Financial Guarantee Companies Interim Measures For The Management Of

Original Language Title: 融资性担保公司管理暂行办法

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Read the untranslated law here: http://www.chinalaw.gov.cn/article/fgkd/xfg/gwybmgz/201007/20100700258977.shtml

Financial guarantee companies interim measures for the management of

    (March 8, 2010 China's Banking Regulatory Commission, the national development and Reform Commission, the industry and the Ministry of information, Ministry of finance, Ministry of Commerce, people's Bank of China, industrial and commercial Administration Bureau [2010] the 3rd release come into force on the date of promulgation) Chapter I General provisions

    First to strengthen the supervision and administration of financial guarantee companies, regulate the financing guarantee, promote financing guarantee healthy development of the industry, according to the People's Republic of China company law, the People's Republic of China Law of guarantee and the People's Republic of China contract law and other legal provisions, these measures are formulated.

    Second financing guarantee mentioned in these measures refers to the guarantor agreed with banking institutions and other creditors, when the sponsor does not meet financing obligations towards creditors, by the guarantor shall bear liability stipulated in the contract.

    Financing guarantee mentioned in these measures refers to the establishment of the company, business financing guarantee business limited liability companies and joint stock limited.

    Regulators in these measures refers to the provinces, autonomous regions and municipalities to determine the departments responsible for financial guarantee companies the supervision and management of the area.

    Article financing guarantee company shall be based on safety, liquidity and profitability for the business principles, establishing market-oriented operation of sustainable business model carefully.

    Financial guarantee companies and enterprises, banking institutions, such as the customer's business, should follow the principle of honesty and trustworthiness, and comply with the terms of the contract.

    Article IV financing guarantee company does business according to law, are not subject to any interference by any authorities, units and individual.

    Article credit guarantee companies operating, shall comply with laws and regulations and these regulations and must not harm national interests and public interests.

    Financing guarantee company to client confidentiality, shall make use of information provided by the customer to engage in any activity that has nothing to do with guaranteed business or jeopardize the interests of the customer.

    Article the financing guarantee operating companies should adhere to the principle of fair competition, not to engage in unfair competition. Article credit guarantee company by provinces, autonomous regions and municipalities to implement territorial management.

    The provinces, autonomous regions and municipalities to determine financing guarantee the regulator is in charge of the area's entry, exit, daily supervision and risk management, and establishing the financing guarantee business to the State supervision the Inter-Ministerial Joint Conference report.

    Chapter II establishment, modification and termination

    Article eighth setting up credit guarantee companies and their branches shall be subject to review and approval by regulators.

    Approved establishment of a credit guarantee company and its branches, issuing business licenses by regulators, and pursuant to the license applied to the industrial and commercial administrative departments to register.

    Without regulatory approval, no units or individuals shall carry on financing guarantee business, shall not be used in a name the financing guarantee, except as otherwise provided in laws and administrative regulations.

    Nineth setting up credit guarantee companies, subject to the following conditions:

    (A) is consistent with the People's Republic of China Act regulations.

    (B) with sustained investment ability of shareholders.

    (C) in accordance with the registered capital as provided herein.

    (D) meet the qualifications for directors, supervisors and senior managers and qualified employees.

    (E) a sound organizational structure, internal control and risk management systems.

    (F) meet the requirements of the business premises.

    (VII) other prudent requirements as stipulated by the regulators.

    Directors, supervisors and senior management staff in China and qualification measures for the administration of the financing guarantee business supervision of the Inter-Ministerial Joint Conference separately.

    Article tenth regulators according to the situation on the ground financing guarantee minimum amount of the registered capital of the company, but shall not be less than 5 million Yuan.

    Registered capital paid-up capital.

    11th article establishment of a credit guarantee company, regulators should be submitted the following documents and information: (A) the application.

    Shall set forth the proposed financing guarantee company name, domicile, registered capital and business matters.

    (B) feasibility study.

    (C) of the draft statute.

