equipment do not meet the stipulated requirements, shall
adopt effective measures to prevent pollution, and their pollution-prevention
facilities are to satisfy the stipulated requirements within three years of
the promulgation of these Regulations.

    Article 9  The enterprises, institutions and operators shall possess civil
liability insurance or other financial guarantees to cover pollution damage.

    Article 10  The stationary and mobile platforms shall be fitted with
anti-pollution record books in the format approved by the competent
departments.

    Article 11  The oil-polluted water of stationary and mobile platforms may
not be directly discharged or after dilution. The oil content of the
oil-polluted water discharged after treatment must meet the State’s relevant
standards of discharging oil-polluted water.

    Article 12  Requirements of control for other waste materials:

    (1) residual oil, waste oil, oil-based mud, garbage containing oil and
other toxic residual liquid and dregs must be recovered, and may not be
discharged or cast off into the sea;

    (2) the dumping of industrial garbage in large quantities is to be managed
in accordance with the stipulations of marine dumping of waste materials;
fragmentary industrial garbage may not be discarded into the fishery waters
and sea-lanes;

    (3) domestic garbage that need to be discharged within 12 nautical miles
from the nearest land shall undergo pulverization treatment with the granules
less than 25 millimetres in diameter.

    Article 13  Where exploration and development of offshore petroleum
require explosive demolitions by using explosives or other operations that are
harmful to fishery resources in the important fishery waters, effective
measures shall be adopted to avoid the spawning, breeding and fishing seasons
of the major fishes and shrimps of economic value; a report is to be made to
the competent departments before the operations and there shall be
clear signs and signals when the operations are under way.

    The competent departments, on receiving the report, shall notify the
relevant units of the place and time of the operations in good time.

    Article 14  Marine oil storage facilities and pipelines for the conveyance
of oil shall conform to anti-seepage, anti-leakage and anti-rotting
requirements, and shall constantly be checked and maintained in good
condition, so as to prevent oil leakage.

    Article 15  In testing oil on the sea, oil and gas shall be fully burned
out in the combustion devices. With regard to the oils and oil-based mixtures
falling into the sea in the course of testing oil, effective measures shall be
adopted to treat them, and accurate records are to be kept.

    Article 16  Enterprises, institutions and operators shall, immediately
upon detection of the occurrence of pollution accidents such as oil overflow
and oil leakage in operation, adopt measures for containing oil and oil
recovery to control, reduce and remove the pollution.

    In case of occurrence of major pollution accidents such as oil overflow,
oil leakage and well blowout in large quantities, report shall immediately be
made to the competent departments, and effective measures are to be adopted to
control and remove the pollution, and the matter shall be subject to
investigation and handling by the competent departments.

    Article 17  The use of oil-eliminating chemical agents shall be
controlled:

    (1) When oil pollution accidents occur, measures for recovery shall be
adopted; with regard to the small amount of oil that is actually beyond
recovery, it is permitted to use a small amount of oil-eliminating chemical
agents.

    (2) With regard to the amount of irretrievable oil-eliminating chemical
agents (including the solvent) to be used, separate specific stipulations
shall be worked out by the competent departments according to different
conditions in different sea areas. The operators shall report to the competent
departments according to stipulations, and may only use these chemical agents
after approval has been obtained.

    (3) In emergencies where oil floating on the surface of the sea may cause
fire or may gravely endanger human lives and property, and the matter is
unable to be handled with the method of recovery, but, by using
oil-eliminating chemical agents, pollution can be reduced and the consequences
of the accidents be contained, the amount of oil-eliminating chemical agents
used and the reporting procedures may go beyond the restrictions as stipulated
in paragraph (2) of this Article. However, a detailed report on the
circumstances of the accident and the circumstances of using oil-eliminating
agents shall be made to the competent departments afterwards.

    (4) Only those oil-eliminating chemical agents which have been verified
and approved by the competent departments may be used.

    Article 18  The operators shall make detailed and accurate entries of the
following circumstances in the anti-pollution record books of the platform:

    (l) the operation of the anti-pollution equipment and facilities;

    (2) the treatment and discharge of the oil-polluted water;

    (3) the treatment, discharge and disposal of other waste materials;

    (4) the occurrence of oil-pollution accidents such as oil spill, oil
leakage and well blowout and the handling;

    (5) the details about the demolition operations;

    (6) details about the use of oil-eliminating chemical agents;

    (7) other items stipulated by the competent departments.

    Article 19  The enterprises and operators shall, within 15 days from the
end of each quarter of the year, make a comprehensive report in the format
approved by the competent departments on anti-pollution and the circumstances
of pollution accidents of that quarter.

    The competent departments shall be informed in good time of the positions
of the stationery and mobile platforms.

    Article 20  Government functionaries of the competent departments or the
personnel designated by them may board the stationery and mobile
platforms and other relevant facilities to conduct monitoring and
investigation, including:

    (1) collecting various kinds of samples;

    (2) inspecting the fitting out, operating and using of various
anti-pollution equipment, facilities and materials;

    (3) inspecting relevant documents and certification papers;

    (4) checking up on the anti-pollution record books and the relevant
operation records, making copies and extracts when necessary, and demanding
that the responsible persons of the platform sign their names in confirmation
of the copies and extracts in question as correct duplicates;

    (5) gathering information about pollution accidents among the persons
concerned;

    (6) other related matters.

    Article 21  The ships that conduct official business of the competent
departments shall have clear signs. Government functionaries or the designated
personnel, in carrying out official affairs, must wear official uniforms and
carry identity papers.

    Those who are investigated shall provide facility for the aforesaid ships,
government functionaries and the designated personnel, and provide accurate
information and statements about the accidents.

