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THE MEASURES FOR THE MANAGEMENT OF ASSOCIATIONS FORMED BY LAW FIRMS OF THE HONG KONG SPECIAL ADMINISTRATIVE REGION OR THE MACAO SPECIAL ADMINISTRATIVE REGION AND MAINLAND LAW FIRMS

Ministry of Justice

Order of the Ministry of Justice of the People’ s Republic of China

No. 83

The Measures for the Management of Associations Formed by Law Firms of the Hong Kong Special Administrative Region or the Macao Special
Administrative Region and Mainland Law Firms were deliberated and adopted at the ministerial executive meeting on November 27th,
2003. They are hereby promulgated and shall come into force as of January 1st, 2004.

Zhang Fusen, Minister of the Ministry of Justice

November 30th, 2003

The Measures for the Management of Associations Formed by Law Firms of the Hong Kong Special Administrative Region or the Macao Special
Administrative Region and Mainland Law Firms

Chapter I. General Provisions

Article 1

The present Measures are formulated with a view to carrying out the Mainland and HK Closer Economic Partnership Arrangement and the
Mainland and Macao Closer Economic Partnership Arrangement and to regulating the associations formed by law firms of Hong Kong or
Macao and the Mainland law firms.

Article 2

The term “association” as mentioned in the present Measures means that a law firm of Hong Kong or Macao with a representative office
in the Mainland cooperates with a Mainland law firm where the representative office is located, by means of which both parties may,
in accordance with the contractual rights and obligations, operate in the Mainland, respectively providing Hong Kong, Macao or Mainland
legal services to the clients.

Article 3

The association formed by a Hong Kong or Macao law firm with a Mainland law firm shall not be in the form of partnership or legal
person.

During the period of association between a Hong Kong or Macao law firm and a Mainland law firm, the legal status, name and financial
affairs of one party shall be separate from those of the other party. Each party shall bear separate civil liabilities.

Article 4

An association formed by a Hong Kong or Macao law firm and a Mainland law firm form shall abide by the laws, regulations and rules
of the state, shall scrupulously comply with the attorney ethics and disciplines, and shall not impair the security of the state
or the public good.

Chapter II. Application for Association

Article 5

Any law firm in Hong Kong or Macao may file an application for association if it meets the following conditions:

(1)

It has been registered and established according to relevant law and regulation of Hong Kong or Macao;

(2)

It has been engaged in substantial commercial business for 3 full years by using its own business place or by renting a business place
in Hong Kong or Macao;

(3)

The sole proprietor or all partners shall be certified practicing attorneys of Hong Kong or Macao;

(4)

Its main business scope shall be limited to providing legal services in Hong Kong or Macao;

(5)

The law firm and the sole proprietor or all its partners shall pay Hong Kong profit tax, or Macao income supplement tax or occupation
tax;

(6)

It has been allowed to establish a representative office in the Mainland;

(7)

Before an application for association is filed, it has no record of punishment by any regulatory institutions of Hong Kong or Macao
within 2 years.

Article 6

If a Mainland law firm meets the following conditions, it may file an application for association:

(1)

It has been for at least 3 years since its establishment;

(2)

There are not less than 20 full-time attorneys;

(3)

Before an application for association is filed, it hasn’t been given any administrative punishment or guild sanction within 2 years.

No branch of a Mainland law firm may file an application for association as one party to the association.

Article 7

Where a Hong Kong or Macao Law Firm and a Mainland law firm file an application for association, they shall jointly submit the following
application materials to the provincial administrative organ where the Mainland law firm is located:

(1)

The application for association signed by both parties;

(2)

The draft agreement on association concluded by both parties;

(3)

A photocopy of the valid registration certificate, which indicates the establishment of a law firm of Hong Kong or Macao upon approval,
the name of the sole proprietor or persons-in-charge, the name list of all the partners, a photocopy of the license of the representative
office based in the Mainland and the name list of the representatives;

(4)

A certification issued by the relevant department of Hong Kong Special Administrative Region or Macao Special Administrative Region,
which indicates that the law firm of Hong Kong or Macao meets the requirements for the legal service providers;

(5)

A photocopy of the license of Mainland law firm, the name of the persons-in-charge, all of the partners or cooperators,

(6)

Other materials as required by the judicial administrative organ on the provincial level.

The photocopies of the valid registration certificates as listed in Item (3) of the preceding paragraph shall be subject to the notarization
of a Mainland acknowledged notary.

The application materials shall be in Chinese and in triplicate. Where any material among them is in a foreign language, it shall
be accompanied by a Chinese translation.

Article 8

The judicial administrative organ on the provincial level shall, within 20 days from receiving the application materials for association,
make an decision to approve or disapprove of the association. In case it is unable to do so within 20 days, the time limit may be
extended by 10 days upon the approval of the responsible person of this organ, and the applicant shall be notified of the reason
for the extension of the time limit.

Any applicant who meets the requirements as provided for in the present Measures shall be allowed to form an association, and shall
be issued a license of association; any applicant who doesn’t meet the requirements as provided for in the present Measures shall
be disapproved, and to whom a written notice shall be given.

With regard to any applicant who is allowed to form an association, the judicial administrative organ on the provincial level shall,
report the approval documents and the materials in relation to association to the Ministry of Justice for archival purposes within
30 days as of the issuance of the association license.

Chapter III. Provisions on Associations

Article 9

Where a law firm in Hong Kong or Macao forms an association with a Mainland law firm, an written association agreement shall be reached
by both parties. An association agreement shall cover the following:

(1)

Each party’s name, address, the name of the sole proprietor, the name of the partners or cooperators;

(2)

The name and logo of the association;

(3)

Duration of the association;

(4)

The business scope of the association;

(5)

The arrangement of the office and equipment in common use;

(6)

The arrangement of the administrative staff, secretaries and other supporting staff;

(7)

The arrangements on sharing the income from association and the apportionment of operational expenses;

(8)

The arrangements on the insurance and the way of bearing responsibilities;

(9)

Termination and liquidation of association;

(10)

Liabilities for breach of contract;

(11)

Solutions to disputes; and

(12)

Other matters.

An agreement on association shall be in conformity with the relevant laws of the Mainland.

An agreement on association shall come into effect upon approval of the judicial administrative organ.

Article 10

The duration of association as stipulated by a Hong Kong or Macao law firm and a Mainland law firm in their association agreement
shall be at least 1 year. At the expiration of the duration of association as stipulated in their association agreement, it may be
extended upon negotiation of both parties. An application for the extension of the duration for association shall be handled according
to the procedures as provided for in Articles 7 and 8 of the present Measures.

Article 11

Where a Hong Kong or Macao law firm and a Mainland law firm form an association, they may use the name and logo for association upon
the negotiation of both parties and the approval of relevant organs.

The name and logo for the association shall comprise the names of the Hong Kong or Macao law firm and the Mainland law firm plus the
word “association”.

Article 12

Where a Hong Kong or Macao law firm and a Mainland law firm form an association, they may, in the name of association, accept the
entrustment of any party concerned or other law firms, and they may handle the legal affairs as approved in Hong Kong, or Macao,
or the Mainland, or any country other than China by way of cooperation.

Any lawyer of Hong Kong or Macao who participates in association may not handle Mainland legal affairs.

Article 13

Both parties under association shall avoid the conflict of interest between their respective clients, when they handle legal affairs
upon entrustment.

Article 14

Where a Hong Kong or Macao law firm and a Mainland law firm handle legal affairs in the name of association, they may charge clients
fees uniformly and distribute the income in light of their association agreement; or charge clients fees separately according to
the legal affairs handled by each as well, but the clients shall be informed in advance.

Article 15

Where a Hong Kong or Macao law firm and a Mainland law firm form an association, they may jointly carry out business promotion activities,
but shall disclose the following facts:

(1)

The association between both parties differs from the form of partnership or that of legal person;

(2)

The Hong Kong or Macao law firm under association and its lawyers shall not engage in Mainland legal services;

(3)

The name of lawyer who carries out the activities of business promotion shall give a clear demonstration of the name of the law firm
where he holds a position.