    (D) the register of shareholders and capital contribution and ownership structure.

    (E) the shareholders certificate of capital verification and a registered capital of 5% more than shareholders of credit and related information.

    (F) the proposed directors, supervisors and senior management personnel qualifications.

    (VII) business development strategies and plans.

    (H) place of evidence.

    (IX) other documents and information required by the regulators.

    12th credit guarantee companies have one of the following changes, shall be subject to regulatory review and approval:

    (A) changing the name.

    (B) the change of organization.

    (C) change of its registered capital.

    (D) changes the company's domicile.

    (E) change of business scope.

    (F) change of Directors, supervisors and senior management staff.

    (G) changing 5% more of the equity interest of shareholders.

    (H) the Division or merger.

    (I) revision of articles.

    (10) other regulatory changes.

    Financing guarantee company changed matter relates to registration of companies, after they have been examined and approved by regulatory authorities, in accordance with the regulations applying to the administrative departments for industry and Commerce for registration of change.

    13th financial guarantee companies across provinces, autonomous regions and municipalities to set up branches, seat of the financing guarantee company shall obtain the consent of the supervisory Department, and plans to establish a branch local regulatory authorities for review and approval.

    14th credit guarantee company Division or merger or a prescribed in the articles of dissolution dissolution is required, shall be subject to review and approval by regulators and approval documents to the Administrative Department for industry and Commerce apply for cancellation of registration. 15th financial guarantee companies a significant illegal business, it did not seriously harm the market order, injurious to the public interest, be revoked by the regulators.

    Except as otherwise provided in laws and administrative regulations. 16th financing guarantee is dissolved or revoked, it shall set up a group to liquidate, in accordance with the debt repayment plan the timely repayment of the debt.

    Regulators overseeing the liquidation process.

    Warranties prior to the termination, shareholders of company's property shall be distributed or get any benefits from the company.

    Article 17th financing guarantee companies unable to repay debts and assets are insufficient to pay off the debt or the apparent lack of liquidity, should bankruptcy according to law.

    Chapter III business scope

    18th financial guarantee company approved by the regulators, may have the following part or all of the financing guarantee business:

    (A) the loan guarantees.

    (B) Bills guarantee.

    (C) trade finance guarantees.

    (D) project financing guarantees.

    (E) credit guarantee.

    (Vi) other financing guarantee business.

    Article 19th financing guarantee company approved by the regulator, you can run some or all of the following business:

    (A) action to preserve the encumbered.

    (B) tender guarantees, advance payment guarantees, project performance guarantee, performance guarantee payments paid as promised guarantees business.

    (C) financed with secured business consultancy, financial advisory intermediary services.

    (D) to its own funds for investment.

    (E) other regulatory operations.

    Article 20th financing guarantee company for other financing guarantee the liability of the company to provide security, and bond guarantee business, but should also meet the following conditions:

    (A) no illegal or irregular record in nearly two years.

    (B) other prudent requirements as stipulated by the regulators.

    Guarantees the financing guarantee business outside the company meets the conditions laid down in the preceding paragraph, shall not be less than RMB 100 million yuan of registered capital and business for two years in a row.

    21st financial guarantee company shall not engage in the following activities:

    (A) deposit.

    (B) loans.

    (C) Trustees lending.

    (D) the trustee investment.

    (E) the authorities may engage in other activities.

    Credit guarantee companies engaged in illegal fund-raising activities by the relevant departments shall be investigated and prosecuted.

    The fourth chapter operating rules and risk control

    22nd financing guarantee company shall establish a sound corporate governance structure, improve the rules of procedure, decision-making procedures and internal audit system, to maintain the effectiveness of corporate governance.

    Across provinces, autonomous regions and municipalities to set up branches of the credit guarantee companies, shall have two or more independent directors.

    23rd credit guarantee company guarantees should be established in line with the prudent business principles assessment system, decision-making procedures, recovery and disposal systems, risks, early warning mechanisms and emergency response mechanisms, and strict standards of business operation, to strengthen the guarantee project risk assessment and management.

