JC Master Legal News Issue 1016

Key Takeaways for This Issue

Launch a special support program for bond financing by private enterprises, and unwaveringly uphold the sound development of the private sector.
To implement the decisions and arrangements of the CPC Central Committee and the State Council on supporting the development of private enterprises, and to fulfill the requirements set forth in the Government Work Report for improving the mechanisms that support bond financing for private enterprises, the exchange‑traded bond market has launched a special support program for private‑enterprise bond financing, aimed at stabilizing and boosting such financing.
Real Estate Sector: Deflationary Pressures Persist; the Logic of Asset Scarcity Gains Further Momentum
Since the beginning of the year, local governments have rolled out a wide array of demand‑side stimulus measures; however, their actual impact has been modest. This aligns with our earlier assessment: under the current financial framework, persistent supply‑side tightening tends to alter price expectations on the demand side, triggering a negative feedback loop.
Implement a series of phased, integrated measures under the unemployment insurance scheme to stabilize employment, enhance skills, and prevent unemployment.
In the first quarter of this year, China’s employment situation remained broadly stable, yet it continues to face numerous difficulties and challenges, making the task of ensuring stable employment both arduous and demanding. Recently, the Ministry of Human Resources and Social Security, in conjunction with the Ministry of Finance and the State Taxation Administration, jointly issued the “Notice on Effectively Implementing Unemployment Insurance Measures to Stabilize Employment, Enhance Skills, and Prevent Unemployment.”
The Supreme People’s Court and the Supreme People’s Procuratorate have issued the Provisions on Several Issues Concerning the Handling of Public Interest Litigation Cases Involving Marine Natural Resources and the Ecological Environment.
On May 11, the Supreme People’s Court and the Supreme People’s Procuratorate issued the “Provisions on Several Issues Concerning the Handling of Public Interest Litigation Cases Involving Marine Natural Resources and the Ecological Environment,” which shall take effect as of May 15, 2022.

Finance & Capital Markets
Launch a special support program for bond financing by private enterprises, and unwaveringly uphold the sound development of the private sector.
To implement the decisions and arrangements of the CPC Central Committee and the State Council on supporting the development of private enterprises, and to fulfill the requirements set forth in the Government Work Report for improving the mechanisms that support bond financing for private enterprises, the exchange‑traded bond market has launched a special support program for private‑enterprise bond financing, aimed at stabilizing and boosting such financing.
The Special Support Program for Bond Financing of Private Enterprises is implemented by China Securities Finance Corporation Ltd. using its own funds. Through collaboration with bond underwriting institutions and the creation of credit protection instruments, the program provides enhanced credit support to private enterprises that are market‑oriented, promising, technologically competitive, and aligned with national industrial policies and strategic priorities.
Recently, the first project has been successfully implemented: a special support program, in collaboration with financial institutions, provided RMB 100 million in credit enhancement for “GC Jingdian 01,” helping the company raise RMB 500 million through bond financing. “GC Jingdian 01” is a rural revitalization–focused, carbon‑neutral green corporate bond issued by the privately held listed company Jinko Solar, with proceeds earmarked primarily for rural revitalization initiatives and green, carbon‑neutral photovoltaic power‑generation projects.
Going forward, the China Securities Regulatory Commission will continue to implement the unified directives of the CPC Central Committee and the State Council, as well as the work requirements of the Financial Stability and Development Committee of the State Council, uphold the principle of “two unwavering commitments,” and further leverage the capital market’s positive role in supporting the development of private enterprises. It will also support and encourage more financial institutions to participate in the special program for bond financing by private enterprises, pool resources from all sectors, and jointly promote the sound and sustainable development of the private sector.

The China Securities Regulatory Commission has issued the “Pilot Provisions on Market-Making Trading of STAR Market Stocks by Securities Companies.”
To implement the “Opinions on Establishing the STAR Market at the Shanghai Stock Exchange and Piloting the Registration-Based System,” further advance the reform to establish the STAR Market and pilot the registration-based system, refine the trading mechanisms of the STAR Market, enhance stock liquidity, and strengthen market resilience, the China Securities Regulatory Commission has formulated and promulgated the “Pilot Provisions on Market-Making Trading of STAR Market Stocks by Securities Companies” (hereinafter referred to as the “Market-Making Provisions”).
From January 7, 2022, to February 6, 2022, the China Securities Regulatory Commission (CSRC) publicly sought comments on the “Market-Making Regulations.” Overall, stakeholders expressed support for introducing a market-making mechanism on the STAR Market and generally endorsed the key provisions of the Regulations, while also offering several suggestions and recommendations. Following careful review, the CSRC has incorporated and adopted those comments deemed reasonable.
The “Market-Making Regulations” comprise seventeen articles and primarily cover market‑maker eligibility criteria and procedures, internal controls, risk monitoring and surveillance, as well as regulatory oversight and enforcement. Following the issuance of these rules, eligible securities offices may, in accordance with the requirements, apply to the China Securities Regulatory Commission for pilot qualification to conduct market‑making trading in STAR Market stocks.
Going forward, the China Securities Regulatory Commission will guide the Shanghai Stock Exchange in formulating and issuing supporting business rules, strengthen risk monitoring and day-to-day supervision, and steadily advance the pilot program for market-making trading of STAR Market stocks.
The China Securities Association has issued a notice requiring securities offices to ensure the effective implementation of sound compensation systems.
On May 13, the Securities Association of China (hereinafter referred to as “SAC”) issued the “Guidelines on Establishing a Prudent Compensation System for Securities Offices” (hereinafter referred to as the “Guidelines”), which shall take effect from the date of their publication.
Guiding securities offices to establish sound remuneration systems is a crucial measure for laying a solid foundation for the high-quality development of the securities industry, as well as an important safeguard for promoting stable operations and sustainable growth. The Guidelines comprise 25 articles, covering general provisions, principles and objectives, formulation and implementation, basic standards, self-regulatory management, and supplementary provisions, and primarily include:
First, it sets forth the principles and objectives that securities offices should adhere to when establishing their compensation systems. A sound compensation framework should be guided by the principles of upholding a prudent operating philosophy, safeguarding compliance standards, fostering positive incentives, and enhancing the office’s long-term value. By developing and refining such a robust compensation system, the securities industry can strengthen its governance, risk management, compliance, corporate culture, and talent‑development foundations—thus laying a solid groundwork for high‑quality, sustainable growth.
Second, it clarifies the fundamental principles that securities offices’ remuneration systems must adhere to. When designing their remuneration policies, compensation levels, and performance‑evaluation frameworks, securities offices should comprehensively take into account the risk profiles and characteristics of their business lines and job roles, as well as the associated social and professional responsibilities, thereby refining their remuneration‑incentive and constraint mechanisms. By establishing a sound remuneration framework that aligns with the office’s long-term interests and is integrated with comprehensive risk and compliance management, these offices can enhance their capacity to serve the real economy and support national strategies.
Third, securities offices are required to ensure the effective implementation of sound compensation systems. They should establish clear mechanisms for decision-making, execution, and oversight of their compensation policies, put in place robust arrangements for deferred compensation and accountability, strengthen reputation risk management and employee value alignment, and enhance the effectiveness and enforceability of their compensation frameworks, thereby fostering the sustainable development of both individual offices and the industry as a whole.
During the drafting of the Guidelines, the China Securities Association conducted research, convened symposiums, and extensively sought industry input, drawing on established industry best practices and incorporating reasonable suggestions and opinions from all stakeholders, thereby forging a broad industry consensus.
The China Securities Association stated that, in the next phase, it will thoroughly interpret the requirements set forth in the Guidelines, guide securities offices to adhere to the principles, objectives, and fundamental standards outlined therein, further refine their internal systems, and strengthen their compensation‑incentive and risk‑control mechanisms, thereby contributing, through the industry’s high‑quality development, to serving the real economy and advancing national strategies.