Article 16

Both parties of association and the lawyers who participate in the association shall, according to the relevant regulations of Hong
Kong, Macao and the Mainland, buy lawyers’ practice insurance in their respective name.

Article 17

During the period of association, if any losses are caused to a client because of offences or faults of either party, the compensations
shall, in light of their association agreement, be made by the faulty party solely or by both parties jointly.

Article 18

Where a Hong Kong or Macao law firm and a Mainland law operate in the form of association, they may share the same office and equipment
and the apportionment of relevant expenses shall be stipulated in their association agreement.

Article 19

Where a Hong Kong or Macao law firm and a Mainland law firm form an association, they may share administrative personnel and secretaries
and other supporting personnel. The apportionment of relevant expenses shall be stipulated in their association agreement.

Article 20

Where a Hong Kong or Macao law firm and a Mainland law firm operate in the form of association, each party shall keep separate accounting
system and accounting books.

Article 21

With regard to a Hong Kong or Macao law firm and a Mainland law firm that operate in the form of association, they shall terminate
the association if they are under any of the following circumstances:

(1)

At the expiration of the association period, both parties fail to file an application for an extension;

(2)

Both parties discontinue the association pursuant to the contractual stipulations;

(3)

Either party doesn’t exist any longer or is bankrupt; or

(4)

Other circumstances in which the association shall be terminated in jure.

The termination of association shall be subject to the cancellation formalities in the judicial administrative organ of the provincial
level.

Chapter IV. Supervision and Administration

Article 22

Where a Hong Kong or Macao law firm and a Mainland law firm operate in the form of association, before the date of March 31 of each
year, they shall jointly submit the report about the association of the previous year to the judicial administrative organ on the
provincial level where the Mainland law firm is located and accept examination. The failure to submit a report without justifiable
reason shall be regarded as automatic termination of association.

Article 23

With regard to a Hong Kong or Macao law firm and a Mainland law firm that operate in the form of association, if they are in violation
of any of the laws, regulations or rules of the Mainland or the provisions of the present Measures, they shall be given a warning
by the judicial administrative organ on the provincial level and shall be ordered to correct within a time limit; if they fail to
correct within a time limit, they shall be imposed on a fine of not more than 10, 000 Yuan; if there are illegal income, they shall
be imposed on a fine of not less than the same amount up to 3 times the amount of the illegal income, but which shall not exceed
30, 000 Yuan.

Article 24

Any of the functionaries of the judicial administrative organ in violation of any of the laws, regulations or rules in the administrative
activities shall be given an administrative punishment in accordance with the law. If any crime is constituted, the offenders shall
be subject to the criminal liabilities.

Chapter V. Supplementary Provisions

Article 25

The responsibility to interpret the present Measures shall remain with the Ministry of Justice.

Article 26

The present Measures shall come into force as of January 1st, 2004.



 
Ministry of Justice
2003-11-30

 







THE OPINIONS ON STRENGTHENING AND STANDARDIZING THE ADMINISTRATION OF THE EVALUATION INDUSTRY

General Office of the State Council

The Circular of the General Office of the State Council on Transmitting the Opinions of the Ministry of Finance on Strengthening and
Standardizing the Administration of the Evaluation Industry

GuobanFa [2003] No. 101

All provincial people’s governments, autonomous regions and municipalities directly under the central government, all ministries and
commissions of the State Council, and all agencies directly under the State Council:

The Opinions of the Ministry of Finance on Strengthening and Standardizing the Administration of the Evaluation Industry has been
approved by the State Council, and is hereby transmitted to you for serious enforcement.

General Office of the State Council

December 19, 2003

The Opinions on Strengthening and Standardizing the Administration of the Evaluation Industry

In accordance with the spirit of the Circular on Straightening Up and Rectifying Economic Verification Intermediary Agencies (GuobanFa
No. 92), based on further investigation and research and extensive solicitation of opinions, the following opinions on strengthening
and standardizing the administration of the evaluation industry are hereby adopted.

1.

Development Status and Major Problems of the Evaluation Industry

With the development of the socialist market economy, China’s the evaluation industry has been developing with high speed in recent
years. The number of practitioners is gradually increasing; various rules and administration mechanism governing the evaluation industry
are being improved; its service scope and field are being enlarged; and exchanges and cooperation among evaluation industries worldwide
are being further strengthened. By the end of 2002, the number of certified practitioners had reached nearly 80, 000.

Evaluation, an intermediary service, has become the basis of such major economic activities as enterprise reform, asset restructuring,
Chinese-foreign joint investment and cooperation, property right transaction, leasing, mortgage and insurance, and plays a positive
role in promoting the development of socialist market economy.

While, because socialist market economy is in the course of growth and improvement, the evaluation industry as a special and new service
industry is still faced with many problems.

Firstly, relevant laws and regulations are incomplete, and a uniform legal base for the administration of various professional evaluations
is still lacking. Because the state has not yet formulated relevant laws and regulations governing the administration of the evaluation
industry, there are no laws to abide by for regulating and administering professional evaluation practices, nor necessary and uniform
legal constraints over the functions and responsibilities of relevant governmental departments, associations of the evaluation industry,
evaluation intermediary agencies and practitioners. In practice, competent authorities can only conduct administration over professional
evaluation affairs within their mandate through the formulation of normative documents.

Secondly, governmental administrative supervision and industrial self-discipline are still lacking. Some departments fail to seriously
fulfill the duty of administrative supervision; some sub-sectors of the evaluation industry haven’t established organizations of
industrial self-discipline. Effective supervision over evaluation agencies, and the qualification, practices and service quality
of practitioners is still lacking.

Thirdly, the establishment of technical norms and professional ethics falls behind. At present, the establishment of technical norms
and professional ethics in China’s evaluation industry falls behind seriously, which fails to meet the objective needs of the development
of the evaluation industry, and, to a certain extent, negatively affects the healthy development of this industry.

Fourthly, exchanges, coordination and cooperation between different sub-sectors of the evaluation industry are inadequate. There exist
close connections between different sub-sectors of the evaluation industry, which necessitates exchanges, coordination and cooperation.
While in practice, such necessary connections are lacking in the evaluation industry, which impedes the coordinated development of
the establishment of relevant systems regarding practicing requirements, qualifications, technical norms, etc.

2.

Basic Principles of Standardizing the Administration of the Evaluation Industry

In accordance with the requirements of actively developing professional market intermediary service agencies that operate in an independent,
fair and normative way, and of standardizing and developing various self-discipline organizations such as industrial associations
following market rules, and the spirit of deepening the reform of the administrative examination and approval system of the third
Plenary Session of the Sixteenth National Congress of the Communist Party of China, the following principles shall be followed in
standardizing the administration of the evaluation industry:

(1)

To establish the qualification types of the evaluation profession scientifically so as to accommodate the characteristics of different
business lines and their respective practicing requirements, and meet the objective demand of the market.

(2)

To define the duties of relevant government departments and industrial associations, establish a standardized administrative mechanism
over the evaluation industry, and strengthen the administrative supervision and self-discipline of the evaluation industry.

(3)

To establish a mechanism of exchanges, coordination and cooperation between various industrial associations of the evaluation profession,
and promote the sound and coordinated development of the entire evaluation industry.

3.

Specific Measures of Strengthening and Standardizing the Administration of the Evaluation Industry

(1)

To establish and administer the qualification setup of the evaluation profession. , Respective professional qualifications for six
types of practitioners in the evaluation industry, namely certified asset appraisers, certificated real estate appraisers, land appraisers,
mining property appraisers, insurance appraisers and automobile appraisers, shall be established in accordance with the objective
needs of the development of China’s socialist market economy.

(2)

To improve and strengthen the administration and self-discipline for the evaluation industry.

The administrative departments in charge of the evaluation industry shall, in accordance with their mandate provided for in the regulations
of ‘three settlements’ approved by the State Council, and relevant governmental requirements of strengthening the administration
of evaluation intermediary services, fulfill their duties conscientiously, and improve and strengthen administrative supervision
over evaluation intermediary services. They shall formulate the rules and regulations governing the evaluation industry, supervise
the practices of evaluation agencies and their practitioners, and steer and supervise the work of evaluation industrial associations,
etc.