    24th financing guarantee company shall be equipped with, or employ economic, financial, legal, technical and other aspects of professionals with relevant qualifications. Across provinces, autonomous regions and municipalities to set up branches of the financing guarantee company shall establish a Chief Compliance Officer and Chief Risk Officer.

    Chief Compliance Officer, Chief Risk Officer should be a lawyer or a certified public accountant and other related qualifications, and experience in financing guarantee or financial staff.

    25th financing guarantee company shall, in accordance with the financial rules and accounting standards and other requirements, establish financial accounting system to record and reflect the company's true financial condition, results of operation and cash flows.
Article 26th financing guarantee guarantee fee charged by the company, according to guarantee the project's level of risk from financing guarantee company determined in consultation with the sponsor independent, but must not violate the relevant provisions of the State.

    27th credit guarantee companies for the financing provided by a single principal amount of guarantee liability shall not exceed the net assets of 10%, individual financing guarantee provided by the sponsor and its affiliates liability balance may not exceed 15% of net assets, an individual surety bonds provide guarantee liability balance of net assets shall not exceed 30%.

    28th financial guarantee companies financing guarantee liability balance shall not be more than 10 times times its net worth.

    29th financial guarantee company with its own capital investment limited to government bonds, financial bonds and large debt financing instruments, such as higher credit rating of the fixed-income financial products, and there is no conflict of interest and not more than the total net assets of 20% other investments.

    30th financial guarantee companies or for its parent company or subsidiaries providing financing guarantees. 31st financing guarantee company shall, in accordance with the year Dan extraction reserve for unearned premium income of 50% and not less than at the end of that year warranty guarantee compensation reserve balances the proportion of 1% extraction. Today guarantee compensation reserve the same year guarantee liability balance 10% and extract the difference.

    Difference between extraction methods and guarantee compensation reserve management measures shall be formulated separately by the regulators.

    Regulators can credit guarantee company liability risk and prudential supervision needs, propose raising compensation reserve ratio requirements.

    Financing guarantee company shall guarantee the implementation of risk management, accurate measurement of liability risks.

    32nd financial guarantee companies business relations with creditors shall, in accordance with the principle of consensus, and expressly agreed to assume security responsibility in the contract.

    33rd financial guarantee companies for financing guarantee business, shall, together with the guarantor agreed during the warranty period may be continued to obtain the relevant information and the right to verify the relevant information.

    34th financial guarantee companies and creditors should establish warranty period the principal information exchange mechanism, to strengthen the credit counselling and supervision of the guarantor, jointly safeguard the legitimate rights and interests of both sides.

    35th financial guarantee company shall, in accordance with regulatory requirements, corporate governance, financial reporting, risk management, capital structure and application, guarantee general information notifies the appropriate creditors.

    Supervision and administration of the fifth chapter

    Article 36th regulators shall establish and improve credit guarantee company information collection, collation, statistical analysis system and regulatory points system, continued monitoring of the business and risk profile, and completed by the end of June each year the regulatory agency overview the financing guarantee on the company annual report.

    37th financing guarantee company shall, in accordance with the provisions of article submission to regulators in a timely manner management reports, financial reports, compliance reports and other documents and information.

    Financing guarantee submitted to regulators by the various types of documents and information shall be true, accurate and complete.

    Article 38th credit guarantee companies shall report quarterly to the regulators of capital usage.

    Needs of the regulators should be based on prudential supervision, timely financing guarantee quality of the company's capital and capital adequacy requirements.

    39th regulators under the regulatory needs, right to request financing guarantee company to provide special information or make an appointment with its directors, supervisors and senior management staff to monitor the conversation, requirements relating to explain or make the necessary corrective action.

    Regulators deemed necessary, can inform the creditors control the financing guarantee by the company's violations or risk situation.

    40th regulators under the regulatory needs, you can make on-site inspections of credit guarantee companies, financing guarantee company shall cooperate, in accordance with regulatory requirements to provide related documents and materials.

