Administrative Reconciliation Of Pilot Measures For The Implementation Of

Original Language Title: 行政和解试点实施办法

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Read the untranslated law here: http://www.chinalaw.gov.cn/article/fgkd/xfg/gwybmgz/201506/20150600399250.shtml

  Approved by the State Council, the China Securities Regulatory Commission in the field of securities and Futures pilot administrative conciliation system.

   To standardize administrative reconciliation of pilot work, pilot work requirements approved by the China Securities Regulatory Commission under the State Council, developed a pilot implementation measures administrative reconciliation, on November 21, 2014 President Office for consideration by the 66th, promulgated since March 29, 2015.
    Chairman Xiao gang
February 17, 2015 administrative reconciliation of pilot measures for the implementation of

Chapter I General provisions article to pilot administrative reconciliation work in the field of securities and futures, and regulate administrative acts of reconciliation, protecting the legitimate rights and interests of investors, according to the provisions of the relevant laws and administrative regulations, these measures are formulated. Second article this approach by said administrative reconciliation, is refers to China Securities supervision Management Committee (following referred to China SFC) in on citizens, and corporate or other organization (following referred to administrative relative people) suspected violation Securities Futures legal, and administrative regulations and related regulatory provides behavior for survey law enforcement process in the, according to administrative relative people of application, with on corrected suspected violations, elimination suspected violations bad consequences, pay administrative reconciliation gold compensation investors loss, for consultations reached administrative reconciliation agreement,

And the investigation procedures.

Third administrative conciliation shall be in accordance with the conditions, procedures and time limit for these measures. Fourth administrative reconciliation should follow the principles of fair, voluntary, consultation and efficiency.

China Securities Regulatory Commission not to have a private person or disguised offered the reconciliation recommendations, or compulsory administrative relative person of an administrative settlement.

Fifth, an administrative formation and performance of the settlement agreement, shall be without prejudice to national and community public interest, shall be without prejudice to the legitimate rights and interests of others.
  Chapter II scope of administrative reconciliation and conditions

  Sixth administrative relative person suspected of false statements and insider trading, market manipulation or fraudulent violation of securities and Futures laws, administrative rules and regulations, cases in accordance with the following situations, administrative conciliation procedures may be applied:

  (A) the China Securities Regulatory Commission has officially registered, and after the necessary investigation procedures, but the facts of the case or it is difficult to completely clear the legal relationship;

  (B) law enforcement administrative conciliation to achieve regulatory objectives, reduce disputes, stability and clear expectations, restore market order and protecting the legitimate rights and interests of investors;

  (C) the administrative relative person willing to take effective measures to compensate losses to investors because of its alleged violations committed;

(D) closed by administrative conciliation did not violate laws, administrative rules and regulations of the prohibitive provisions, does not harm the public interests and the legitimate rights and interests of others.

Agency of the China Securities Regulatory Commission is responsible for investigating the case, pilot during the conciliation procedure shall not apply to the Executive.

  Article seventh case of the following circumstances, the China Securities Regulatory Commission may not be the relative administrative reconciliation:

  (A) private persons illegal facts are clear, evidence is clear on the law applicable, should be given administrative punishments according to law;

  (B) the administrative relative person suspected of a crime, shall be transferred to judicial organs for handling according to law;

(C) the CSRC based on prudent regulatory principles identified inappropriate administrative settlement.
Chapter III administrative implementation of reconciliation procedures

Section I applications and accepted article eighth of China Securities Regulatory Commission administrative reconciliation, by a specialized administrative reconciliation implementation Department (hereinafter reconciliation implementation Department), and the Investigations Department of the China Securities Regulatory Commission (hereinafter referred to as case investigation department), trial sector (hereinafter referred to as the case Department) independent of each other.

Nineth administrative counterpart since the date of receipt of the notice of investigation served on the China Securities Regulatory Commission, before making a decision on administrative penalty to the China Securities Regulatory Commission, may apply to the China Securities Regulatory Commission on administrative reconciliation. Tenth administrative relative person of administrative settlement application, should submit applications and related documents.

The application shall set out the following:

(A) the basic situation of the applicant;

(B) main facts and reasons for administrative conciliation;

(C) made in respect of alleged violations of the applicant to correct or mitigate, programmes to combat harmful consequences;

(D) the other matters required by the CSRC.

Administrative relative person is a legal person or other organization, shall be submitted on the basis of the People's Republic of China law, and of the People's Republic of China partnership enterprise law and other laws and administrative regulations and the articles, the provisions of the partnership agreement to make internal decisions on an administrative settlement.

11th private party applying for an administrative settlement shall faithfully related materials submitted to the China Securities Regulatory Commission, and is responsible for the authenticity and accuracy of the application materials. Administrative reconciliation of the 12th private party submitting applications and related documents, enforcement of reconciliation should be registered and administrative settlement application receiving vouchers issued by the administrative relative person.

Need administrative relative person of correct application materials, the applicant shall submit all the correct materials in accordance with the enforcement of reconciliation requirements, enforcement of reconciliation in all the correct materials issued by the Administration after the application submitted by the applicant receives voucher.