Evaluation industrial associations shall improve the self-discipline of evaluation agencies and their appraisers in a concrete manner,
draft and organize the implementation of the code and professional ethics of the evaluation industry, strengthen the establishment
of various self-discipline mechanisms, organize and launch supervision and inspection over the service quality of evaluation agencies
and their practitioners, promote good faith, establish a complete and effective mechanism of industrial self-discipline, and exercise
punishment on those agencies and individual practitioners violating the code and professional ethics of the evaluation industry.
For those sub-sectors of the evaluation industry that have not established relevant appraisers’ associations, government agencies
in charge shall, following relevant procedures, establish such associations as soon as possible.

All kinds of evaluation agencies and professionals shall seriously implement relevant laws and regulations and rulings of the government,
and engage in the business of evaluation in accordance with the law. They shall observe strictly the code of the evaluation industry
as well as various administrative systems of self-discipline, practice in good faith, and provide evaluation services in an objective
and fair way.

(3)

To establish a joint conference mechanism among evaluation industrial associations, and improve and strengthen exchanges, coordination
and cooperation between the various evaluation associations.

In order to facilitate exchanges, coordination and cooperation between various sub-sectors of the evaluation industry, promote the
coordinated development of China’s evaluation industry, based on the voluntary principle, a joint conference system can be established
through self-initiated consultations among relevant evaluation associations. The joint conference is mainly responsible for conducting
research and putting forward opinions and proposals regarding the reform and development of China’s evaluation industry, formulating
professional code and ethics for regulating appraisers’ practices, coordinating the professional codes and rules of different sub-sectors,
presenting research-based opinions and suggestions for strengthening industrial self-discipline, participating in the research and
drafting of evaluation related laws and regulations, etc.

(4)

To accelerate the research and formulation of the Regulations for the Administration of the Evaluation Industry.

For the purpose of enforcing law-based standardization of the administration of the evaluation industry, and promoting the sound development
of China’s evaluation industry, the Regulations for the Administration of the Evaluation Industry shall be formulated as soon as
possible based on the development experience of the evaluation industries home and abroad. The Appraiser’s rights, obligations and
legal liabilities shall be clearly defined in the Regulations for the Administration of the Evaluation Industry, so shall the professional
qualifications and management modes of evaluation intermediaries, and the administrative duties of competent government authorities,
as well as evaluation industrial associations’ requirements of self-discipline.

(5)

To organize and launch a comprehensive examination of the practicing qualifications of evaluation intermediaries and relevant practitioners.

By the end of June of 2004, competent government agencies shall have co-launched a comprehensive examination with relevant evaluation
industrial associations. The focuses are on the practicing qualifications and service quality of evaluation agencies and their evaluation
practitioners, and on whether relevant evaluation agencies have completed reform and become independent. Agencies and practitioners
that either fail to meet the qualification or seriously violate relevant professional code and ethics shall be disqualified according
to law.

4.

Organization and Implementation

All relevant government departments in charge shall, in accordance with the spirit of the third plenary session of the sixteenth National
Congress of the Communist Party of China, and in compliance with the aforementioned opinions and requirements, conscientiously carry
out and organize relevant work and activities. Before the end of August 2004, the Ministry of Finance shall report to the State Council
the results of such rectification, standardization and examination.



 
General Office of the State Council
2003-12-19

 







DECISION OF THE STANDING COMMITTEE OF THE NATIONAL PEOPLE’S CONGRESS CONCERNING PUNISHMENT OF THE CRIME OF COPYRIGHT INFRINGEMENT

Decision of the Standing Committee of the National People’s Congress Concerning Punishment of the Crime of Copyright Infringement

     Supplementary provisions to the Criminal Law are formulated as follows in order to punish crimes constituted by the infringement of
copyrights and the infringement of rights and interests related to copyrights.

   Article 1 A party which has committed any of the following infringements of copyrights for profit-making purposes shall, in cases of relatively
large amounts of illicit gains or in other serious cases, be sentenced to up to three (3) years imprisonment or to criminal detention
and have a fine imposed singly or cumulatively; and shall, in cases of enormous amounts of illicit gains or other very serious cases,
be sentenced to more than three (3) years and up to seven (7) years imprisonment or criminal detention and have a fine imposed concurrently:

(1) copying and publishing a written literary work, musical composition, film, television or musical work, computer software or other
work without the consent of the copyright holder;

(2) publishing a book for which another party has exclusive rights of publication;

(3) copying and distributing an audio-visual recording without the consent of the audio-visual recorder who produced the recording;

(4) producing and selling fake works of art which are copies of other people’s famous works.

   Article 2 A party which knowingly sells duplicates which infringe copyrights as stipulated in Article 1 of this Decision shall, in cases of
relatively large amounts of illicit gains, be sentenced to up to two (2) years imprisonment or criminal detention and have a fine
imposed singly or cumulatively; and shall, in cases of enormous illicit gains, be sentenced to more than two (2) years and up to
five (5) years imprisonment or criminal detention and have a fine imposed concurrently.

   Article 3 If a unit has committed criminal offences as stipulated in this Decision, the unit shall be fined and those principal personnel directly
responsible and other personnel directly responsible shall be punished in accordance with the provisions of this Decision.

   Article 4 The illicit gains from duplicates which have infringed copyrights which are discovered and seized, and the materials, tools, equipment
and other property owned by a unit or individual which were used chiefly to infringe copyrights shall, without exception, be confiscated.

   Article 5 A party which has committed criminal offences as stipulated in this Decision, thus causing the aggrieved party to incur losses shall,
in addition to having criminal liability pursued in accordance with this Decision, be ordered to compensate the aggrieved party for
those losses, depending on the seriousness of the case, in accordance with the law.

   Article 6 This Decision shall take effect from the date of promulgation.

    






REGULATIONS ON CIVIL AVIATION SECURITY

Regulations on Civil Aviation Security of the People’s Republic of China

     Whole document

Contents

Chapter I General Provisions

Chapter II Security Control in Civil Airport

Chapter III Security of Civil Aviation Operation

Chapter IV Security Inspection

Chapter V Penalty Provisions

Chapter VI Appendix

Chapter I General ProvisionsArticle 1

These Regulations are formulated for the purpose of safeguarding civilaviation activities against acts of unlawful interference,
maintaining theorder of civil aviation and ensuring the safety of civil aviation.Article 2

These Regulations are applicable to all civil aviation activities andto the units and individuals related to civil aviation activities
in theterritory of the People’s Republic of China.

These Regulations are applicable to civil aircraft possessing thenationality of the People’s Republic of China engaged in
civil aviationactivities outside the territory of the People’s Republic of China; unlessit is otherwise provided in international
treaties concluded orparticipated in by the People’s Republic of China.Article 3

Centralized management and division of responsibility shall beexercised in the work of civil aviation security.

The civil aviation public security department shall be responsible forthe centralized management, inspection and supervision
of the work ofcivil aviation security.Article 4

The local governments and civil aviation units concerned shallco-operate closely and safeguard civil aviation safety commonly.Article
5

Passengers, consignors, consignees and other persons entering anairport shall comply with the laws and regulations stipulated
for civilaviation safety control.Article 6

A civil airport operator and a civil aircraft operator shall fulfillthe following duties:

(1) Establish a civil aviation security programme of his own unit andreport to the competent civil aviation authorities under
the State Councilfor the record;

(2) Implement strictly the civil aviation security measures concerned;

(3) Carry out periodically civil aviation security training, andremove in time hidden dangers to the safety of civil aviation.

A foreign civil aviation enterprise operating air services to thePeople’s Republic of China shall submit its civil
aviation securityprogramme to the competent civil aviation authorities under the StateCouncil.Article 7

A citizen has the right to report to the civil aviation publicsecurity institute any premeditated seizure or destruction
of civilaviation aircraft or any other acts that endanger civil aviation safety.Article 8

Reward shall be given by the people’s government concerned or by thecompetent civil aviation authorities under the State Council
to a unit oran individual making outstanding contributions to safeguarding civilaviation safety.

