Law of Administrative Penalty-Republic of China-2021

LawLaw Positive command of sovereign or divine. One can be ruled either by a Statute, a Statue, or a Statement. Legislation is the rule-making process by a political or religious organisation. Physics governs natural law. Logical thinking is a sign of a healthy brain function. Dharma is eternal for Sanatanis. of the People’s RepublicRepublic Res publica. Having a head of the state. Pope is the head of the Vatican City state. The people execute their power through an Elected (direct/indirect) President. Political parties sponsored their presidential candidates. Indian president is a constitutional puppet under the ruling Cabinet. In the case of the appointment of  Indian judges, presidential power is a vanishing point. of China on Administrative Penalty

Order of the President of the People’s Republic of China

No. 70

The Law of the People’s Republic of China on Administrative Penalty, adopted at the 25th Meeting of the Standing Committee of the Thirteenth National People’s Congress of the People’s Republic of China on January 22, 2021, is hereby promulgated and shall come into force on July 15, 2021. 

 Xi Jinping

President of the People’s Republic of China

January 22, 2021

Law of the People’s Republic of China on Administrative Penalty

(Adopted at the 4th Session of the Eighth National People’s Congress on March 17, 1996; amended for the first timeTime Where any expression of it occurs in any Rules, or any judgment, order or direction, and whenever the doing or not doing of anything at a certain time of the day or night or during a certain part of the day or night has an effect in law, that time is, unless it is otherwise specifically stated, held to be standard time as used in a particular country or state. (In Physics, time and Space never exist actually-“quantum entanglement”) in accordance with the Decision on Amending Some Laws adopted at the 10th Meeting of the Standing Committee of the Eleventh National People’s Congress on August 27, 2009; amended for the second time in accordance with the Decision on Amending the Judges Law of the People’s Republic of China and Other Seven Laws adopted at the 29th Meeting of the Standing Committee of the Twelfth National People’s Congress on September 1, 2017; and revised at the 25th Meeting of the Standing Committee of the Thirteenth National People’s Congress on January 22, 2021)

Contents

Chapter I General Provisions

Chapter II Types and Establishment of Administrative Penalties

Chapter III Organs Enforcing Administrative Penalties

Chapter IV JurisdictionJurisdiction Authority by which courts receive and decide cases. Limited Jurisdiction: the authority over only particular types of cases, or cases under a prescribed amount in controversy, or seeking only certain types of relief, the District Court is a court of limited jurisdiction. Original Jurisdiction: Jurisdiction of the first court to hear a case. over and Application of Administrative Penalties

Chapter V Decision on Administrative Penalties

　Section 1 General Rules

　Section 2 Summary ProcedureSummary judgment In an application for summary judgment, the claimant has to show that he has a prima facie case for summary judgment, following which the burden shifts to the defendant to show that there is a fair or reasonable probability that he has a real or bona fide defence. It will only be granted if the court is satisfied that all the defences raised by the defendant to resist the application are “wholly unsustainable”.  Leave to defend would ordinarily be granted where triable issues or questions are militating in favour of a full evaluation of the evidence and arguments. However, mere assertions by a defendant which are equivocal, or lacking in precision, or are inconsistent with undisputed contemporary documents or other statements, or are inherently improbable would not be sufficient for a court to grant leave to defend.

　Section 3 Ordinary Procedure

　Section 4 Hearing Procedure

Chapter VI Enforcement of Administrative Penalties

Chapter VII Legal Responsibilities

Chapter VIII Supplemental Provisions

Chapter I General Provisions

Article 1 This Law is enacted in accordance with the Constitution for the purposes of standardizing the establishment and enforcement of administrative penalties, guaranteeing and supervising the effective administration by administrative organs, upholding public interests, maintaining public order, and protecting the lawful rights and interests of citizens, legal persons and other organizations.

Article 2 An administrative penalty refers to the act of an administrative organ punishing a citizen, legal person, or another organization in accordance with law for violation of administrative order by reducing their rights and interests or increasing their obligations.

Article 3 The establishment and enforcement of administrative penalties shall be governed by this Law.

Article 4 An administrative penalty that should be imposed on a citizen, legal person or another organization for violation of administrative order shall be prescribed by laws, administrative regulations or government rules in accordance with this Law and enforced by an administrative organ in accordance with the procedures prescribed in this Law.

Article 5 The principles of fairness and openness shall be followed for administrative penalties.

