Those caught pirating audio and video products will pay heavily
under a revised
State Council regulation which bases fines on assets of illegal
operations. The regulation replaces a previous rule in which
penalties were based on illegal earnings, difficult for law
enforcement agents to determine.
This revised regulation also ends government examination and
approval of video halls. Those previously sanctioned will not have
permits renewed, with the goal of shutting down all such operations
in 5 years.
The revised Film Administrative Regulations encourage public
institutions and individuals to join in film production through
financial aid and investment. With permission of the administrative
department in charge of radio, film and television under the State
Council, units other than the film production units can take part
in film producing. Once gaining permission, the unit should go
through relevant registration formalities at the administrative
department of industry and commerce. Then, before the production,
the unit should go to the State Administration of Radio, Film and
Television to get a single "permit of film-production," that
entitles the bearer to the same rights and obligations as
film-production units. The revision also provides an explicit range
about the amount of fine for violations of the regulations.
The revised regulation on publishing permits establishments of
Chinese-foreign joint ventures, cooperative enterprises and
exclusively foreign-owned enterprises to engage in distributing of
books, newspapers and periodicals. The measures will be implemented
by the publishing administration department in conjunction with the
appropriate authority in foreign trade and economy under the State
Council. Rules on the import of publications were for the first
time included, making clear the requirements for establishing units
of importing publications as well as intensifying the
penalties.
The revised regulation on foreign finance firms stipulates that a
foreign finance firm can apply for establishment of a business
agent in any city of China as long as it complies with the
accession requirements. Foreign-owned banks, branches and
Chinese-foreign joint-venture banks can partially or totally
receive and manage deposits, grant short-, medium-, and long-termed
credits within the business scope set by the
(PBOC).
The revised regulation cancels the previous limits on access to RMB
market for foreign finance firms. New application requirements
include a three-year history of business in China, making a profit
for two years and some other requirements stated by the People's
Bank of China. Rate of deposit, credit and all kinds of service
charges are set according to related rules from the PBOC. There is
no limit for foreign finance firms in China on objects of foreign
currency service. This regulation also relaxes the limit on Chinese
companies in Chinese-foreign joint-venture banks and financial
companies. Instead of being limited to financial companies, foreign
firms may jointly operate with any Chinese firm it chooses.
In
compliance with the commitments China made for entry into the World
Trade Organization (WTO), the revised regulation on the
administration of insurance companies with foreign investment
states that foreign insurance company may set up a Chinese-foreign
joint insurance company, an exclusively foreign-owned insurance
company or its own branch in China. Foreign-invested insurance
firms in China can totally or partially operate the following
insurance businesses: Property insurance including property-loss
insurance, liability insurance, credit insurance; personal
insurance including life insurance, health insurance, accidental
injury insurance; large commercial risk insurance including
warranty insurance but within approved insurance coverage. However,
one foreign-invested firm cannot operate both property insurance
and personal insurance.
(Xinhua News
Agency January 31, 2002 by Shen Lutao, translated for
china.org.cn by Zhang Tingting)