Chapter II Security Control in Civil AirportArticle 9

The construction, modification or extension of civil airport(including the civil part in those airports joint-used by military
andcivil units) shall conform to the stipulations governing the constructionof civil airport security facilities of the competent
civil aviationauthorities under the State Council.Article 10

A civil airport shall be opened for use if it satisfies the securityconditions listed below:

(1) It has established an airport controlled area and is provided withfull-time security personnel;

(2) It has established protective fence and patrol passages up tostandard;

(3) It has established a security unit and is provided withcorresponding personnel and equipment;

(4) It has established a security facilities and is provided with thepersonnel and check-up equipments corresponding to the traffic
volume ofthe airport;

(5) It has established a full-time fire-fighting organization and isprovided with personnel and equipment in accordance with
the fire-fightinggrade of the airport;

(6) It has established a contingency plan and is provided withnecessary contingency rescue equipment.Article 11

The airpot controlled zone shall be divided, in accordance withsecurity requirements, into departure sterile area,
baggage sortingloading and unloading area, aircraft movement area, maintenance area andcargo storage area, etc. Security protection
facilities and distinct signsshall be set up respectively.Article 12

Strict security measures shall be established for the airportcontrolled area, and the area shall be of a closed type
and controlledseparately. The specific method of control shall be formulated by thecompetent civil aviation authorities under
the State Council.Article 13

All personnel and vehicles, while entering the airport controlledarea, must bear the airport controlled area pass and be
subject to theinspection of security personnel.

Airport controlled area pass shall be made, issued and controlled bythe civil aviation public security unit in accordance with
the regulationsconcerned of the competent civil aviation authorities under the StateCouncil.Article 14

In the aircraft movement area and the maintenance area, personnel andvehicles must follow the stipulated way. Vehicles and equipments
must beparked in designated positions. All personnel and vehicles must make wayfor aircraft.Article 15

The civil aircraft parked in an airport must be guarded by speciallyassigned persons; the departments concerned and their
working personnelmust strictly implement aircraft handing over and taking over procedure.Article 16

The following acts are prohibited in an airport:

(1) Climbing up and over (penetrate) or damage airport protectivefence and other security protection facilities;

(2) Hunting, herding, sunning grain or train vehicle driver in airportcontrolled zone;

(3) Entering airport controlled area without airport pass;

(4) Crossing aircraft runway or taxiway at will;

(5) Forcibly boarding or occupying an aircraft;

(6) Making a false report on dangerous situation and creatingconfusion;

(7) Any other acts disturbing the order in airport.

Chapter III Security of Civil Aviation OperationArticle 17

The carrier and its agent, in selling passenger ticket, must complywith the regulations concerned of the competent civil aviation
authoritiesunder the State Council; no passenger ticket shall be sold if notconforming to regulations.Article 18

The carrier, in performing the formalities for transportation, mustcheck up passengers and baggage in the aircraft.Article
19

The carrier must check the number of passengers when they board theaircraft.

The baggage of the passengers already checked in but failed to boardthe aircraft shall not be loaded or retained in the aircraft.

If a passenger gets off the aircraft midway, his baggage must beunloaded.Article 20

The carrier must assign special persons to supervise the baggage andcargo during the storage period on ground and transportation
period.Article 21

The unit which prepares the supplies and loads them must ensure thesafety of such supplies loaded into the aircraft.Article
22

The work of security of an aircraft in flight shall be the unifiedresponsibility of the pilot-in-command.

The aviation security officer shall undertake the concrete work ofsecurity under the leadership of the pilot-in-command.

The pilot-in-command, aviation security officer and other crew membersshall strictly fulfill their duties and protect the safety
of the civilaircraft and of the persons and property carried therein.Article 23

The pilot-in-command, in performing his duties, may exercise thefollowing powers:

(1) Before the aircraft takes off he may refuse to take off if hediscovers that the party concerned failed to take the
security measuresprescribed in the Regulations for the aircraft;

(2) During the flight he may take necessary measures of restraintagainst a person who disturbs the order in the aircraft,
interferes withthe normal work of crew members and disregards any warning;

(3) During the flight he may take necessary measures against theseizure or destruction of the aircraft or any other
acts harmful toaviation safety;

(4) During the flight he can make the final decision regarding thedisposal of the aircraft in case of extraordinary circumstances.Article
24

The following acts interfering with the order of civil aviationoperation are prohibited:

(1) Scalp the certificate for purchasing ticket, passenger ticket andthe effective reservation certificate of air transport enterprise;

(2) Purchase ticket and go aboard an aircraft by using the identitycard of another person;

(3) Taking advantage of the passenger ticket to check or bring alongthe baggage not belonging to the passenger himself.

(4) Load into the aircraft articles which have not gone throughsecurity inspection or for which no other security measures
have beentaken.Article 25

The following acts are prohibited in an aircraft:

(1) Smoke in no smoking area;

(2) Race to occupy seat or baggage compartment (rack);

(3) Fight, get drunk, or pick a quarrel and make trouble;

(4) Steal, damage deliberately or move without authorizationlifesaving articles or appliances;

(5) Commit other acts endangering flight safety and disturbing theorder in aircraft.

Chapter IV Security InspectionArticle 26

Passengers and other persons aboard the aircraft, together with thebaggage they carry, must be subject to security inspection
except thoseexempted from inspection as prescribed by the State Council.

A person who refuses to go through security inspection shall be deniedboarding and bear the losses himself.Article 27

The security inspection personnel shall examine the ticket, identitycard and boarding pass of the passenger and carry
out the securityinspection of the passenger and his baggage with instrument or manually;the inspection may be stricter if necessary.

The passengers already gone through security inspection shall wait inthe departure sterile area for boarding the aircraft.Article
28

The working personnel (including crew members) and the articlesbrought along by them shall be subject to security
inspection whileentering the departure sterile area.

The persons meeting or seeing off the passengers as well as otherpersonnel must not enter the departure sterile area.Article
29

Diplomatic mail bags are exempted from security inspection. Diplomaticcouriers and other articles brought along by them shall
be subject tosecurity inspection, except those otherwise provided in internationaltreaties concluded or participated in by
the People’s Republic of China.Article 30

The cargo for air transportation must go through security inspectionor other security measures.

The cargo consignor must not consign an article with a false name orsecretly include dangerous articles among the goods.Article
31

Air mail must go through security inspection. In case a suspiciousmail is discovered, the security inspection department
and the postaldepartment shall jointly open it for examination and handling.Article 32

Unless otherwise provided by the State Council, the persons flying ina civil aircraft are prohibited from carrying with them
or consign fortransportation the following articles:

(1) Firearms, ammunition, weapons, police arms;

(2) Controlled knives;

(3) Inflammables, explosives, poisonous, erosive and radioactivearticles;

(4) Other contraband stipulated by the State.Article 33

Other articles which could be used to jeopardize flight safety, thoughnot included in Article 32, still must not be taken
by the passengerhimself. However they can be consigned as baggage or can be carried, inaccordance with the regulations stipulated
by the civil aviationauthorities of the State Council, by crew members and be taken back at thedestination.

Articles for daily use containing inflammable substance may be carriedin limited quantity. The articles to be carried in limited
quantity andthe quantity to be carried shall be specified by the competent civilaviation authorities of the State Council.

