Ministry of Commerce, Tentative Measures for Investigating and Handling Concentrations of Business Operators that Fail to Report in Accordance with the Law

商务部未依法申报经营者集中调查处理暂行办法

February 07, 2012 | BY

clpstaff &clp articles &

Mofcom sets out measures to curb unreported concentrations of business operators.

Clp Reference: 5000/11.12.30 Promulgated: 2011-12-30 Effective: 2012-02-01

Applicability: For the purposes of these Measures, the phrase “a concentration of business operators that fails to report in accordance with the law” means that a concentration of business operators reaches the reporting threshold specified in the Provisions on the Reporting Threshold for Concentrations of Business Operators but the business operators fail to report this to the Ministry of Commerce in advance in accordance with the PRC Anti-monopoly Law, and carry out the concentration in question nevertheless (Article 2).

Main contents: If, following the investigation, it is determined that the business operators being investigated carried out the concentration of business operators without reporting the same in accordance with the law, the Ministry of Commerce may fine them up to Rmb500,000 and order them to take the following measures to restore the state existing before the concentration of business operators:

(1) halt the carrying out of the concentration of business operators;

(2) dispose of the shares or assets within a specified period of time;

(3) transfer the business within a specified period of time; and/or

(4) take other necessary measures (Article 13).

Related legislation: PRC Anti-monopoly Law, Aug 30 2007, CLP 2007 No.8 p.28; and Provisions on the Reporting Threshold for Concentrations of Business Operators, Aug 3 2008, CLP 2008 No.7 p.115

clp reference:5000/11.12.30promulgated:2011-12-30effective:2012-02-01

This premium content is reserved for
China Law & Practice Subscribers.

  • A database of over 3,000 essential documents including key PRC legislation translated into English
  • A choice of newsletters to alert you to changes affecting your business including sector specific updates
  • Premium access to the mobile optimized site for timely analysis that guides you through China's ever-changing business environment
For enterprise-wide or corporate enquiries, please contact our experienced Sales Professionals at +44 (0)203 868 7546 or [email protected]