    Article 22  Units and individuals that have suffered pollution damage
caused by exploration and development of offshore petroleum and are to claim
compensation shall, in accordance with the stipulation of Article 32 of the
Environmental Protection Law of the People’s Republic of China and the
stipulation of Article 42 of the Marine Environmental Protection Law of the
People’s Republic of China, apply for handling to the competent departments
and claim compensation for the losses from the party that is responsible for
the pollution damage. The claimant shall submit a report on claiming
compensation for damage sustained; this report shall include the following:

    (1) the time, place, scope and the objects of the pollution damage caused
by the exploration and development of offshore petroleum;

    (2) a detailed list of the losses caused by pollution damage, including
the names of objects, quantity, unit price, method of calculating, and such
matters as the breeding or natural conditions;

    (3) an appraisal by the relevant scientific research department or
endorsement by a notary office in confirmation of the damage actually
sustained;

    (4) the original documents of evidence of the pollution damage, the
photographs of the related circumstances and other documents and materials of
testimony relevant to the claim for compensation shall be provided as complete
as possible.

    Article 23  Units and individuals (those having commercial contracts
excluded) that demand reimbursement of the expenses for removing pollutants
stemming from the exploration and development of offshore petroleum shall, in
applying to the competent departments for attention to the case, submit a
report of claiming reimbursement of the expenses for removal to the competent
departments. This report shall include the following:

    (1) the time, place and objects of the elimination of pollutants;                    

    (2) the manpower, machines and tools and vessels employed, and the
quantities, the unit price and the method of calculating of the materials used
in effecting the removal;

    (3) the administrative expenses, transport cost, and othe relevant
expenses in organizing the removal effort;

    (4) the results of and the situation after the removal;

    (5) other relevant evidence and certification papers.

    Article 24  Where devastating pollution accidents have occurred due to
force majeur, the enterprises, institutions and operators wishing to free
themselves from the indemnity liabilities thereof shall submit to the
competent departments a report which must be able to testify that the damage
resulting from the pollution accident falls under one of the circumstances
described in Article 43 of the Marine Environmental Protection Law of the
People’s Republic of China, and that the accident remained unavoidable despite
rational measures promptly taken.

    Article 25  In handling cases of disputes concerning liability for
compensation and the amount of compensation for the pollution damage in the
exploration and development of offshore petroleum, the competent departments
shall, on the basis of investigation and finding out the facts, resort to
mediation.

    If a party does not want mediation or does not agree to handling of the
matter through mediation by the competent departments, the matter may be
handled in accordance with the stipulation of Article 42 of the Marine
Environmental Protection Law of the People’s Republic of China.

    Article 26  Where enterprises, institutions and operators violate the
Marine Environmental Protection Law of the People’s Republic of China and
these Regulations, the competent departments may order that they take remedial
measures to rectify the situation within a given period of time, pay the
removal costs, and compensate the State for the damage; in cases of discharge
of pollutants in excess of the standard, the payment of a pollutant discharge
fee may be demanded.

    Article 27  In cases where enterprises, institutions, operators and
individuals violate the Marine Environmental Protection Law of the People’s
Republic of China and these Regulations, the competent departments may punish
the violators by giving warnings or imposing fines according to the
seriousness of the case.

    Fines fall into the following categories:

    (1) The maximum amount of a fine imposed on an enterprise, institution or
operator that has caused marine environmental pollution is 100,000 RMB yuan.

    (2) The maximum amount of a fine imposed on an enterprise, institution and
operator that has contravened the relevant rules and regulations in the
following ways is 5,000 RMB yuan:

    a. not reporting a major oil-pollution accident to the competent
departments according to stipulations;

    b. using oil-eliminating chemical agents not according to stipulations.

    (3) The maximum amount of a fine imposed on an enterprise, institution or
operator that has contravened the relevant rules and regulations in the
following ways is 1,000 RMB yuan:

    a. not having the anti-pollution record book equipped according to
stipulations;

    b. the entries in the anti-pollution record book are irregular or false;

    c. not reporting to or informing the competent departments of their real
situation according to stipulations;

    d. obstructing the government functionaries or the designated personnel
from performing their official duties.

    (4) With regard to the directly responsible persons, fines may be imposed
according to the seriousness of the case.

    Article 28  If a party does not agree to the penalty by the competent
departments, the matter shall be handled in accordance with the stipulations
of Article 41 of the Marine Environmental Law of the People’s Republic of
China.

    Article 29  The competent departments shall grant commendations and
rewards to the units and individuals that on their own initiative report and
expose enterprises, institutions and operators that have concealed pollution
accidents in the exploration and development of offshore petroleum, or provide
evidence, or adopt measures to reduce the damage arising therefrom.

    Article 30  The meanings of the following terms in these Regulations are:

    (1) “Stationary and mobile platforms” refers to the well drilling ships,
well drilling platforms and oil extraction platforms referred to in the
Marine Environmental Protection Law of the People’s Republic of China, and
includes other platforms.

    (2) “Exploration and development of offshore petroleum” refers to such
operational activities as exploration, development, production, storage and
pipeline conveyance.

    (3) “Operators” refers to the entities that perform the operations of
exploration and development of offshore petroleum.

    Article 31  These Regulations shall go into effect as of the date of
promulgation.






REGULATIONS OF THE CUSTOMS GENERAL ADMINISTRATION, THE MINISTRY OF FINANCE AND THE MINISTRY OF FOREIGN ECONOMIC RELATIONS AND TRADE CONCERNING SUPERVISION AND CONTROL OVER, AND LEVYING AND EXEMPTION OF DUTIES ON IMPORTS AND EXPORTS OF CHINESE-FOREIGN