Chapter V Penalty ProvisionsArticle 34

Those who violates the provisions of Article 14 or commits an actlisted in Article 16, item (1) and (2) of Article 24 or
Article 25 of theRegulations shall be punished by the civil aviation public securityinstitute in accordance with the relevant
provisions of the “Regulationsof the People’s Republic of China on Administrative Penalties for PublicSecurity.”Article 35

Those who violates the relevant provisions in the Regulations shall bepunished by the civil aviation public security institute
in accordancewith the following provisions:

(1) A person who commits an act listed in item 4 of Article 24 may bepunished by warning or imposing a fine of less than 3,000
RMB;

(2) A person who commits an act listed in item 3 of Article 24 may bepunished by warning, confiscating his unlawful earnings
or imposing a fineof less than 5,000 RMB;

(3) A person who violates item 2 of Article 30 and Article 32 but notserious enough to constitute a crime, may be punished by
imposing a fineof less than 5,000 RMB, and confiscating or withholding the articlesunlawfully carried.Article 36

Where the provisions of these Regulations are violated in one of thefollowing circumstances; the competent civil aviation authority
may punishthe unit concerned by warning, stopping its business for rectification orimposing a fine of less than 50,000 RMB;
the civil aviation publicsecurity organ may punish the person directly responsible by warning orimposing a fine of less than
500 RMB:

(1) Cause an aircraft to be out of control in violation of theprovisions of Article 15;

(2) Sell passenger ticket in violation of the provisions of Article17;

(3) Fail to check the persons to fly in the aircraft and baggage bythe carrier in performing the formalities for transportation
in violationof the provisions of Article 18;

(4) Violate the provisions of Article 19;

(5) Fail to take security measures for the articles accepted fortransportation and to be loaded into the aircraft in
violation of theprovisions of Article 20, Article 21, item 1 of Article 30 and Article 31.Article 37

Those who violates the relevant provisions of the Regulations andconstitutes a crime shall be investigated for criminal
responsibility.Article 38

Those who violates the provisions of the Regulations, in addition tothe punishment prescribed in this Chapter, shall bear the
liability to paycompensation according to law for any loss caused by him to a unit or anindividual.

Chapter VI AppendixArticle 39

In the Regulations the meanings of the following expressions are:

“Airport controlled area” refers to the area defined in an airportaccording to the requirement of safety, the entry into and
exit from whichare subject to restriction.

“Departure sterile area” refers to the area defined in a terminalbuilding (lounge) according to the requirement of
safety, in whichdeparting passengers who have gone through security inspection wait toboard the aircraft, as well as boarding
passage and ferry vehicle.

“Aircraft movement area” refers to the area in an airport used for thetakeoff and landing and other ground movements concerned
of aircraft,including runway, taxiway, connecting taxiway and passenger apron.Article 40

The Regulations shall go into effect on the date of promulgation.

    






OPINIONS OF THE MOFTEC AND THE STATE INTELLECTUAL PROPERTY OFFICE ON STRENGTHENING THE ADMINISTRATION OF PATENTS IN FOREIGN TRADE

The Ministry of Foreign Trade and Economic Cooperation, the State Intellectual Property Office

Opinions of the MOFTEC and the State Intellectual Property Office on Strengthening the Administration of Patents in Foreign Trade

January 24, 2003

Opinions of the MOFTEC and the State Intellectual Property Office on Strengthening the Administration of Patents in Foreign TradeChina’s
accession to the WTO and the progress of the economic globalization have provided a broad space for the development of China’s foreign
trade. In the future, we’ll participate in international economic and technological cooperation and competition in a wider range
and on a higher level. As a member of the WTO, we shall pay special attention to the Trade-Related Intellectual Property Agreement
of the WTO, participate in the coming round of the Agreement, and voluntarily perform our commitments made upon our accession to
the WTO. The MOFTEC and the State Intellectual Property Office (hereafter “SIPO”) have, on the basis of deep research of the intellectual
property (hereafter “IP”) issues in the foreign trade of China, come to the consensus that efforts should be made to protect and
administer the IP rights in foreign trade, we should give full play to the functions of the IP system in the development of enterprises,
and give support and guidance to the enterprises in their employment of relevant IP laws in defending their own interests.

I.

The present Opinions have been formulated according to the Patent Law of the People’s Republic of China, the Foreign Trade Law of
the People’s Republic of China, the Regulation of the People’s Republic of China the Administration of the Import and Export of Technologies,
the Regulation on the Customs’ Protection of Intellectual Property Rights, and other relevant laws and regulation for the purpose
of intensifying the administration of patents in foreign trade, facilitate the enterprises in their prevention and reducing risks
in foreign trade, and promote the healthy development of foreign trade.

II.

The expression “administration of patents in foreign trade” as mentioned in the present opinions refers to the administration of the
affairs relating to patents (including the application for patents) involved in the import and export trade of goods, services, and
technologies.

The affairs relating to patent include the patent literature search, recognition of the legal status of patents, the monitoring of
patent infringement, the trade of patent licenses, the transfer of patent rights (the right to patent application), and the conclusion
and performance of contracts for the transfer or license of patents.

III.

Foreign trade operators shall establish and perfect their patent administration rules according to the requirements of the Measures
for the Administration of the Patents of Enterprises (for Trial Implementation).

IV.

The MOFTEC and the administrative department of foreign trade in all provinces, autonomous regions, and municipalities directly under
the Central Government as well as the SIPO and the organs authorized thereby shall establish a reporting system of the major, important,
and unexpected matters that happen in the administration of patents, and shall intensify the provision of guidance in the administration
of patents.

In order to deal with the major, important and unexpected matters as mentioned in the preceding paragraph, the MOFTEC and the SIPO
shall establish a system of joint meetings on various levels.

V.

Where any patent is involved when any foreign trade business operator imports any goods or imports any of the raw materials or spare
parts for the purpose of processing with the materials supplied by the client or of processing with imported raw materials, the business
operator shall request the exporter or client to provide relevant certificates to prove that it is the lawful holder or lawful licensee
of the patent.

It may be clearly stipulated in the contract for import or entrusted processing that if the importer of goods or the trustee to the
contract of entrusted processing is charged by any third party for patent infringement or is involved in any other dispute of patent,
the legal liabilities shall be borne by the exporter or the trustor.

VI.

Where the transfer of any patent or patent application right or the license of patent right is involved in the import of technology
or equipments by any foreign trade business operator, the transferrer or the licenser shall be required to show the certification
documents that proves the validity of the patent or the certification materials that proves the existence of the right to apply for
patents. Where it is necessary, it shall retrieve the patent documents within the technical fields at the patent service institutions
acknowledged by the SIPO or the organs authorized thereby so as to avoid infringing upon the patent right of any third party.

VII.

Where any new technology or invention is involved in the export of goods by any foreign trade business operator, the operator shall
retrieve the patent documents of the country or region where the importer is located within the technical fields of the patent so
as to prevent the export goods from infringing upon the patent right of the country or region where the goods are exported to. Where
it is necessary and it is possible, it may file an application beforehand or concurrent for patent to the country or region where
the importer is located.

VIII.

Where any foreign business operator exports any technology or equipment, it shall retrieve the patent documents of the country or
region where the importer is located within the technical fields of the technology so as to avoid infringing upon the patent right
of any third part. Where it is necessary and it is possible, it may file an application beforehand or concurrently at the country
or region where the importer is located.

IX.

Where the transfer of any patent or of any patent application right is involved in the import or export by any foreign trade business
operators, an contract for the transfer of patent rights or patent application rights shall be entered into. If the license of any
patent is involved, a contract for the license of patent shall be entered into.

In the conclusion of contracts of the transfer of patent rights or patent application rights, the Regulation of the People’s Republic
of China on the Administration of the Import and Export of Technologies shall be abided by.

X.

With a view to protecting the rights and interests of both parties to contracts, a contract for the license of patents may include
the following clauses:

1.

Contents of the patent license, including the all or part of the contents of the production, use, promise to sell or import the patented
goods;

2.

Whether the licensee is enpost_titled to license any other person to use the patent of the licenser;

3.

The countries and regions where the patented goods may be sold;

4.

In case the contract expires while the valid term of the patent has not expired, whether the licensee may continue to use the patent;

5.

The attribution of the right to apply for intellectual property protection to the inventions or creations jointly accomplished by
both parties in the process of the performance of the contract;

6.

The ex officio license of the new inventions and creations accomplished by the licenser in the performance of contracts or any other
provisions;

7.

The use of the know-how and the exchange of relevant materials relating to the implementation of the patent concerned and the relevant
technological services and technological training necessary for the implementation of the patent concerned;

8.

The use of relevant know-how, the matters of confidentiality, etc.;

9.