The establishment and enforcement of administrative penalties must be based on facts and proportionate to the facts, nature, circumstances and degree of social harm of violations of law.

Provisions on the imposition of administrative penalties for violations of law must be published; and unpublished provisions shall not be taken as the basis for administrative penalties.

Article 6 In enforcing administrative penalties and rectifying violations of law, the combination of penalty and education shall be adhered to, and citizens, legal persons or other organizations shall be educated to consciously abide by law.

Article 7 Citizens, legal persons or other organizations on which an administrative penalty is imposed by an administrative organ shall have the right to make a statement and the right to defend against the penalty; and those that refuse to accept an administrative penalty shall have the right to apply for administrative reconsideration or bring an administrative lawsuit in accordance with law.

A citizen, legal person or another organization that has suffered damages due to an administrative penalty imposed by an administrative organ in violation of law shall have the right to demand compensation in accordance with law.

Article 8 A citizen, a legal person or another organization subject to an administrative penalty for a violation of law shall also assume civil liability in accordance with law if the violation of law has caused damages to others.

Where a violation of law constitutes a crimeCrime A positive or negative act in violation of penal law; an offense against the state classified either as a felony or misdemeanor. for which criminal liability shall be investigated in accordance with law, an administrative penalty shall not be imposed in place of a criminal penalty.

Chapter II Types and Establishment of Administrative Penalties

Article 9 Administrative penalties shall include the following types:

1. Warningor circulation of notice of criticism;
2. Fines, confiscation of illegal gains,or confiscation of illegal property;
3. Suspendinglicenses, lowering the qualification level, or revoking licenses;
4. Restricting productionor business operation, ordering suspension of productionor business, ordering closure of business, or restricting engagement in certain business operations;
5. Administrative detention; and
6. Other administrative penalties as prescribed by laws and administrative regulations.

Article 10 Various types of administrative penalties may be established by law.

Administrative penalties restricting personal freedom shall be established only by law.

Article 11 Administrative penalties other than the restriction of personal freedom may be established by administrative regulations.

Where administrative penalties for violation of law have been provided for in laws and specific provisions need to be formulated in administrative regulations, such provisions must be formulated within the scope of the acts subject to administrative penalties and within the types and range of such penalties as prescribed in laws.

Where a law does not prescribe administrative penalties for its violations, such penalties may be supplemented by the administrative regulations implementing the law. Where administrative penalties are to be supplemented, opinions shall be extensively solicited by hearings, demonstration meetings and other means, and written explanations shall be made to the enacting organ of the law. When administrative regulations are submitted for record, the supplementation of administrative penalties shall be explained.

Article 12 Local regulations may establish administrative penalties other than restriction of personal freedom and revocation of business licenses.

Where laws and administrative regulations have already prescribed administrative penalties on violations of law, and it is still necessary to formulate specific provisions on such penalties in local regulations, such provisions must be formulated within the scope of the acts subject to administrative penalties and within the types and range of such penalties as prescribed by laws and administrative regulations.

Where laws or administrative regulations have no provisions on administrative penalties for their violations, such penalties may be supplemented by local regulations for the implementation of the laws and administrative regulations. Where such administrative penalties are to be supplemented, opinions shall be extensively solicited by hearings, demonstration meetings and other means, and written explanations shall be made to the enacting organs of the laws and administrative regulations. When local regulations are submitted for record, the supplement of administrative penalties shall be explained.

Article 13 Specific provisions on administrative penalties may be prescribed in departmental rules of the State Council within the scope of the acts subject to administrative penalties and within the types and range of such penalties as prescribed by relevant laws and administrative regulations.

For violations of administration order on which no laws or administrative regulations have been enacted, administrative penalties such as warning, circulation of notice of criticism or certain amount of fines may be established in the departmental rules of the State Council. The limit of the fines shall be prescribed by the State Council.

Article 14 Specific provisions on administrative penalties may be prescribed in local government rules within the scope of the acts subject to administrative penalties and within the types and range of such penalties as prescribed by relevant laws and administrative regulations.

For violations of administration order on which no laws or administrative regulations have been enacted, administrative penalties such as warning, circulation of notice of criticism or a certain amount of fines may be established by local government rules. The specific amount of the fines shall be prescribed by the standing committees of the people’s congresses of provinces, autonomous regions or municipalities directly under the Central Government.