CSRC: No approval shall be granted, in any form, for the establishment or disguised establishment of “pseudo‑gold exchanges.”
Recently, the Inter-Ministerial Joint Conference on the Rectification and Regulation of Various Trading Venues (hereinafter referred to as the Joint Conference) convened a video conference on the special rectification campaign targeting “pseudo‑gold exchanges” and on risk‑management efforts at trading venues. Fang Xinghai, Member of the CPC Committee and Vice Chairman of the China Securities Regulatory Commission, attended the meeting and delivered a speech, outlining plans to advance the special rectification of “pseudo‑gold exchanges” and setting forth requirements for the continued implementation of risk‑management measures at trading venues.
In the early stages, the Joint Conference Office, in collaboration with relevant departments and local governments, made concerted efforts, yielding positive results in the special rectification campaign targeting financial asset‑related trading venues (hereinafter referred to as “financial exchanges”). The number of such exchanges, their business scale, and the number of investors involved have all been significantly reduced; the momentum of disorderly expansion and unchecked growth has been effectively curbed, and risks have markedly receded. As the cleanup and rectification work continues to deepen, some non‑compliant or illegal wealth‑management institutions and corporate entities have shifted to registering and filing product contracts with certain “asset registration and filing” companies—so‑called “pseudo‑financial exchanges”—before publicly issuing non‑standard debt‑financing products to the public. These “pseudo‑financial exchanges,” operating without lawful authorization from the competent state authorities and in violation of national financial regulatory provisions, provide services such as registration and filing for non‑standard debt‑financing activities, thereby engaging in suspected illegal financial practices that undermine the legitimate rights and interests of investors. The associated financial risks and risks to the general public must not be overlooked.
The meeting called on all regions to implement the CPC Central Committee and the State Council’s decisions and arrangements for preventing and defusing major financial risks, strengthen their political awareness and sense of the bigger picture, fully recognize the illegality and harmfulness of entities such as “pseudo‑financial exchanges,” earnestly fulfill their local responsibilities for risk management, and reinforce efforts to address risks at their source. It is imperative to strictly control market access, refraining from approving, in any form, the establishment or the de facto establishment of “pseudo‑financial exchanges”; moreover, existing risks must be properly managed to prevent the emergence of new ones.
The meeting once again emphasized that all regions must earnestly implement the established objectives and vigorously advance market cleanup, rectification of distortions, and risk prevention at gold exchanges. Particular attention should be paid to the phenomenon of non-standard debt‑financing activities being channeled through “pseudo‑gold exchanges” and property‑rights trading venues, with timely measures taken to curb such practices. Any suspected illegal or criminal activities must be promptly referred to public security and judicial authorities for lawful investigation and prosecution.
The meeting reafofficeed the requirements for effectively managing risks at trading venues of other categories.
Officials from the relevant departments and bureaus of some member units of the joint conference, as well as leading officials in charge, deputy secretaries-general, and representatives from local financial regulatory and other local government agencies at the provincial level, along with responsible officials from the branch institutions of the State Council’s financial regulatory authorities, attended the meeting.

The Shanghai Stock Exchange has introduced the “C” designation for new shares on the STAR Market, which will be used to provide extended securities short names.
On May 13, the Shanghai Stock Exchange issued a notice introducing special designations for STAR Market stocks and depositary receipts. In response to market demand and in order to better serve market participants, the Exchange has decided that, effective May 16, 2022, newly listed companies on the STAR Market will be assigned additional special identifiers: on the first day of trading, the abbreviation will be prefixed with “N”; from the second trading day through the fifth trading day, the abbreviation will be prefixed with “C.” This measure is intended to alert investors that, from the second to the fifth trading day following a new listing, there are no daily price limits, which differs significantly from the price‑limit regime applicable from the sixth trading day onward, thereby facilitating investors’ understanding and identification, enhancing support for market participants, and improving the overall investor experience.
Recently, numerous market participants have submitted to the Shanghai Stock Exchange their views and recommendations on optimizing the securities identifiers for new shares listed on the STAR Market. The Exchange has attached great importance to these inputs and conducted a thorough review. In response to market demands, with the aim of further boosting market vitality and facilitating the participation of various market entities in trading, the Shanghai Stock Exchange has updated “Shanghai Stock Exchange Securities Trading Business Guide No. 6—Special Securities Identifiers” accordingly and hereby issues the revised version. At present, the Exchange has completed the necessary preparatory work and plans to implement the update effective May 16 of this year.
Meanwhile, to better meet market demand and enhance the quality of market services, the Shanghai Stock Exchange has decided, effective May 16, 2022, to introduce extended‑length securities short names for stocks, depositary receipts, bonds, funds, and publicly offered infrastructure real estate investment trusts (REITs) listed on the exchange. To standardize the use of these extended‑length securities short names, the Exchange has issued the “Shanghai Stock Exchange Securities Business Guide No. 7—Extended‑Length Securities Short Names” (hereinafter referred to as the “Business Guide”), which will take effect on May 16.
According to available information, an extended‑length securities short name refers to a shortened designation that uses more characters than the standard securities short name. The Business Guidelines specify that the extended‑length securities short name shall not exceed 15 Chinese characters (30 characters) in length, unless otherwise stipulated by the Shanghai Stock Exchange. Issuers shall reserve sufficient characters for configuring special securities identifiers, and fund managers shall reserve at least two characters for this purpose. To ensure conciseness, it is recommended that the user‑defined portion of the extended‑length securities short name—i.e., the part excluding the special securities identifier—be no longer than eight Chinese characters (16 characters).
The Shanghai Stock Exchange stated that listed companies shall, in light of their operational and business development needs, prudently determine extended securities short names. In principle, such extended names should be derived from the company’s full legal name as registered with the administrative authority for industry and commerce, appropriately expanded upon the basis of the standard securities short name, and aligned with the company’s principal business activities.
According to the Business Guidelines, the extended‑character securities abbreviations for corporate bonds, asset‑backed securities, and enterprise bonds may follow the format “last two digits of the year + issuer’s abbreviation + serial number,” which shall be determined at the issuer’s discretion and submitted to the Shanghai Stock Exchange for approval to establish or amend such extended‑character securities abbreviations.
The SSE further stated that, for special‑type corporate bonds, asset‑backed securities, and enterprise bonds, issuers are encouraged to include qualifiers such as “short-term,” “renewable,” “green,” “carbon‑neutral,” “exchangeable,” “rural revitalization,” “innovation and entrepreneurship,” and “relief” in the extended securities short names (e.g., **Green Corporate Bond**, **Green ABS**, **Green Enterprise Bond**) to highlight the distinctive features of each product category.

