Legislation roundup: Investment guidance, insurance rules and capital markets regulation
December 17, 2013 | BY
clpstaff &clp articles &This week the State Council clarified approval rules for foreign investors. The CIRC issued a circular on the regulation of insurance companies and the CSRC reformed its rules on the offering of securities
Investment approval
State Council, List of Investment Projects Subject to Government Check and Approval (2013)
With respect to foreign-invested projects in the Foreign Investment Industrial Guidance Catalogue, check and approval is retained for large investment projects in the restricted category and for projects in the encouraged category requiring the Chinese party to have a controlling interest (including a relative controlling interest), and other projects are subject either to the check and approval system or record filing system applicable to domestically invested projects.
See the digest for more details.
Further reading
Insurance
China Insurance Regulatory Commission, Circular on Issues Relevant to the Regulation of Captive Insurance Companies
The total assets of an enterprise establishing a captive insurance company may not be less than Rmb100 billion. A captive insurance company may be established in the form of a company limited by shares or a limited liability company, and provides property insurance, short-term health insurance and short-term accidental injury insurance solely to its parent and the controlled subsidiaries.
See the digest for more details.
Further reading
Provisions for the Administration of Insurance Companies,
Capital markets
China Securities Regulatory Commission, Measures for the Administration of the Offering and Underwriting of Securities
The Measures introduce the lead underwriter discretionary placement mechanism; increase the offline placement percentages and revise the limits on the number of investors making valid quotes; revise the clawback mechanism and improve the online placement method; make the requirements in respect of information disclosure throughout the offering and underwriting process more stringent; and further strengthen regulation and ex-post accountability.
Further reading
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