Article 15 Various departments under the State Council, people’s governments of provinces, autonomous regions and municipalities directly under the Central Government and relevant departments shall organize the assessment of the enforcement and the necessity of administrative penalties on a regular basis, and put forward suggestions on amending or repealing inappropriate provisions on matters, types of administrative penalties and the amount of fines.

Article 16 No administrative penalty shall be established in any normative document other than laws, administrative regulations or government rules.

Chapter III Organs Enforcing Administrative Penalties

Article 17 Administrative penalties shall be enforced by administrative organs with the power of imposing administrative penalties within the scope of their statutory functions and powers.

Article 18 The State promotes the establishment of a comprehensive administrative law enforcement system in urban management, market regulation, ecological environment, cultural market, transportation, emergency management, agriculture and other fields, and relatively concentrates the power of the administrative penalty.

The State Council or the people’s government of a province, autonomous region, and municipality directly under the Central Government may decide to have one administrative organ exercise the power of imposing administrative penalties of other relevant administrative organs.

The power of the administrative penalty that restricts personal freedom shall be exercised only by public security organs and other organs prescribed by law.

Article 19 An organization authorized by laws or administrative regulations to manage public affairs may enforce administrative penalties within the scope of its statutory authorization.

Article 20 In accordance with the provisions of laws, administrative regulations or government rules, an administrative organ may, within the scope of its statutory authority, entrust in writing an organization that meets the conditions prescribed in Article 21 of this Law with the enforcement of administrative penalties. An administrative organ shall not entrust the enforcement of administrative penalties to any other organization or individual.

The letter of entrustment shall specify the specific entrusted matter, competence, time limit and other matters of entrustment. The entrusting administrative organ and the entrusted organization shall announce the letter of entrustment to the public.

The entrusting administrative organ shall be responsible for supervising the enforcement of administrative penalties by the entrusted organization and assume legal responsibilities for consequences of the enforcement.

An entrusted organization shall, within the scope of entrustment, enforce administrative penalties in the name of the entrusting administrative organ; and it shall not re-entrust another organization or individual with the enforcement of administrative penalties.

Article 21 An entrusted organization must meet the following conditions:

1. It is formed in accordance with law and has the function of managing public affairs;

2. It is staffed with personnel who are familiar with relevant laws, administrative regulations and government rules and experienced in the work, and who have obtained qualifications for administrative law enforcement; and

3. 3. Ithas the means toorganize and conduct technical tests or technical appraisals where necessary.

Chapter IV Jurisdiction over and Application of Administrative Penalties

Article 22 Administrative penalties shall be under the jurisdiction of the administrative organs at the places where violations of law occur. Where there are other provisions in laws, administrative regulations or departmental rules, those provisions shall apply.

Article 23 Administrative penalties shall be under the jurisdiction of administrative organs with the power of the administrative penalty under local people’s governments at or above the county level. Where there are other provisions in laws or administrative regulations, those provisions shall apply.

Article 24 The governments of provinces, autonomous regions, and municipalities directly under the Central Government may, in light of their actual circumstances, decide to delegate the power of imposing administrative penalties of the departments of county-level people’s governments, which is urgently needed for grassroots management, to township people’s governments or their sub-district offices that are able to effectively exercise this power, and may organize the assessment of their exercise of this power on a regular basis. The decision shall be made public.

Township people’s governments or their sub-district offices that undertake the power of imposing administrative penalties shall enhance their law enforcement capacity, and enforce administrative penalties within the prescribed scope and in accordance with legal procedures.

Local people’s governments and their departments shall strengthen organization and coordination, business guidance and law enforcement supervision, establish and improve the coordination and cooperation mechanism for the administrative penalty, and perfect the appraisal and evaluation system.

Article 25 Where two or more administrative organs have jurisdiction over a same case of an administrative penalty, the case shall be under the jurisdiction of the administrative organ that first files it.

Disputes over jurisdiction shall be resolved through negotiation, and if negotiation fails, a request shall be submitted to the common administrative organ at the next higher level for designation of jurisdiction; and the common administrative organ at the next higher level may also directly designate jurisdiction.

Article 26 If necessary, an administrative organ may request assistance from other relevant organs for the enforcement of administrative penalties. A requested organ shall provide the assistance in accordance with law if the assistance matters fall within its functions.