Commercial & Corporate
The People’s Bank of China and the China Banking and Insurance Regulatory Commission: Adjustment to the Floor Rate for Commercial Mortgages on First-Home Purchases
Notice of the People’s Bank of China and the China Banking and Insurance Regulatory Commission on Adjusting Relevant Issues Concerning Differentiated Housing Credit Policies
Yinfa [2022] No. 115
The Shanghai Head Office of the People’s Bank of China, all branches and business management departments, central sub-branches in provincial capital cities and sub-provincial-level cities, and all banking and insurance regulatory bureaus:
To uphold the principle that housing is for living in, not for speculation, fully implement a long-term mechanism for the real estate sector, support localities in refining their real estate policies based on local conditions, and meet both rigid and improvement‑type housing demand, thereby promoting the stable and sound development of the real estate market, and in accordance with relevant arrangements of the State Council, the following matters concerning differentiated housing credit policies are hereby notified:
I. For resident households purchasing ordinary self-occupied housing with a mortgage, the lower limit for the interest rate on first-home commercial individual housing loans is adjusted to no lower than the Loan Market Quote Rate for the corresponding term minus 20 basis points; the lower limit for the interest rate policy on second-home commercial individual housing loans shall remain in accordance with the existing regulations.
II. On the basis of the nationally unified lower limit for loan interest rates, the branches of the People’s Bank of China and the China Banking and Insurance Regulatory Commission, in accordance with the principle of “city-specific policies,” shall guide the provincial-level self-regulatory mechanisms for market-based interest rate pricing to, based on changes in the real estate market conditions within their jurisdictions and the regulatory requirements of local governments, independently determine the minimum add-on spreads for commercial individual housing loans on first- and second‑home purchases in cities under their jurisdiction.

Real Estate Sector: Deflationary Pressures Persist; the Logic of Asset Scarcity Gains Further Momentum
New RMB loans in April fell short of expectations, with household lending seeing a particularly sharp decline. Following the easing measures introduced by local governments to support demand, the latest data conoffice our assessment that policy effectiveness remains limited, and we expect conditions to remain subdued going forward. Household loans contracted by RMB 217 billion, down RMB 745.3 billion year on year. Within this, mortgage loans declined by RMB 60.5 billion, a year-on-year drop of RMB 402.2 billion—marking a new record low, surpassing the previous trough recorded in February. Since the beginning of the year, local authorities have rolled out numerous demand‑side stimulus measures, yet their impact has been muted, consistent with our earlier view: under the current financial framework, persistent supply‑side tightening tends to shift price expectations on the demand side, triggering negative feedback. Given that shadow banking continues to be largely absent and property developers—high‑risk entities—still struggle to secure corresponding funding, balance‑sheet contraction pressures persist. Consequently, any broad‑based improvement is likely to be delayed.
The acceleration in M2 growth and the decline in lending reflect a rise in monetary aggregates and a contraction in credit, further reinforcing the logic of a structural asset scarcity. M2 growth has reached 10.5%, up from March, while new loans totaled RMB 645.4 billion, an increase of RMB 823.1 billion less year on year. The current trends of rising savings and falling lending underscore a strong demand for loanable funds. We believe that, amid downward pressure on the economy, mismatches between risk and return will become a temporary phenomenon as markets await rebalancing; during this period, a structural asset shortage is likely to emerge—high‑risk assets will struggle to find suitable financing channels, while low‑risk‑seeking capital will fail to locate corresponding investment opportunities. At present, the rationale behind this structural asset scarcity has grown even stronger.
Despite the impact of the pandemic, the reduction in underlying demand remains the core issue in the market, and deflationary pressure on demand persists. While the pandemic has dampened certain segments of demand and delayed the disbursement of loans for some approved projects, the fundamental cause—judging by housing‑market absorption rates—lies in weak intrinsic demand, subdued household willingness to take on debt, and the continued prevalence of early loan repayments. Consequently, the decline in real demand is the central contradiction at present, and we believe that deflationary pressures remain unabated. We continue to favor second‑tier state‑owned enterprises, with particular upside from China Communications Construction Real Estate and Gemdale Corporation; as indicated in our earlier in-depth report, there are signs of broader sectoral contagion. Meanwhile, as accommodative monetary policy begins to translate into tangible outcomes, a structural asset scarcity is likely to emerge, prompting us to recommend Financial Street and to benefit from companies such as Sino‑Singapore Group and China National Trade Center. We also maintain our preference for first‑tier state‑owned enterprises.