The responsibilities to be borne when the patented goods cannot meet the technical standards or qualities as agreed upon in the contract.

XI.

All foreign trade business operators shall make customs archivist files of relevant patents in conformity with the Regulation on the
Customs’ Protection of Intellectual Property Rights. Where any of them finds that any import or export goods might infringe upon
its patent right, it may plead the customs or the administrative department of patents, according to the Regulation on the Customs’
Protection of Intellectual Property Rights or other relevant laws and regulations, to take protective measures.

XII.

The MOFTEC and the organs authorized thereby as well as the SIPO and the organs authorized thereby shall supervise and inspect the
making of rules for the administration of patents of the foreign trade business operators and the activities of patent management
or business operation.

XIII.

The present Opinions shall be subject to the interpretation of the MOFTEC and the SIPO, and shall be implemented by reference 30 days
after publication.



 
The Ministry of Foreign Trade and Economic Cooperation, the State Intellectual Property Office
2003-01-24

 







CIRCULAR OF THE STATE ADMINISTRATION OF FOREIGN EXCHANGE CONCERNING CANCELING PARTIAL CATEGORIES FOR RECORDING IMPORT PAYMENTS IN FOREIGN EXCHANGE

The State Administration of Foreign Exchange

Circular of the State Administration of Foreign Exchange Concerning Canceling Partial Categories for Recording Import Payments in
Foreign Exchange

HuiFa [2003] No.34

March 5, 2003

Branches and foreign exchange administration departments under the State Administration of Foreign Exchange in provinces, autonomous
regions and municipalities directly under the Central Government, and branch administrations of Shenzhen, Dalian, Qingdao, Xiamen,
Ningbo; and designated banks of foreign exchange:

In order to adapt to the new trend after China’s entry of WTO, further perfect the administration on the foreign exchange of current
account transactions and accelerate the development of foreign trades, the State Administration of Foreign Exchange has decided to
cancel partial categories for recording the import payments in foreign exchange to simply the procedures of verification of import
payments in foreign exchange for the importers. Some relevant issues are circularized hereby:

I.

Recording and registration requirements for three categories, including “transshipment trades of paying-first-and-then-collecting”,
“material used by overseas projects”, “prepayment over stipulated proportion and amount”, which are stipulated in the HuiGuoHanZi
[98] No.199, the Circular of Distributing the Provisions of Verification of Trade Facticities of Cancellation of Import Payments
in Foreign Exchange shall be canceled. As of the enforcement of this Circular, importers may directly go to banks to purchase/pay
foreign exchange under above three categories of transactions, by presenting the required payment warrants and commercial bills,
without needs to apply to the State Administration of Foreign Exchange or its branches (hereinafter referred to as AEF) for Record
Form for Import Payment in foreign exchange.

II.

When an importer purchases/pays foreign exchange under the “transshipment trade of paying-first-and-then-collecting”, it shall present
relevant commercial documents including import/export contract, verification form of import payments in foreign exchange (that may
be regarded as a declaration form), credit letter issued by buyer or payment guarantee that is issued by a foreign bank and has been
authenticated by a domestic bank for its testkey as well as all commercial documents in any settlement methods. When purchasing/paying
foreign exchange under the trade of “material used by overseas projects”, the importer shall present import/export contract, verification
form of import payments in foreign exchange (that may be regarded as a declaration form), commercial invoice or proforma invoice,
project contracting agreement or subcontracting agreement and all commercial documents in any settlement methods. In a case of or
purchasing/paying foreign exchange under the trade of “prepayment over stipulated proportion and amount”, the importer shall present
import/export contract, verification form of import payments in foreign exchange (that may be regarded as a declaration form), commercial
invoice or proforma invoice, commercial invoice or proforma invoice, and prepayment guarantee letter issued by a foreign bank and
has been authenticated by a domestic bank with its testkey or standby letter of credit.

III.

When the importer is filling in the Verification Form of Import Payments in Foreign Exchange (that may be regarded as a declaration
form), the item “Payment Nature” shall be filled with “Normal Payment in Foreign Exchange” for any of the above-mentioned three categories
of payments.

IV.

After the procedures for selling/paying foreign exchange are completed, the designated foreign exchange banks shall transmit the paper-based
verification documents and relevant electronic documents to AFE.

V.

After the importers have paid the foreign exchange for the items of the above-mentioned three categories, it shall go through the
verification procedures according to relevant government regulations governing the verification procedures for export proceeds and
import payments. The AFE shall, when dealing with the verifications of above categories, input “999999” for all the serial numbers
of the data record forms for the import payments in foreign exchange.

VI.

This Circular shall enter into force as of April 1, 2003. If any previous provisions are inconsistent with this Circular, this Circular
shall prevail.

All branches shall transmit this Circular to their central sub-branches, foreign-funded banks and relative units upon receiving this
Circular. As soon as the Chinese-capital designated banks of foreign exchange receive this Circular, they shall immediately transmit
it to their branches. They shall feedback any problem occurring in the course of implementation of this Circular to the Department
of Current Account Transactions Administration of the State Administration of Foreign Exchange.



 
The State Administration of Foreign Exchange
2003-03-05

 







ANNOUNCEMENT OF CHINA SECURITIES REGULATORY COMMISSION ON CANCELING THE SECOND GROUP OF ADMINISTRATIVE APPROVAL ITEMS AND ON CHANGING THE MANAGEMENT METHODS OF SOME ADMINISTRATIVE APPROVAL ITEMS

The China Securities Regulatory Commission

Announcement of China Securities Regulatory Commission on Canceling the Second Group of Administrative Approval Items and on Changing
the Management Methods of Some Administrative Approval Items

China Securities Regulatory Commission

April 1,2003

According to the requirements of the Decision of the State Council on Canceling the Second Group of Administrative Approval Items
and on Changing the Management Methods of a Group of Administrative Approval Items (GuoFa [2003] No.5), the relevant matters concerning
this commission’s cancellation of the second group of administrative approval items and the change of management methods of some
administrative approval items are hereby notified as follows:

1.

Since the day of issuance of the decision of the State Council, February 27, 2003, China Securities Regulatory Commission (the CSRC)
has cancelled the second group of administrative approval items (27 items, see the attachment for the specific item names and the
basis of establishment).

2.

The CSRC and the agencies thereof will no longer accept the relevant applications filed by the parties according to the administrative
approval items that have been cancelled, and will no longer make examination and approval of such applications that have been accepted.

3.

The CSRC will issue special circulars with respect to the subsequent management methods and follow-up work related to the cancelled
administrative approval items.

4.

The CSRS will start to sort out the departmental regulations and regulatory documents related to the second group of administrative
approval items that have been cancelled, and the result will be publicized.

5.

The CSRC has decided to change the management methods of 7 administrative approval items, namely: “ratification of the qualification
of securities practitioners”, “ratification of the qualification of securities investment consultation practitioners”, “record of
information of stock underwriters”, “assessment of the qualification of fund practitioners”, “ratification of the qualification of
futures practitioners”, “ratification of the texts of futures brokerage contracts”, as well as “ratification of the qualification
of futures investment consultation practitioners”. The above 7 administrative approval items shall be transferred to the Securities
Association of China and the China Futures Association for self-regulation. The CSRC will issue special circulars concerning the
relevant transfer and subsequent management work.

6.

After the second group of administrative approval items are abolished and the management methods for some administrative approval
items are changed, the CSRS will, according to the principle of prudent regulation and through enactment of the management criteria
and standards, improve the regulatory means and strengthen the in-process inspection and ex post facto investigation and punishment
to further strengthen the protection of the investors and the supervision and management of the relevant business activities.