Article 27 Where a violation of law is suspected of constituting a crime, the administrative organ handling it shall transfer the case to a judicial organ in a timely manner for investigationInvestigation Purpose of all investigation is to reveal the unvarnished truth. The constitutional courts are duty bound to ensure that the truth is revealed. of criminal liability in accordance with law. Where criminal liability does not need to be investigated or it can be exempted in accordance with law, but an administrative penalty shall be imposed, the judicial organ shall transfer the case to the relevant administrative organ in a timely manner.

Organs enforcing administrative penalties and judicial organs shall strengthen the coordination and cooperation between them, establish and improve the case transfer system, strengthen the linkage in the transfer and reception of evidential materials, and improve the case-handling information notification mechanism.

Article 28 When enforcing an administrative penalty, an administrative organ shall order the party concerned to rectify the violation of law or to do so within a prescribed time limit.

The illegal gains obtained by a party, other than those that should be returned or used for compensation in accordance with law, shall be confiscated. “Illegal gains” refers to the gains obtained from a violation of law. Where there are other provisions in laws, administrative regulations or ministerial rules concerning the calculation of illegal gains, those provisions shall apply.

Article 29 The administrative fine shall not be imposed more than once for the same violation of law by a party. Where an illegal act violates several legal provisions, with each of them imposing a fine on such act, the provision that imposes the heaviest fine shall apply.

Article 30 Where a minor under the age of 14 commits a violation of law, no administrative penalty shall be imposed on him, but his guardian shall be ordered to discipline and educate him; and where a minor who has reached the age of 14 but not the age of 18 commits a violation of law, a lighter or mitigated administrative penalty shall be imposed on him.

Article 31 Where a mental patient or an intellectually handicapped person commits a violation of law at a time when he is unable to recognize or control his own conduct, no administrative penalty shall be imposed on him, but his guardian shall be ordered to keep him under close surveillance and arrange for his medical treatment. Where an intermittent mental patient commits a violation of law when he is in a normal mental state, an administrative penalty shall be imposed on him. Where a mental patient or intellectually handicapped person who has not yet completely lost his capacity for recognizing or controlling his own conduct commits a violation of law, he may be given a lighter or mitigated administrative penalty.

Article 32 A party shall be given a lighter or mitigated administrative penalty under one of following circumstances:

1.He has taken the initiative to eliminate or reduce the harmful consequences of his violation of law;

2. He is coerced or induced by others into committing a violation of law;

3. He has taken the initiative to confess his violation of law that has not been known to an administrative organ;

4. He has performed a meritorious service in cooperation with an administrative organ in investigating violations of law; or

5.Other circumstances under which a lighter or mitigated administrative penalty shall be given according to laws, administrative regulations or government rules.

Article 33 Where a person commits a minor violation of law, rectifies it in a timely manner, and causes no harmful consequences, he shall be exempted from an administrative penalty. Where a person commits a violation of law for the first time causing slight harm, and he makes correction in a timely manner, he may be exempted from an administrative penalty.

No administrative penalty shall be imposed on a party who has sufficient evidenceEvidence All the means by which a matter of fact, the truth of which is submitted for investigation, is established or disproved. Bharatiya Sakshya (Second) Adhiniyam 2023 to prove that he has no subjective fault. Where there are other provisions in laws or administrative regulations, those provisions shall apply.

Administrative organs shall educate parties who commit violations of law, but are exempted from administrative penalties according to law.

Article 34 Administrative organs may develop the discretion benchmark for administrative penalties in accordance with law, and standardize the exercise of discretion for administrative penalties. The discretion benchmark for administrative penalties shall be made public.

Article 35 Where a person commits a violation of law that constitutes a crime and is sentenced to criminal detention or fixed-term imprisonment by a people’s court, if he has already been given the penalty of administrative detention for the same violation by an administrative organ, the term of the administrative detention shall be deducted from the term of the criminal detention or imprisonment in accordance with law.

Where a person commits a violation of law that constitutes a crime and is sentenced to a criminal fine by a people’s court, if an administrative fine has already been imposed on him by an administrative organ for the same violation, the amount of the criminal fine shall be offset by the administrative fine already imposed; if an administrative fine has not yet been imposed on the person by an administrative organ, it shall no longer be imposed.

Article 36 The administrative penalty shall not be imposed for a violation of law that has not been discovered within two years; where such violation involves the security of a citizen’s life or health, or financial security, and has harmful consequences, the aforesaid time period shall be extended to five years, except as otherwise prescribed by law.