The new-energy vehicle product lineup has been further expanded, and the implementation of subsidies could boost demand for new-energy vehicles.
Power Equipment and New Energy Sector: This week, the sector rose 7.87%, ranking second in performance and outpacing the broader market. The energy storage index gained 10.20%, the wind power index advanced 9.16%, the new-energy-vehicle index climbed 8.66%, the photovoltaic index increased by 8.58%, the lithium-battery index rose 7.42%, and industrial control automation posted a 5.40% gain. Meanwhile, the nuclear power index edged up 4.81%.
New Energy Vehicles: Electrification is unstoppable, with product‑driving forces continuing to strengthen. Recently, several high‑profile electric models have seen updates, including BYD Seal, Leapmotor C01, and Cadillac LYRIQ. BYD Seal: Priced at RMB 220,000–280,000, it offers a pure‑electric range of 550 km, 650 km, or 700 km. Leapmotor C01: With a pre‑sale price of RMB 180,000–270,000, it is positioned as a mid‑to‑large‑size sedan and is the world’s first mass‑produced vehicle to adopt battery‑free CTC technology. Cadillac LYRIQ: Priced at RMB 439,700, it is a mid‑to‑large‑size SUV with a pure‑electric range of 650 km and a maximum battery capacity of 95.7 kWh.
New Energy Generation: The implementation of subsidies is expected to boost demand, with the U.S. market potentially exceeding expectations. On May 11, the State Council Executive Meeting announced that, building on earlier support, an additional RMB 50 billion in renewable energy subsidies would be allocated to central power-generation enterprises. This subsidy rollout is likely to improve the balance sheets and cash flows of relevant companies, enhancing their capacity for reinvestment and facilitating the further development and deployment of large-scale wind and solar projects. In the wind power sector, Hainan Province has issued its “Hainan Wind Power Equipment Industry Development Plan (2022–2025),” aiming to establish a wind power equipment industry cluster by 2025, with the entire industrial chain generating an output value of RMB 55 billion, and striving to build a hundred-billion‑yuan‑scale cluster during the 15th Five-Year Plan period. Meanwhile, Shanghai plans to add 1.8 GW of new wind power capacity by 2025.
Industrial Control and Power Equipment: Affected by the pandemic, industrial control demand has faced short-term pressure, while grid investment under the 14th Five-Year Plan remains on a positive trajectory. The April PMI declined slightly month-on-month, and from January to March 2022, industrial robot demand demonstrated strong resilience, with medium- to long-term prospects for industrial control remaining favorable. During the first quarter, the power sector performed robustly, with year-on-year growth sustained across total electricity consumption, national installed generating capacity, power generation at large-scale power plants, and investment in grid‑related projects. Meanwhile, the share of wind and solar power—two major new energy sources—continued to rise within the overall energy mix.
Taxation TAXATATION
Implement a series of phased, integrated measures under the unemployment insurance scheme to stabilize employment, enhance skills, and prevent unemployment.
In the first quarter of this year, China’s employment situation remained broadly stable, yet it continues to face numerous difficulties and challenges, making the task of ensuring stable employment both arduous and demanding. Recently, the Ministry of Human Resources and Social Security, in conjunction with the Ministry of Finance and the State Taxation Administration, jointly issued the “Notice on Effectively Implementing Unemployment Insurance Measures to Stabilize Employment, Enhance Skills, and Prevent Unemployment” (hereinafter referred to as the “Notice”).
What are the key policies outlined in the Notice, and what benefits will they bring to businesses? On the 12th, the State Council Information Office held a regular policy briefing, inviting Vice Minister of Human Resources and Social Security Yu Jiadong and others to provide details and address public concerns.
The policy to reduce contribution rates will ease the burden on enterprises by approximately RMB 160 billion.
One of the key highlights of the Notice is the introduction of policies to reduce contribution rates and defer payment of social insurance premiums.
The reduction in contribution rates means that the policy of temporarily lowering unemployment insurance and work-related injury insurance rates will be extended for one year, with the implementation period running until April 30, 2023.
“This policy is universally applicable, covering all industries and enterprise types, with broad coverage and strong continuity, and will play a positive role in stabilizing businesses and employment,” said Zheng Wenmin, Director-General of the Social Insurance Premiums Department of the State Taxation Administration. He added that extending this policy for one year will reduce enterprises’ social insurance contribution burden by approximately RMB 160 billion.
Deferral of contributions refers to the temporary suspension of premium payments for old-age, unemployment, and work-related injury insurance in particularly hard-hit industries. Zheng Wenmin explained that this policy has four key features:
Targeted implementation. The policy applies to all enterprises in the five sectors most severely affected by the pandemic—catering, retail, tourism, civil aviation, and road, waterway, and railway transportation. The payment deferral covers the employer‑borne contributions for old‑age insurance, unemployment insurance, and work‑injury insurance.
The deferral period is relatively long. For pension insurance, contributions for the April–June 2022 period may be deferred and must be paid in full no later than the end of 2022; for unemployment insurance and work‑injury insurance, contributions for the April 2022–March 2023 period may be deferred and, in principle, must be paid in full within one month after the deferral period expires.
Taking individual circumstances into account, self-employed individuals and various flexibly employed persons who participate in the basic enterprise employee pension insurance scheme as individuals may, if they encounter difficulties in making contributions in 2022, voluntarily defer payment until the end of 2023, with their years of contribution being calculated cumulatively.
The processing is straightforward. Relevant departments shall, in accordance with the principles of convenience, speed, and avoiding any additional administrative burden on enterprises, review applications for deferred payment. Where existing information is insufficient to determine the industry classification, a notification-and-commitment system may be adopted: enterprises shall submit a written commitment specifying their industry category and assume the corresponding legal liabilities.
More than RMB 3 billion in employment‑stabilization funds has been disbursed directly to enterprises.
Unemployment insurance’s job‑retention refund is an important measure to prevent unemployment and serves as an incentive for enterprises to fulfill their social responsibility of maintaining employment.
This Notice clarifies that the unemployment insurance policy for stabilizing employment and providing refunds will continue to be implemented. Yu Jiadong explained that, taking into account changes in the environment and current needs, the policy has been optimized in two key areas.
First, prioritize small, medium, and micro enterprises. In pooled‑funding regions where the fund’s reserve period exceeds one year, increase the refund rate for these enterprises from 60% to a maximum of 90%, while streamlining the refund process. Second, promote the “no‑application‑required, automatic‑benefit” model, striving to enable businesses to receive benefits without having to make in-person visits, submit applications, or fill out forms.
“At present, most localities have completed data matching, and many provinces have already carried out the first round of disbursements, with over 3 billion yuan in employment‑stabilization funds having been directly delivered to enterprises,” said Yu Jiadong.
In addition, the Notice stipulates that a one-time subsidy for employee retention and training will be provided. According to Gui Zhen, Director-General of the Unemployment Insurance Department of the Ministry of Human Resources and Social Security, this policy may be activated if a city or county has recorded one or more medium- or high-risk areas within the current year. The beneficiaries are small, medium, and micro enterprises that have been severely affected by the pandemic and are temporarily unable to maintain normal production and operations. Six categories of market entities—including social organizations, social service agencies, and individually registered businesses that participate in insurance as units—may implement the policy by analogy.
Gradually raise the unemployment insurance benefit level to 90% of the minimum wage.
The most fundamental function of the unemployment insurance system is to provide unemployment benefits to insured unemployed individuals.
There are three main regular livelihood‑support policies: unemployment insurance benefits are paid to those who have been covered for at least one year and whose employment was interrupted not of their own volition; for older unemployed individuals whose benefit period has expired but who are less than one year from the statutory retirement age, unemployment insurance benefits continue to be paid until they reach that age; and a one‑time living allowance is provided to rural migrant workers who have been covered for at least one year.
There are two phased measures to expand coverage: unemployment benefits will be provided to unemployed individuals who have exhausted their entitlement to such benefits but remain jobless, as well as to insured unemployed persons who do not meet the eligibility criteria for unemployment insurance; and temporary living allowances will be granted to rural migrant workers who have been covered by insurance for less than one year.
“This year, the level of support will remain unchanged,” said Gui Zhen. The notice explicitly stipulates that the temporary policy of expanding coverage will be extended for another year. At the same time, routine living‑support benefits—including unemployment insurance payments, employer‑borne basic medical insurance premiums, and one‑off living allowances for unemployed rural migrant workers—will continue to be disbursed, and the unemployment insurance benefit rate will be gradually raised to 90 percent of the minimum wage standard.
In addition, the unemployment insurance fund currently maintains a substantial accumulated surplus, operates steadily overall, and is well positioned to address large-scale unemployment risks. Moving forward, we will strengthen monitoring of fund operations, accelerate provincial-level pooling, and intensify oversight to safeguard this vital safety net for the people.
“The package of policies unveiled this time is expected to unlock policy dividends totaling 450 billion yuan, further contributing to the overarching goals of serving economic and social development and supporting the ‘Six Stabilities’ and ‘Six Guarantees,’ particularly in stabilizing employment and safeguarding people’s livelihoods,” said Yu Jiadong.