13th reconciliation implementation departments shall issue administrative application within 5 working days from the received date of the voucher case, whether these measures article sixth of conditions, and the existence of the article seventh requirement of situations, seeking the views of case investigation department in writing. Article 14th case investigation department shall from the date of receiving the implementation Department for comments written feedback in writing within 20 working days.

Feedback and related materials shall include the following contents:

(A) whether the present measures article sixth, if there are clear views of the circumstances prescribed in the article seventh;

(B) at the time of feedback, investigation of cases of specific situations and whether or not the administrative relative person suspected of violating some evidence or material evidence;

(Iii) other materials need to be submitted.

Investigations after the written feedback to the reconciliation sector in the implementation of sector administrative conciliation before filing, discover new facts and evidence, considers that no longer meet the administrative case of reconciliation is admissible and shall timely inform the enforcement of reconciliation.

15th administrative relative person in the case to be transferred to departments after the case, administrative reconciliation application before making a decision of administrative penalty, settlement enforcement, in accordance with the provisions of article 13th sought investigations outside the Department, should also be in accordance with the same procedure and time frame sought case's advice. 16th trial Department receiving the implementation Department for comments within 20 working days from the date of the written material written feedback.

Feedback and related materials shall include the following contents:

(A) whether the present measures article sixth, if there are clear views of the circumstances prescribed in the article seventh;

(B) at the time of feedback, the specific circumstances of the case;

(Iii) other materials need to be submitted.

17th administrative relative person of the administrative application for conciliation in accordance with the approach conditions of article sixth, implemented by the reconciliation to the private sector since produce administrative settlement application within 40 working days from the received date of the vouchers issued by the administrative relative person accepted notification and CC investigation departments, departments, administrative settlement the case management agency.

Does not comply with the conditions specified in article sixth or seventh under the circumstance of these measures, implemented by the reconciliation to the private sector since produce administrative settlement application within 40 working days from the received date of the vouchers issued by the administrative relative person inadmissible notification and CC Investigations Department, the case Department.

Article 18th investigation cases of less than 3 months, administrative relative person of administrative settlement application as inadmissible, but except as specifically approved by the China Securities Regulatory Commission Chief.

Article 19th after the China Securities Regulatory Commission accepts administrative settlement application, before the administrative reconciliation accord with the administrative relative person, refuse to suspend the investigation of cases related to administrative relative person Job.

Accepting cases of administrative application for conciliation has been transferred to the Department hearing the case, departments shall suspend the hearing of the case the case.

Article 20th private party applications submitted to the reconciliation, the CSRC before formal acceptance may apply for withdrawal of the administrative settlement application.
  Section II settlement consultation

Article 21st reconciliation implementation sector since the date of admissibility decision of administrative application for conciliation, and administrative counterpart for communication and consultation on the following matters:

(A) the administrative relative person suspected of an offence;

(B) the administrative relative person suspected of violations could lead to the social harm, causing losses to investors;

(C) the administrative relative person willing to take the settlement amount and the payment time limits;

(Iv) the other party may correct the alleged violations as well as positive measures to eliminate, mitigate harm alleged violations committed;

(E) the specific content of the settlement agreement;

(Vi) administrative safeguards implementation of the settlement agreement;

(G) other matters. 22nd an administrative settlement consultations should be carried out in the form of face-to-face consultation.

Staff members shall not be less than two consultations of the China Securities Regulatory Commission, and shall produce to the administrative counterpart law enforcement credentials. Article 23rd reconciliation implementation of departmental consultation with the administrative relative person of reconciliation for a period of three months.

Approved by the China Securities Regulatory Commission in charge may be postponed. 24th negotiation avoidance system in the implementation of administrative reconciliation.

Administrative reconciliation's staff has one of the following should be avoided:

(A) is the relative of a spouse, parents, children and other close relatives;

(B) have a stake in the case;

(C) relations with administrative cases or other, could affect the case impartially.

Administrative counterpart's right to oral or written application for such staff to avoid.

25th the CSRC in consultation with the relative administrative reconciliation process, professional issues involved consultation with stock exchanges, futures exchanges, clearing organizations and other relevant institutions or the views of relevant experts and scholars.
  Section III signing of the settlement agreement and Executive Article 26th China Securities Regulatory Commission and private party regarding alleged violations deal with communication, consultation, consensus, administrative reconciliation agreement signed.

The settlement agreement shall contain the following matters:

(A) the cause of reconciliation;

(B) the administrative relative person pay administrative settlement the amount, manner;

(C) the administrative relative person suspected of an offence for rectification as well as eliminate, mitigate the consequences against alleged violations of other specific measures;

(D) the administrative relative person to implement the terms of the settlement agreement;
(E) other matters to be stated.

Administrative relative person is a legal person or other organization, the decision on the administrative settlement agreement signed, should the implementation of the People's Republic of China company law, the People's Republic of China partnership enterprise law and other related laws, administrative regulations, and the decision-making process of the company's articles of Association, the provisions in the partnership agreement.