The time period prescribed in the preceding paragraph shall be counted from the date on which the violation of law is committed; and if the violation is of a continual or continuous nature, it shall be counted from the date on which the violation is terminated.

Article 37 The enforcement of an administrative penalty shall be governed by the provisions of the laws, administrative regulations or government rules effective at the time when a violation of law occurs. However, if the laws, administrative regulations or government rules have been amended or repealed when a decision on the administrative penalty is made, and the new provisions impose a lighter penalty on the violation or no longer regard it as violation of law, the new provisions shall apply.

Article 38 An administrative penalty shall be invalid if it has no basis or if the subject enforcing it does not qualify as an administrative subject.

An administrative penalty shall be invalid if it is imposed in violation of legal procedures and constitutes a major and obvious violation of law.

Chapter V Decision on Administrative Penalties

Section 1 General Rules

Article 39 Information about an administrative penalty such as the enforcement organ, case-filing basis, enforcement procedure, and relief channels shall be made public.

Article 40 Where a citizen, legal person or another organization violates administrative order and should be given an administrative penalty according to law, the relevant administrative organ must ascertain the fact; and where the fact of violation is unclear and the evidence is insufficient, no administrative penalty shall be imposed.

Article 41An administrative organ that uses electronic monitoring equipment to collect and fix facts of violation of law in accordance with laws and administrative regulations shall undergo legal and technical reviews to ensure that the electronic monitoring equipment meets the relevant standards and is reasonably set and clearly marked, and that the locations of electronic monitoring equipment are made public.

Electronic monitoring equipment shall record facts of violation of law in an authentic, clear, complete and accurate manner. Administrative organs shall review the recorded content to see whether it satisfies the requirements; and those that are not reviewed or fail to satisfy the requirements upon review shall not be used as the evidence for an administrative penalty.

An administrative organ shall notify the party concerned of the facts of violation of law in a timely manner, and use information technology or take other measures to facilitate the party’s inquiry, statement and defense. It shall not restrict a party’s right of statement or right of defense or do so in a disguised form.

Article 42 Administrative penalties shall be enforced by law enforcement officers with the qualifications for administrative law enforcement. Except as otherwise prescribed by law, the enforcement of an administrative penalty shall be carried out by no less than two law enforcement officers.

Law enforcement officers shall enforce law in a civilized manner, and respect and protect the lawful rights and interests of the parties concerned.

Article 43 A law enforcement officer with direct interest relation or other relations to a case that may affect the impartial enforcement of law shall withdraw from the handling of the case.

A party to a case believing that a law enforcement officer has direct interest relation or other relations to the case that may affect the impartial enforcement of law shall have the right to apply for the withdrawal of the law enforcement officer from the handling of the case.

Where a party to a case applies for the withdrawal of a law enforcement officer from handling the case, the relevant administrative organ shall review the application in accordance with law, and the person in charge of the administrative organ shall make a decision thereon. Before a decision is made, the investigation of the case shall not be suspended.

Article 44 Before making a decision on an administrative penalty, an administrative organ shall notify the party concerned of the content of the administrative penalty to be imposed, and the facts, reasons, and basis thereof, as well as his rights to make a statement, defend himself, and request a hearing and other rights he enjoys according to law.

Article 45 A party to a case shall have the rights to make a statement and defend himself. An administrative organ must fully hear the party’s opinions and review the facts, reasons and evidence put forward by the party; and it shall adopt the facts, reasons and evidence put forward by the party if they are established.

An administrative organ shall not impose a heavier penalty on a party for making a statement or defending himself.

Article 46 Evidence shall include:

1.Documentary evidence;

2.Physical evidence;

3.Audio-visual materials;

4.Electronic data;

5.Witness testimony;

6.Statements of the parties;

7.Expert opinions; and

8.Survey transcripts and on-site disposition transcripts.

Evidence must be verified to be true before it can be used as the basis for determining the case facts.

Evidence obtained by illegal means shall not be used as the basis for determining case facts.

Article 47 Administrative organs shall record the whole process of an administrative penalty, including initiation, investigation and evidence collection, review, decision making, service of decision and enforcement in such forms as text, audio and video in accordance with law, and keep such records as archives.

Article 48 Decisions on administrative penalties that have certain social influence shall be made public in accordance with law.

Where a publicly announced decision on an administrative penalty is changed, revoked, or confirmed to be illegal or invalid in accordance with law, the administrative organ that has announced the decision shall withdraw the information on the decision and publicly explain the reasons for the withdrawal within three days.