Attachment:Catalogue of the Second Group of Administrative Approval Items Canceled by China Securities Regulatory Commission (27 items)

No. Item Name Establishment Basis

1 Ratification of A-share settlement banks Measures for the Administration of Client Transaction Settlement Fund (Decree No.3 of 2001
of the CSRC)

2 Record of the contracts signed between securities companies and depository banks, or chief depository banks Measures for the Administration
of Client Transaction Settlement Fund (Decree No.3 of 2001 of the CSRC)

3 Record of the contracts signed between settlement companies and settlement banks Measures for the Administration of Client Transaction
Settlement Fund (Decree No.3 of 2001 of the CSRC)

4 Record of the documents of the members’ assembly of Stock Exchanges Measures for the Administration of Stock Exchanges (Decree No.4
of 2001 of the CSRC)

5 Record of the business agreements between securities registration and settlement institutions and Stock Exchanges Measures for the
Administration of Stock Exchanges (Decree No.4 of 2001 of the CSRC)

6 Record of the suspension or restoration of the trading of listed securities by Stock Exchanges Measures for the Administration of
Stock Exchanges (Decree No.4 of 2001 of the CSRC)

7 Approval of the suspension or restoration of the trading of listed securities by Stock Exchanges Measures for the Administration
of Stock Exchanges (Decree No.4 of 2001 of the CSRC)

8 Record of listing agreements Measures for the Administration of Stock Exchanges (Decree No.4 of 2001 of the CSRC)

9 Record of the internal administrative systems and work procedures of securities registration and settlement institutions on business,
finance and security etc Measures for the Administration of Stock Exchanges (Decree No.4 of 2001 of the CSRC)

10 Approval of the period for keeping of original business proofs fixed by securities registration and settlement institutions Measures
for the Administration of Stock Exchanges (Decree No.4 of 2001 of the CSRC)

11 Examination and approval for the services provided by Stock Exchanges for the transaction types that are not listed by them Measures
for the Administration of Stock Exchanges (Decree No.4 of 2001 of the CSRC)

12 Examination and acceptance of the preparation for establishment of securities companies Circular of the CSRC on distributing the
Several Opinions on Further Strengthening the Regulation of Securities Companies (ZhengJianJiGouZi [1999] No.14)

13 Examination and approval of the establishment of securities institutions abroad by non-securities institutions Circular of the
General Office of the State Council on Distributing the Provisions on the Functions, Internal Structures and Personnel Establishment
of China Securities Regulatory Commission (GuoBnaFa [1998] No.31)Measures for the Administration of Overseas Financial Institutions
(Decree No.1 of 1990 of the People’s Bank of China)

14 Ratification of the change, addition or reduction of representatives, deputy representatives, and staff members of foreign nationalities
or from Hong Kong, Macao and Taiwan by the representative offices in China of foreign securities institutions Circular of the CSRC
on Promulgation of the Measures for the Administration of Representative Offices in China of Foreign Securities Institutions (ZhengJianJiGouZi
[1996] No. 26)

15 Record of the employment of Chinese citizens to be ordinary staff members by the representative offices in China of foreign securities
institutions Circular of the CSRC on Promulgation of the Measures for the Administration of Representative Offices in China of Foreign
Securities Institutions (ZhengJianJiGouZi [1996] No. 26)

16 Ratification of the representatives and deputy representatives of the representative offices in China of foreign securities institutions
Circular of the CSRC on Promulgation of the Measures for the Administration of Representative Offices in China of Foreign Securities
Institutions (ZhengJianJiGouZi [1996] No. 26)

17 Examination and approval of the cancellation of securities institutions set up overseas by domestic non-securities institutions
Circular of the General Office of the State Council on Distributing the Provisions on the Functions, Internal Structures and Personnel
Establishment of China Securities Regulatory Commission (GuoBanFa [1998] No.31); Measures for the Administration of Overseas Financial
Institutions (Decree No.1 of 1990 of the People’s Bank of China); Circular of the People’s Bank of China and China Securities Regulatory
Commission on Distributing the Scheme on Handover of the Duties of Regulation of Securities Institutions (YinChuan [1998] No.30 )

18 Recommendation for the securities companies entering the Inter-bank borrowing market Circular of the People’s Bank of China on
Distributing the Provisions on the Administration of the Fund Management Companies’ Entering the Inter-bank Borrowing Market and
the Provisions on the Administration of the Securities Companies’ Entering the Inter-bank Borrowing Market (YinFa [1999] No.288)

19 Designation of the training institutions of securities practitioners Circular of the Securities Commission of the State Council
on Distributing the Interim Provisions on the Administration of the Qualification of Securities Practitioners (ZhengWeiFa [1995]
No.6)

20 Record of the personnel employed by securities intermediary institutions Circular of the Securities Commission of the State Council
on Distributing the Interim Provisions on the Administration of the Qualification of Securities Practitioners (ZhengWeiFa [1995]
No.6)

21 Record of the change of employers of securities practitioners Circular of the Securities Commission of the State Council on Distributing
the Interim Provisions on the Administration of the Qualification of Securities Practitioners (ZhengWeiFa [1995] No.6)

22 Record of the part-time jobs in non-commercial institutions of the managerial personnel and fund managers Promulgation of No.6
Rule of Implementation of the Interim Measures for the Administration of Securities and Investment Fund ?C Interim Provisions on
the Administration of the Qualification of Fund Practitioners (ZhengJianFa [1999] No.53)

23 Record of the appointment and dismissal of the assistants to the general manager and department managers of fund management companies
and fund trustee departments Promulgation of No.6 Rule of Implementation of the Interim Measures for the Administration of Securities
and Investment Fund ?C Interim Provisions on the Administration of the Qualification of Fund Practitioners (ZhengJianFa [1999] No.53)

24 Record of the relevant materials of establishment of offices within China by fund management companies Circular of the CSRC on
the Relevant Issues Concerning the Establishment of Branches within China by Fund Management Companies (ZhengJianJiJinZi [2000] No.
66)

25 Examination and approval for the establishment of futures and investment consultation institutions Circular of the Securities Commission
of the State Council on Promulgation of the Interim Measures for the Administration of Securities and Futures Investment Consultation
(ZhengWeiFa [1997] No.96)

26 Review of the letters of legal advice issued by Chinese lawyers concerning the issuing of stocks and listing overseas by overseas
companies involving domestic rights and interests Circular of the CSRS on the Relevant Issues Concerning the Issuing of Stocks and
Listing Abroad by Overseas Companies Involving Domestic Rights and Interests (ZhengJianFaXingZi [2000] No.72 )

27 Record of the agreements on listing of convertible company bonds Circular of the Securities Commission of the State Council on
Promulgation of the Interim Measures for the Administration of Convertible Company Bonds (ZhengWeiFa [1997] No.6)



 
The China Securities Regulatory Commission
2003-04-01

 







CIRCULAR OF MINISTRY OF CONSTRUCTION CONCERNING THE ISSUE THAT ENTERPRISES WITH FOREIGN INVESTMENT APPLY FOR CITY PLANNING SERVICE QUALIFICATION CERTIFICATE

The Ministry of Construction

Circular of Ministry of Construction Concerning the Issue that Enterprises with Foreign Investment Apply for City Planning Service
Qualification Certificate

JianGui [2003] No.94

May 9, 2003

Construction offices of provinces and autonomous regions and planning bureaus (planning commissions) of municipalities directly under
the Central Government:

In order to implement the Provisions on Administration of Foreign-Invested City Planning Service Enterprises (hereinafter referred
to as Provisions), it is hereby announced as follows concerning the issue that enterprises with foreign investment apply for City
Planning Service Qualification Certificate:

I.

Technical equipment and work site

The enterprises with foreign investment applying for City Planning Service Qualification Certificate are supposed to meet the following
requirement in terms of technical equipment and work site:

(I)

having a certain number of computers, each professional technician should have one computer.

(II)

having digital AO or scanners, AO plotting instruments, color printers with high resolution ratio;

(III)

possessing CAD or GIS software;

(IV)

the construction area of per capita work site is no less than 10 square meters.

II.

Application materials of enterprises with foreign investment

Enterprises with foreign investment should provide original application materials and two copies. Original materials will be returned
to applicants after checked with copies by material receiving organs.

Professional technology proving materials refer to diplomas, technical post post_title certificates or certificated city planner qualification
certificates of employed Chinese main land technicians; diplomas of employed foreign technicians and certifying documents issued
by the competent departments of the governments of the countries or regions foreign technicians live in or industry associations,
academic institutions or notary offices to prove their experiences of taking up city planning and their achievements.