Fiscal, tax, and financial policies are all being mobilized, with a robust policy “combination punch” to stabilize the economy and promote development.
To ensure the effective implementation of the large-scale value-added tax credit refund policy, the Ministry of Finance, the State Taxation Administration, and the People’s Bank of China have established a joint consultation mechanism. The three departments have adopted robust measures to work in concert, accelerating the policy’s rollout and ensuring its thorough, precise, and stable execution. On May 10, the three agencies jointly held a press conference on the VAT credit refund, providing an update on the policy’s implementation.
“Real money and tangible support” to help businesses alleviate difficulties: RMB 801.5 billion in VAT credit refunds has been credited to accounts.
According to Wang Daoshu, Deputy Director of the State Taxation Administration, from April 1 to 30 this year, a total of RMB 801.5 billion in value-added tax credit refunds was returned to the accounts of 1.452 million taxpayers nationwide. Adding this to the RMB 123.3 billion refunded under the earlier, long-standing credit refund policy that remained in effect during the first quarter, the cumulative amount of tax refunds disbursed to taxpayers from January to April reached RMB 924.8 billion, signaling that the policy measures aimed at supporting businesses and alleviating their difficulties are beginning to yield tangible results.
“Compared with tax cuts and increased government investment, the carryforward VAT refund policy delivers more direct and timely results, helping to bolster business confidence, invigorate market entities, stimulate consumption and investment, support the high-quality development of the real economy, and drive industrial transformation and upgrading as well as structural optimization,” said Jia Rong’e, Director-General of the Tax Policy Department of the Ministry of Finance, at the press conference.
The reporter learned that this year’s policy on refunding outstanding input VAT credits features three key characteristics: First, priority is given to small and micro enterprises, with the scope and intensity of the VAT credit refund policy for these businesses significantly expanded. In 2022, small and micro enterprises were designated as a top priority; all eligible entities saw relaxed eligibility criteria for incremental credit refunds, with the refund rate for incremental credits raised from 60% to 100%, and existing credit balances fully refunded in a single payment. Moreover, refund processing was expedited to ensure these enterprises receive their refunds ahead of others. Second, targeted support is provided to manufacturing and other key sectors, comprehensively addressing the issue of outstanding input VAT credits in these industries. In 2022, the policy of fully refunding incremental credits on a monthly basis—previously limited to advanced manufacturing—was extended to cover all manufacturing industries, as well as scientific research and technical services, electricity, heat, gas, and water production and supply, software and information technology services, ecological protection and environmental governance, and transportation, warehousing, and postal services, thereby resolving the outstanding credit issues across six priority sectors. Third, the pace of tax refunds has been accelerated to enable businesses to benefit sooner.
The effective implementation of “real money and tangible benefits” policies has left market entities thoroughly satisfied.
In Shenzhen, a national-level high-tech enterprise specializing in the R&D, manufacturing, sales, and service of in vitro diagnostic products recently received a substantial tax rebate. Ding Chenliu, the company’s deputy general manager, stated that for biopharmaceutical offices, R&D is paramount; continuously launching new products bolsters the company’s competitive edge. Innovative R&D requires substantial financial backing, and the government’s latest round of tax‑credit refund policies has provided a powerful impetus for corporate innovation. This sizable refund has strengthened the company’s cash flow, eased pressure on working capital, and reduced its financing costs.
Small and micro enterprises have become the primary beneficiaries, injecting new momentum into the development of key industries.
Small and micro enterprises have relatively weak risk resilience, while the manufacturing sector features high upstream–downstream linkages and strong spillover effects on the service industry and employment. They constitute the cornerstone and foundation of national development, as well as a key focus in advancing supply-side structural reform, economic transformation and upgrading, and the shift from old to new growth drivers. When market entities face funding constraints, the carryforward VAT refund—a timely lifeline—directly boosts corporate cash flow, significantly bolstering the confidence and financial strength of small and micro enterprises and the manufacturing sector.
At a press conference, Xie Wen, Director-General of the Department of Goods and Services Tax at the State Taxation Administration, announced that in April, tax refunds totaling 801.5 billion yuan had been credited to the accounts of 1.452 million taxpayers. Among them, small and micro enterprises were the primary beneficiaries: of all taxpayers who received refunds, 1.395 million were small and micro enterprises, accounting for 96.1% of the total, with refunds amounting to 418.9 billion yuan, or 52.3% of the overall total. Furthermore, six sectors—manufacturing; electricity, heat, gas, and water production and supply; transportation, warehousing, and postal services; scientific research and technical services; software and information technology services; and ecological protection and environmental governance—experienced significant benefits from both existing‑stock and incremental input‑VAT credit refunds, with a combined 522,000 taxpayers receiving 392.7 billion yuan in refunds.
In Shandong, a micro‑enterprise that manufactures solid‑wood furniture primarily exports its products to the UK and the US. Affected by the pandemic, logistics have been severely constrained, making it difficult for the company to ship its furniture across the oceans to customers, leaving its inventory piling up.
“We are a micro‑enterprise, and in April, both our incremental and existing input VAT credit were refunded in one lump sum. The funds were credited to our account on the 12th—nearly 200,000 yuan,” said Zhang Xiaoxia, the company’s finance officer. She added that this tax refund will effectively address the company’s current liquidity challenges and bolster its growth momentum.
“The new policy on refunding outstanding input VAT credits provides a one-time refund of existing credit balances to small and micro enterprises, the manufacturing sector, and five other industries, significantly boosting market confidence,” said Wang Tingting, an associate professor at the School of Economic Law of Southwest University of Political Science and Law and a researcher at the China Institute for Tax and Fiscal Rule of Law, in an interview with People’s Daily Online.
Fiscal, tax, and financial policies are working in concert, with the policy “combination punch” delivering tangible results.
It is worth noting that, to ensure the efficient implementation of the carryforward VAT refund policy, the Ministry of Finance, the State Taxation Administration, and the People’s Bank of China have established a tripartite consultation mechanism. This mechanism strengthens analysis and assessment of refund operations and addresses major challenges encountered in the process. Building on this framework, the three departments jointly issued a notice requiring local authorities to, based on their specific circumstances, establish and refine consultation mechanisms led by responsible government officials and involving finance, tax, and banking authorities. These mechanisms are designed to enhance inter‑departmental coordination, facilitate information sharing, and pool efforts to effectively secure funding for carryforward VAT refunds, accelerate the rollout of the policy, and implement measures to provide relief to small, medium, and micro enterprises as well as individual business households, thereby ensuring that the benefits of the policy are delivered promptly and directly to those in need.
At a press conference, Wang Jianfan, Director-General of the Budget Department of the Ministry of Finance, stated that, to support the value-added tax credit refund policy, the Ministry of Finance has allocated 1.2 trillion yuan in transfer payments—drawn from retained earnings of certain state-owned financial institutions and specialized agencies over recent years—to help local governments implement tax and fee reductions and address key livelihood issues. This includes 620 billion yuan earmarked for the newly introduced credit refund policy, 300 billion yuan for other tax refunds, reductions, and fee cuts, and 280 billion yuan to bolster the fiscal capacity of counties and districts. The central government has designated these special funds as direct‑allocation items and will manage them through separate disbursement channels. Of this amount, 800 billion yuan in transfer payments already included in the 2022 budget was disbursed in batches on March 21 and April 14.
To ensure the strength of fiscal spending and support the tax authorities in expediting the processing of outstanding tax refunds, the People’s Bank of China has taken proactive measures by accelerating the pace of remitting retained profits to the central government in line with the progress of refund disbursements. At the press conference, Dong Huajie, Director-General of the Treasury Department of the People’s Bank of China, stated that since 2022, a cumulative total of RMB 800 billion in retained profits has been remitted, with annual remittances expected to exceed RMB 1.1 trillion. This has laid a solid foundation for securing funds for tax refunds, directly bolstering the government’s available fiscal resources and further invigorating market entities. Meanwhile, the RMB 800 billion in retained profits already remitted is equivalent to a 0.4 percentage-point reduction in the reserve requirement ratio, which, when coordinated with other monetary policy tools, helps maintain reasonably ample liquidity.
Regarding the optimization of tax refund services, Han Guorong, Director-General of the Taxpayer Services Department of the State Taxation Administration, stated that to implement the newly‑deployed large‑scale value‑added tax credit refund policy, the Administration has rolled out 121 taxpayer‑friendly measures in three batches, thereby launching the 2022 “I Do Practical Things for Taxpayers and Payers—Spring Breeze Action 2.0” (hereinafter referred to as “Spring Breeze Action 2.0”). As a signature service brand of the tax authorities designed to benefit both taxpayers and businesses, Spring Breeze Action 2.0 has effectively ensured that publicity and guidance are precise, the user experience is warm and considerate, and access to benefits is swift and convenient.