    On-site inspection, inspectors shall be not less than 2, and provide financial guarantee company to produce letters and related documents.

    41st financial guarantee company security fraud, 5% per cent of the compensation amounts may reach its net assets or investment losses, as well as the directors, supervisors and senior managers involved in serious illegal or irregular events, such as, should take immediate emergency measures and report to regulators.

    42nd financing guarantee company shall promptly report to the regulator General or important resolutions of the shareholders ' meeting, Board of Directors meeting.

    Article 43rd financing guarantee company shall retain the social intermediary agencies to conduct annual audits and audit reports submitted to regulators in a timely manner.

    44th regulators shall, jointly with relevant departments to establish credit guarantee industry emergency identification, reporting and disposal system, develop financing guarantee business emergency preparedness, explicitly dispose of bodies and their responsibilities, measures and procedures, timely and effective disposition of financing guarantee business emergencies.

    Article 45th regulatory jurisdiction should be the end of each year a comprehensive analysis to assess the financing guarantee business development and regulatory conditions, and before the end of February in each year to the financing guarantee business supervision the Inter-Ministerial Joint Conference and the provinces, autonomous regions and municipalities reported the area the previous year financing guarantee industry developments and regulatory situations.

    Regulators should be financing guarantee business regulation in a timely manner the Inter-Ministerial Joint Conference and the provinces, autonomous regions and municipalities reported significant risk financing guarantee business in their respective jurisdictions and disposals.

    46th financing guarantee industry self-regulation organization, autonomy, human rights defenders, services performed such duties.

    National credit guarantee industry self-regulatory organizations regulated by the financing guarantee business the Inter-Ministerial Joint Conference for guidance.

    47th credit management financing guarantee company information should be included in the credit management system, and provide services for financing guarantee company-related information.

    The sixth chapter legal liability

    48th regulator engaged in supervision and management work of any of the following circumstances shall be given administrative sanctions constitutes a crime, criminal responsibility shall be investigated in accordance with law:

    (A) violations of the approval of the financing guarantee company establishment, modification, termination, as well as the scope of business.

    (B) conducting on-site inspections in violation of regulations on the financing of the guarantee company.

    (C) these measures are not in accordance with the article 45th report major risk events and disposals.

    (D) other acts in violation of laws and regulations and these rules.

    49th finance guarantee company in violation of laws and regulations and these rules, provisions of relevant laws, regulations, penalties, penalties in accordance with its provisions; not punishment stipulated by relevant laws and regulations, the regulatory authority shall order correction can be given a warning, a fine constitutes a crime, criminal responsibility shall be investigated according to law.

    50th article violates eighth paragraph these measures, financing guarantee business of operating without authorization, shall be banned and punished by the relevant authorities or settle with the financing guarantee in the name of, the regulatory authority shall order correction, shall be punished according to law.

    The seventh chapter by-laws

    51st a credit guarantee institutions outside the Corporation is engaged in financing guarantee business in accordance with the measures of the relevant provisions, specific implementation measures shall be formulated separately by the people's Governments of provinces, autonomous regions and municipalities, and reported to the financing guarantee business supervision the Inter-Ministerial Joint Conference record.

    These measures shall apply to foreign-invested investment financing guarantee, otherwise stipulated by laws, administrative regulations, in accordance with its provisions.

    Financing guarantee agency management measures for the provinces, autonomous regions and municipalities shall be formulated and financing guarantee business supervision the Inter-Ministerial Joint Conference for the record.

    52nd Governments of provinces, autonomous regions and municipalities according to the regulations, formulate rules for its implementation and financing guarantee business monitoring the Inter-Ministerial Joint Conference record. 53rd before the implementation of these measures has been the financing guarantee company does not comply with the established rules, should meet the requirements of these rules before March 31, 2011.

    Concrete specification reorganization plan, formulated by the people's Governments of provinces, autonomous regions and municipalities. 54th these measures come into force on the date of promulgation.