Enterprise technical equipment materials refer to allocation instruction of technical equipment and purchase credence.

The application form of City Planning Service Qualification Certificate for Enterprises with Foreign Investment can be obtained from
construction offices of the provinces or autonomous regions or planning bureaus (planning commissions) of municipalities directly
under the Central Government where they registered in advance.

III.

The procedure of applying for City Planning Service Qualification Certificate

In order to make it easy for foreign enterprises to apply for City Planning Service Qualification Certificate and strengthen the supervision
and administration to city planning activities of local foreign-invested city planning enterprises conducted by construction offices
of the provinces and autonomous regions and planning bureaus (planning commissions) of municipalities directly under the Central
Government, enterprises with foreign investment should submit the application materials stipulated by Article 13 of the Provisions
to construction offices of the provinces and autonomous regions and planning bureaus (planning commissions) of municipalities directly
under the Central Government where they registered; Construction offices of the provinces and autonomous regions and planning bureaus
(planning commissions) of municipalities directly under the Central Government will submit the materials which they have checked
and written comments on to Ministry of Construction within 30 days after receiving the application materials; Ministry of Construction
will make the decision to approve the application or not within 30 days after receiving the checked materials. Those who meet Article
6 and Article 13 of the Provisions will be presented City Planning Service Qualification Certificate for Enterprises with Foreign
Investment; those who do not meet the two articles will not be presented the certificate and will be informed the reasons. Furthermore,
Ministry of Construction will inform the enterprises not be approved to State Administration for Industry and Commerce and the Ministry
of Commerce by letter.

Construction offices of the provinces and autonomous regions and planning bureaus (planning commissions) of municipalities directly
under the Central Government should take the work of accepting the application materials of enterprises with foreign investment for
City Planning Service Qualification Certificate seriously and check the materials correctly according to the requirement of the Provisions
and this Circular.

IV.

Announcement on foreign-invested city planning enterprises

For the enterprises presented City Planning Service Qualification Certificate for Enterprises with Foreign Investment, the Ministry
of Construction will declare their names, addresses, legal representatives and name lists of professional technicians etc in the
website of Information Center of the Ministry of Construction.



 
The Ministry of Construction
2003-05-09

 







INTERIM PROVISIONS ON PREVENTING THE ACTS OF PRICE MONOPOLY

The State Development and Reform Commission

Decree of the State Development and Reform Commission of the People’s Republic of China

No.3

The Interim Provisions on Preventing the Acts of Price Monopoly are formulated in accordance with the Price Law of the People’s Republic
of China, which have been adopted at the executive meeting of the directors of the State Development and Reform Commission, and as
promulgated, it shall enter into force as of November 1, 2003.

Director of the State Development and Reform Commission Ma Kai

June 18, 2003

Interim Provisions on Preventing the Acts of Price Monopoly

Article 1

In order to prevent acts of price monopoly, to promote fair competition and to protect the legal rights and interests of the operators
and consumers, the Provisions have been formulated in accordance with the Price Law of the People’s Republic of China (hereinafter
referred to as the Price Law).

Article 2

The “acts of price monopoly” herein refer to the acts that by means of collusion or abuse of the market predominance, the operators
control the market prices, disturb the normal production and operation order, impair the legal rights and interests of the other
operators and consumers, or harm the interests of the public.

Article 3

The determination of market predominance shall be mainly based on the market shares of the operators in the relevant markets, the
substitutability of the commodities and difficulty of the new competitors to enter into the market.

Article 4

Operators shall not conduct any of the following acts of price monopoly through agreements, decisions or coordination:

(1)

Uniformly determining, maintaining or changing prices;

(2)

Controlling prices by limiting the production or supply quantities;

(3)

Controlling prices in bid invitation and bid tendering, or auction;

(4)

Other acts of controlling prices.

Article 5

An operator shall not rely on its market predominance to compulsorily define the resale price when supplying commodities to its distributors.

Article 6

No business operator may rely on its market predominance to seek sudden huge profits in violation of the laws and regulations of the
state.

Article 7

No business operator may rely on the market predominance to anti-dump commodities at the price lower than the costs for the purposes
of supplanting and impairing their competitors; or to make the actual sales prices lower the costs of the commodities themselves
by means of lowering the prices under the disguises of kickbacks, subsidies and donations.

Article 8

No operator may, when providing same commodities or services, rely on its market predominance to treat the same transaction objects
differently in the aspect of transaction price.

Article 9

Whether an operator has any of the acts of price monopoly listed in the Provisions or not, it shall be subject to the determination
of the administrative department for price of the government.

Article 10

Where an operator has any of the acts of monopoly as described in the present Provisions, it shall be punished by the administrative
departments for price of the government in accordance with Article 40 of the Price Law and Article 4 of the Administrative Punishments
on the Illegal Price Acts.

Article 11

Where it is otherwise provided for in any other regulation or ministerial rule regarding the punishment for the acts as described
in Articles 6 and 7 of the Provisions or the state organ for imposing punishments, the provisions of such regulations and ministerial
rules may apply.

Article 12

The government and its subordinate departments shall protect the operator’s rights in lawfully setting prices at their own will, and
shall not illegally interfere with the market prices.

Article 13

The government encourages all kind of organizations and individuals to supervise the acts of price monopoly. The administrative departments
for price of the government may give awards to the informers of the acts of price monopoly and shall keep the informers confidential.

Article 14

Trade associations shall strengthen self-regulation on price, and may not engage in any act in violation of the Provisions.

Article 15

The power to interpret the present Provisions shall remain with the State Development and Reform Commission.

Article 16

The Provisions shall enter into force as of November 1, 2003.



 
The State Development and Reform Commission
2003-06-18

 







NOTICE OF THE SUPREME PEOPLE’S COURT ON STRICTLY PROHIBITING THE RANDOM STOP PAYMENT FOR LETTERS OF CREDIT

the Supreme People’s Court

Notice of the Supreme People’s Court on Strictly Prohibiting the Random Stop Payment for Letters of Credit

Fa [2003] No.103

July 16, 2003

The higher people’s courts of all provinces, autonomous regions and municipalities directly under the Central Government, the intermediate
people’s courts that accept and hear foreign commercial cases, and all admiralty courts:

This steel price has witnessed a sharp decrease in the international market since this year. Consequently, the price of some of domestic
steel products tends to decrease with it. The shrinking of the margin between the price in domestic market and the import cost has
directly affected the interests of the steel importers. Therefore, some importers requested the banks to refuse payment on account
of inconsistency between bills of documents, or applied to the court for order of stop payment for letters of credit under some farfetched
pretexts such as fraud. Some courts randomly ordered stop payment for letters of credit, which has resulted in adverse influence
abroad. With the view to maintaining the international status of the courts and the banks of China, the relevant regulations are
notified hereby as follows.

1.

The principle of independence of letters of credit shall be strictly abided by. The letter of credit falls within document transaction
independent from the underlying transaction. As long as the documents provided by the beneficiary apparently accord with the requirements
of the letter of credit, the issuing bank is obligated to pay within the specified time limit. Since the letter of credit and the
underlying transaction belong to different legal relations, the court is not allowed generally to order stop payment for the letter
of credit issued by the issuing bank simply because of disputes resulting from the basic transaction.

2.

The conditions of application of the principle of exception of fraud on letters of credit shall be strictly adhered to. Only when
there are sufficient evidences to prove the fraud through letters of credit and the bank has not yet paid in a reasonable period,
the people’s court may order stop payment in the light of the request of the applicants and on condition that they provide guarantee.
However, if the letter of credit has been accepted and transferred, or the payment has been negotiated, the court shall not order
stop payment.

The people’s courts at all levels shall think much of the order of stop payment for letters of credit. Random order of stop payment
under unqualified conditions is prohibited. And the relevant people’s courts shall immediately make correction to the stop payment
order that has been improperly awarded.

It is hereby notified.



 
the Supreme People’s Court
2003-07-16

 







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...