Hunan: A “Spring Breeze” of Tax Rebates Helps Enterprises Innovate a Step Ahead
“Our company would like to express its heartfelt gratitude to the tax authorities for their efficient handling of the incremental input VAT credit refund process and for their collaborative efforts in ensuring that refund payments are credited promptly!” Recently, Li Lue, Chief Financial Officer of CRRC Zhuzhou Electric Locomotive Research Institute Co., Ltd., visited the Hunan Provincial Tax Service Bureau of the State Taxation Administration and presented a deeply appreciative letter to Liu Mingquan, Secretary of the Party Committee and Director of the bureau.
CRRC Zhuzhou Institute Co., Ltd. is located in Zhuzhou, Hunan Province—known as the “cradle of China’s electric locomotives”—and is committed to building a “Zhuzhou Intelligent Manufacturing” ecosystem across eight major industrial sectors, including rail transit, automotive electric drives, offshore engineering equipment, and intelligent rail rapid transit systems. Over the past two years, the company has maintained an average annual revenue of RMB 40 billion, generating significant economic and social benefits in terms of tax contributions and employment. To break through developmental bottlenecks and take the lead in the international market, the company regards technological innovation as the “key to success” for implementing its blue‑ocean strategy, continuously increasing R&D investment. Notably, since the beginning of this year, it has acquired substantial equipment and materials for chip research and development, enabling the company to achieve sustainable, high‑quality growth while accumulating sizable carryforward VAT credits.
Affected by the pandemic, the company’s liquidity pressures have been steadily mounting. The implementation of the large-scale value-added tax credit refund policy has come like a timely rain, empowering the enterprise to focus on developing core semiconductor technologies and overcoming critical technological bottlenecks. “The VAT credit refund is a stream of fresh capital, enabling us to allocate more resources to R&D for new products and cutting-edge technologies,” said Li Lue during a video consultation with the Tax Liaison Officer for Large Enterprises at the Shifeng District Tax Bureau of Zhuzhou City.
“Being able to smoothly process this refund of outstanding input VAT credits is thanks to the tax authorities, who have provided end-to-end, attentive services—ranging from ‘point-to-point’ policy guidance and ‘step-by-step’ operational training to ‘one-on-one’ follow-up feedback. This policy benefit has given us greater confidence and assurance in pursuing innovative development,” said Li Lue.
It is understood that, to ensure tax rebate benefits are delivered swiftly and directly to eligible taxpayers, the Hunan Provincial Tax Service Bureau has adhered to the principle of “service first,” leveraging tax‑related big data to create intelligent profiles of enterprises meeting the eligibility criteria, pre‑screen tax rebate lists, and implement targeted delivery of tax‑benefit policies. At the same time, in close collaboration with the finance department, the People’s Bank of China, and other relevant agencies, the bureau has established a dedicated “Finance‑Tax‑Bank” task force to facilitate information sharing, set up an expedited “green channel” for streamlined processing, and innovatively deployed Party member pioneer posts at key stages. These measures have accelerated every step of the application, approval, and refund processes for outstanding tax credit refunds, effectively pressing the “accelerator” for high‑tech enterprises as they strive to seize the commanding heights of intelligent manufacturing.
“We will ensure that the tax rebate and tax reduction policies are effectively publicized and fully implemented, providing high‑quality tax services to offer support and guidance, and helping enterprises advance more swiftly and steadily on the path of scientific and technological innovation,” Liu Mingquan said during his meeting with staff from CRRC Zhuzhou Locomotive Co., Ltd.