27th an administrative settlement amount should be taken into account for the determination of the following circumstances:

(A) the administrative relative person suspected of an offence have been established according to law punishable by fines or confiscation of illegal income amount;

(B) the administrative relative person on suspicion of illegal proceeds, to avoid losses;

(C) the losses suffered by the other persons in connection with the offence;

(D) the need to consider other circumstances.

The China Securities Regulatory Commission on administrative settlement the amount of relative party in administration in the process of consultation, take appropriate means, investor losses of hearing the views of investors.

28th the CSRC should be in accordance with the provisions of the public administration the main content of the settlement agreement.

Administrative relative person of the administration of the settlement agreement reached as a listed company and unlisted public company and its directors, supervisors and senior managers, controlling shareholders and actual controllers of, shall, in accordance with the China Securities Regulatory Commission and the relevant provisions of the Securities Exchange disclosure obligations.

Article 29th administrative reconciliation deal, supervised by the reconciliation implementation of departmental administrative counterparts in fulfilment of obligations under the agreement within the time limit stipulated by the agreement. Reconciliation implementation departments in the administrative reconciliation agreement will be reached within 2 working days after the settlement agreement in writing informed the investigation departments, departments, administrative settlement the case management agency.

Investigations Department upon receipt of the written notice shall be suspended after investigations. Administrative relative person after fulfilment of all obligations, enforcement shall be filed with the administrative relative person of reconciliation issued by administrative reconciliation completion notification and CC investigation departments, departments, administrative settlement the case management agency.

Investigation departments, departments shall, in accordance with the terminated the investigation of the case, trial.
  Fourth administrative termination of conciliation proceedings

  30th under any of the following circumstances, the China Securities Regulatory Commission administrative conciliation procedure shall be terminated:

  (A) the China Securities Regulatory Commission on administrative relative person of the administrative settlement application, administrative reconciliation agreement, discovery of new facts and evidence by the investigation, considers that no longer meet the administrative case of reconciliation is admissible;

  (B) is not reached within the time limit stipulated in this article 23rd administrative settlement agreement;

  (C) the settlement agreement is reached, of administrative counterpart not to implement the settlement agreements;

  (D) the China Securities Regulatory Commission on administrative relative person of the administrative settlement application, before the completion of administrative settlement agreement and found that administrative relative person administrative reconciliation of materials provided by the presence of a false record or material omissions;

(E) the CSRC based on prudent regulatory principles considered it necessary to terminate the administrative conciliation procedure. Of the circumstances prescribed in the preceding paragraph, reconciliation implement conciliation procedure issued by the administrative departments shall provide the administrative relative person notice of termination and CC investigation departments, departments, administrative settlement the case management agency.

Aborted case investigation, trial, investigation departments, departments should resume its investigations in a timely manner, the case proceedings.

31st administrative reconciliation deal, Executive counterparts not to implement the reconciliation agreement, the Chief settlement is invalid.

Article 32nd private holder fails within the prescribed administrative reconciliation agreement with the China Securities Regulatory Commission, China Securities Regulatory Commission will continue to investigate, the resumption of the trial shall not be again applied the administrative reconciliation procedures; administrative relative person is not in accordance with the agreement to implement the reconciliation agreement

And once again, the China Securities Regulatory Commission resumed the investigation, trial shall not apply administrative conciliation procedure. Article 33rd administrative reconciliation issued by the China Securities Regulatory Commission to the private party closing notice, found the administrative relative person administrative reconciliation of materials provided by any false record or major omissions, restart the case investigation and trial procedures.

Administrative relative person according to the settlement agreement to pay Executive settlement shall not be returned.

Appear as provided in the preceding paragraph, implementing Department shall timely inform the administrative relative person of reconciliation.
  Fourth chapter of administrative settlement management and use

Article 34th administrative relative person administrative settlement of pay accounts managed by the administrative settlement authority.

35th article administrative counterparts because of their allegedly illegal acts caused investor losses, investors can apply to the administrative settlement management compensation. Investors can obtain compensation through the administrative settlement procedure, or in accordance with the People's Republic of China civil procedure law of the provisions of the administrative relative person of bringing civil claims for compensation of damages.

But investors have been through the procedure of administrative settlement compensation compensation, compensation should not be part of the further request for civil damages.

Article 36th administrative settlement management and use of the specific measures shall be formulated separately by the China Securities Regulatory Commission, in conjunction with the Ministry of finance.
  The fifth chapter by-laws

37th Chinese work of the staff of the Securities and Futures Commission and its administrative reconciliation should be kept strictly confidential, but the laws, administrative regulations, and except as otherwise provided in this way.

Article 38th of the China Securities Regulatory Commission who, in violation of relevant provisions of these measures,

Abuse of authority, dereliction of duty, virtue of seeking illegitimate interests, leaked confidential the secrets of units or individuals, or active, disguised active administrative reconciliation, implementing administrative reconciliation of procedural violations, according to the circumstances, the offender constitutes a crime, criminal responsibility shall be investigated according to law. 39th these measures come into force March 29, 2015.