Litigation & Arbitration
The Supreme People’s Court and the Supreme People’s Procuratorate have issued the Provisions on Several Issues Concerning the Handling of Public Interest Litigation Cases Involving Marine Natural Resources and the Ecological Environment.
On May 11, the Supreme People’s Court and the Supreme People’s Procuratorate issued the “Provisions on Several Issues Concerning the Handling of Public Interest Litigation Cases Involving Marine Natural Resources and the Ecological Environment,” which shall take effect as of May 15, 2022.
It is understood that the issuance of the Judicial Interpretation on Public Interest Litigation Concerning Marine Natural Resources and the Ecological Environment represents an important measure by the Supreme People’s Court and the Supreme People’s Procuratorate to implement the decisions and arrangements of the CPC Central Committee, strengthen judicial protection of marine natural resources and the ecological environment, and proactively address public concerns. The promulgation and implementation of this judicial interpretation are of great significance for improving the legal framework for the protection of marine natural resources and the ecological environment, standardizing the application of law, and ensuring the proper handling of public interest litigation cases in these areas.
The Provisions of the Supreme People’s Court and the Supreme People’s Procuratorate on Several Issues Concerning the Handling of Public Interest Litigation Cases Involving Marine Natural Resources and the Ecological Environment were adopted at the 1858th Meeting of the Adjudication Committee of the Supreme People’s Court on December 27, 2021, and at the 93rd Meeting of the Thirteenth Session of the Procuratorial Committee of the Supreme People’s Procuratorate on March 16, 2022. They are hereby promulgated and shall enter into force as of May 15, 2022.
In order to handle public interest litigation cases involving marine natural resources and the marine ecological environment in accordance with the law, and pursuant to the Law of the People’s Republic of China on the Protection of the Marine Environment, the Civil Procedure Law of the People’s Republic of China, the Criminal Procedure Law of the People’s Republic of China, the Administrative Procedure Law of the People’s Republic of China, the Special Procedures Law on Maritime Litigation of the People’s Republic of China, and other relevant laws, this Regulation is hereby formulated in light of the actual practices of judicial and procuratorial work.
Article 1: These Provisions shall apply to civil public interest actions, criminal‑related civil public interest actions, and administrative public interest actions brought in the maritime areas specified in Article 2, Paragraph 1 of the Marine Environmental Protection Law, where the act of harm occurred, the harmful consequences arose, or preventive measures were taken, on the grounds of damage to the marine ecosystem, marine fishery resources, or marine protected areas.
Article 2: In accordance with Article 89, Paragraph 2 of the Marine Environmental Protection Law, where damage is inflicted upon the marine ecosystem, marine fishery resources, or marine protected areas, resulting in substantial losses to the State, the competent authority vested with marine environmental supervision and management powers under the Marine Environmental Protection Law shall institute a lawsuit for compensation for damages to marine natural resources and the marine ecological environment before the maritime court having jurisdiction over the matter.
Where the competent authorities bring litigation for compensation for damage to marine natural resources and the marine ecological environment in accordance with their respective functions, the People’s Procuratorate may support such litigation.
Article 3: When exercising its duties, the People’s Procuratorate, upon discovering acts that damage the marine ecosystem, marine fishery resources, or marine protected areas, may notify the competent authority vested with marine environmental supervision and management powers to institute legal proceedings in accordance with Article 2 of these Regulations. If the relevant authority nevertheless fails to initiate litigation, the People’s Procuratorate may file a civil public-interest action before the maritime court having jurisdiction over damages to marine natural resources and the marine ecological environment; such action shall be accepted by the maritime court.
Article 4: Where the destruction of marine ecosystems, marine fishery resources, or marine protected areas constitutes a criminal offense, and the competent authority exercising marine environmental supervision and administration has not separately instituted a civil action for damages to marine natural resources and the marine ecological environment, the People’s Procuratorate may, in conjunction with the filing of a criminal public prosecution, bring a related public-interest civil action, or may institute such a civil action independently.
Article 5: When, in the course of performing its duties, the People’s Procuratorate discovers that a department entrusted with supervisory and administrative responsibilities for acts that damage the marine ecosystem, marine fishery resources, or marine protected areas has either unlawfully exercised its powers or failed to act, thereby causing harm to national interests or public interests, it shall submit a prosecutorial recommendation to the relevant department, urging it to fulfill its duties in accordance with the law.
Where the relevant authorities fail to perform their duties in accordance with the law, the People’s Procuratorate shall, in accordance with the law, institute an administrative public-interest lawsuit before the maritime court at the location of the administrative agency being sued.
Article 6: These Provisions shall come into force as of May 15, 2022.

The Supreme People’s Procuratorate, in conjunction with the China Disabled Persons’ Federation, has jointly released typical cases of public-interest litigation by the procuratorial organs concerning the protection of the rights and interests of persons with disabilities.
On May 13, in the lead-up to the 32nd National Day for Assisting Persons with Disabilities, the Supreme People’s Procuratorate, in collaboration with the China Disabled Persons’ Federation, jointly released ten exemplary cases of public-interest litigation by procuratorial organs concerning the protection of the rights and interests of persons with disabilities. These cases summarize and disseminate best practices from across the country in this area, providing robust legal safeguards to uphold the equal rights of persons with disabilities and promote their all-round development.
According to reports, procuratorial organs across all provinces, autonomous regions, and municipalities directly under the central government have now achieved full coverage in handling public-interest litigation cases related to the protection of persons with disabilities’ rights. Statistics show that from November 2019 to December 2021, procuratorial organs nationwide filed and handled nearly 4,000 cases in the field of accessible environment construction. Since 2021, the scope of procuratorial public-interest litigation concerning the protection of persons with disabilities’ rights has continued to expand. The ten typical cases released this time address the protection of rights in areas such as employment, accessible environments, education, rehabilitation, social security, cultural life, and information security, placing greater emphasis on providing comprehensive judicial safeguards for the rights of persons with disabilities.
This year’s National Day for Assisting Persons with Disabilities is themed “Promoting Employment for Persons with Disabilities and Safeguarding Their Rights.” The release of these case studies likewise underscores the importance of protecting the employment rights of persons with disabilities. Among the ten typical cases, three directly address the safeguarding of such rights, including regulating the development of the blind medical massage sector, upholding the right to equal employment for persons with disabilities, ensuring safe driving for persons with disabilities, and promoting their participation in both daily life and employment. In Guangzhou, the Huangpu District People’s Procuratorate, in response to employers posting discriminatory job advertisements on online recruitment platforms, leveraged a collaborative mechanism established with the Disabled Persons’ Federation to precisely urge the relevant authorities to promptly rectify unlawful hiring practices, thereby jointly safeguarding the right to equal employment for persons with disabilities.
In recent years, the procuratorial organs have continuously deepened public-interest litigation aimed at building an accessible environment, expanding the scope of public-interest protection from physical accessibility facilities to information and service accessibility. Among the typical cases released this time, three pertain to the development of an accessible environment, primarily addressing mobility and information accessibility. The administrative public-interest litigation case brought by the People’s Procuratorate of Luodian County, Guizhou Province, to safeguard the safety of tactile paving for persons with disabilities, represents the first such lawsuit concerning tactile-paving safety. After the administrative authority failed to fully perform its duties and implement corrective measures despite pre-litigation procedures, the procuratorial organ instituted administrative public-interest litigation in accordance with the law, and a court judgment subsequently compelled the administrative agency to continue fulfilling its obligations comprehensively and in compliance with the law.
In addition, this batch of typical cases highlights the protection of the right to education for minors with disabilities of school age, the rights of persons with disabilities to rehabilitation and training, subsidies for guardians of patients with severe mental disorders, and the lawful rights and interests of persons with disabilities, including their personal information. Hu Weilie, Director of the Eighth Procuratorial Office of the Supreme People’s Procuratorate, stated that, going forward, the Supreme People’s Procuratorate will further strengthen case‑handling guidance to provide richer practical examples for continuously advancing the improvement of legislation related to the protection of the rights and interests of persons with disabilities; enhance coordination and cooperation to foster a synergistic and efficient effort to safeguard these rights; and intensify public legal education and awareness‑raising, striving to cultivate a civilized social atmosphere in which the entire society supports and assists persons with disabilities and upholds human rights.

Six departments join forces to crack down on fraudulently obtaining VAT credit refunds.
The State Taxation Administration, the Ministry of Public Security, the Supreme People’s Procuratorate, the General Administration of Customs, the People’s Bank of China, and the State Administration of Foreign Exchange recently convened in Beijing a national joint meeting to advance efforts to combat fraudulently obtained value-added tax credit refunds. The meeting noted that since the implementation of the credit refund policy, the six departments have worked in coordinated synergy, adopting a zero-tolerance approach—striking at the first sign of wrongdoing, acting early and on a small scale, and targeting precisely and with officeness—yielding initial results. From April 1 to May 10, more than 1,800 enterprises suspected of fraudulently obtaining credit refunds were placed under investigation; among them, 448 were conofficeed to have engaged in fraudulent or improper acquisition of such refunds, involving RMB 822 million in refunded taxes. Additionally, 74 cases of fraudulently obtained credit refunds have been publicly disclosed, sending a strong signal of unwavering vigilance and severe punishment for violations related to the fraudulent extraction of VAT credit refunds.
The meeting emphasized the need to recognize the grave situation and fully appreciate the urgency of rigorously cracking down on fraudulent claims for additional tax refunds. It called for sincere cooperation and joint governance, continuously enhancing coordination in this effort. Authorities must closely rely on local Party committees and governments, earnestly implement the “Guiding Opinions of Six Departments on Regularly Combating Illegal and Criminal Activities Involving Fictitious Invoicing and Tax Fraud,” and persistently deepen efforts to combat “fake enterprises,” “fake exports,” and “false declarations,” thereby steadily expanding achievements. The crackdown on fraudulent claims for additional tax refunds should be designated as the top priority in the current routine enforcement work of the six departments, with enhanced precision, accelerated pace, expanded scope, and strengthened penalties, so as to ensure the effective and proper implementation of the policy. Leadership and organizational oversight must be reinforced, with a focus on improving mechanisms for the six departments to jointly share case leads, conduct joint investigations, oversee major cases, and carry out coordinated special operations, thus forging stronger synergy. Efforts should center on gang‑type, cross‑regional, and other illegal activities—such as issuing fictitious invoices and inflating input VAT credits to fraudulently obtain additional tax refunds—while strengthening joint analysis and intelligence‑driven investigations. A zero‑tolerance approach must be adopted to resolutely suppress such offenses, establishing an overwhelming deterrent against fraudulent claims for additional tax refunds. Coordination and collaboration must be intensified, with proactive steps taken to gradually achieve regular, institutionalized data sharing among the six departments, bolstering information integration and intelligence analysis to enable end‑to‑end, integrated suppression of all stages of fraudulent tax‑refund schemes. Finally, typical cases should be publicized in a categorized and tiered manner, continuously reinforcing deterrence and warning against unlawful actors.
Xinjiang is advancing a special campaign to crack down on and address pension fraud.
On May 12, the Higher People’s Court of the Xinjiang Uygur Autonomous Region convened a video conference to convey the spirit of the national special campaign deployment and progress meetings on cracking down on and rectifying pension fraud. Baheerguli Saymati, President of the Xinjiang High People’s Court, conducted a video briefing on the region-wide special campaign to combat and address pension fraud, urging its thorough implementation.
The meeting emphasized the need to integrate targeted remediation with systemic, law-based, comprehensive, and root-cause‑oriented governance; to adopt a three-pronged approach of public education, lawful crackdowns, and rectification and standardization; and to impose strict legal penalties on fraud and other illegal activities targeting the elderly. It also called for extending governance efforts to address fraudulent practices that infringe upon the rights and interests of older adults, ensuring positive social outcomes across four dimensions: effectiveness of enforcement, effectiveness of remediation, educational impact, and institutional improvements. Furthermore, it urged in-depth legal publicity campaigns on “anti‑fraud measures for the elderly,” using typical cases to explain the law and expose the deceptive schemes and tactics employed in elder‑targeted scams, thereby minimizing opportunities for fraud and safeguarding the sound development of the elderly care sector.
The meeting called on courts across the region to devote concentrated time and effort to major cases—particularly those that have drawn strong public concern and high levels of social attention—by adopting measures such as assigning leadership oversight, assigning key professionals to handle the cases, and establishing dedicated task forces, thereby intensifying efforts to resolve these matters. The meeting emphasized the need to strictly adhere to legal and policy boundaries to ensure that every case is handled with unwavering rigor and stands up to scrutiny. For civil disputes involving fraud against elderly persons under the guise of “elderly care” that do not constitute criminal offenses, comprehensive use of administrative enforcement and civil judicial mechanisms is required to effectively safeguard the legitimate rights and interests of all parties. Furthermore, the principle of a balanced approach that combines leniency with severity in criminal policy must be earnestly implemented: for cases involving large numbers of victims, substantial economic losses, other grave consequences, or particularly adverse social impacts, resolute and stringent punishment in accordance with the law is imperative, with severe sentences imposed without hesitation where warranted.

 
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