Article 49 In the event of emergencies such as the outbreak of a major infectious disease, in order to control, reduce and eliminate the social harm caused by the emergencies, administrative organs shall swiftly impose a heavier punishment on those who violate the emergency response measures in accordance with law.

Article 50 An administrative organ and its staff members shall keep confidential in accordance with law the state secrets, trade secrets or personal privacy which they come to know in the enforcement of an administrative penalty.

Section 2 Summary Procedure

Article 51 A decision on an administrative penalty may be made on the spot if it involves the imposition of a fine of not more than RMB 200 yuan on a citizen or not more than RMB 3,000 yuan on a legal person or another organization, or a warning, and if the fact of violation of law is irrefutable and there is a legal basis for the decision. Where there are other provisions in laws, those provisions shall apply.

Article 52 A law enforcement officer who makes a decision on an administrative penalty on the spot shall show his law enforcement ID card to the party concerned, fill out a written decision on the administrative penalty with predetermined format and a serial number, and deliver it to the party on the spot. If the party refuses to sign his name for the receipt of the written decision on the administrative penalty, this fact shall be indicated in the written decision.

A written decision on an administrative penalty as prescribed in the preceding paragraph shall specify the violation of law committed by the party, the type of and basis for the administrative penalty, the amount of fine, the time and place of the administrative penalty, the channels and time limits for applying for administrative reconsideration or bringing an administrative lawsuit, and the name of the administrative organ imposing the penalty, and be signed by or affixed with the seal of the law enforcement officers.

A decision on an administrative penalty made by a law enforcement officer on the spot shall be reported to the administrative organ to which the law enforcement officer belongs for record.

Article 53 A decision on an administrative penalty made on the spot shall be carried out by the party in accordance with the provisions of Articles 67 to 69 of this Law.

Section 3 Ordinary Procedure

Article 54 Except for the administrative penalties that may be imposed on the spot as prescribed in Article 51 of this Law, if an administrative organ finds that a citizen, a legal person or another organization has committed an act for which an administrative penalty shall be imposed in accordance with law, it must conduct investigation in a comprehensive, objective and impartial manner and collect relevant evidence; and where necessary, it may conduct inspection in accordance with the provisions of laws and administrative regulations.

Where the standards for case-filing are met, the administrative organ shall file a case in a timely manner.

Article 55 When conducting investigation or inspection, a law enforcement officer shall show the parties or persons concerned his law enforcement ID card. A party or a person concerned shall have the right to request law enforcement officers to produce law enforcement ID cards. Where a law enforcement officer fails to produce it, a party or a person concerned shall have the right to refuse to accept the investigation or inspection.

A party or a person concerned shall truthfully answer questions and assist in the investigation or inspection, and shall not refuse or obstruct the investigation or inspection. Transcripts shall be made for the questioning or inspection.

Article 56 When collecting evidence, an administrative organ may obtain evidence through sampling; and under circumstances where the evidence may be destroyed or lost or become difficult to obtain later, the administrative organ may, with approval of the person in charge of it, first register the evidence for preservation, and make a timely decision on the disposition of the evidence within seven days, during which period the parties or persons concerned shall not destroy or transfer the evidence.

Article 57 After the conclusion of an investigation, the person in charge of an administrative organ shall examine the investigation results and make one of the following decisions in light of different circumstances:

1.To impose an administrative penalty in light of the seriousness and the specific circumstances of the case where a violation of law has indeed been committed and for which an administrative penalty should be imposed;

2. Not to impose an administrative penalty where a violation of law is minor and the administrative penalty can be exempted according to law;

3.Not to impose an administrative penalty where the facts of violation of law are not established; or

4. To transfer the case to a judicial organ where a violation of law is suspected of constituting a crime.

Before imposing an administrative penalty for a violation of law which is of a complicated or grave nature, the leading members of an administrative organ shall make a collective decision through discussion.

Article 58 Under one of the following circumstances, a decision on an administrative penalty must undergo a legal review by a person responsible for legal review of decisions on administrative penalties before it is made by the person in charge of an administrative organ; and no decision shall be made without undergoing or passing a legal review:

1. A major public interest is involved;

2. The case isdirectly related to the major rights and interests of a party or a third person and has undergone a hearing procedure;
3. The case is complicated and involves multiple legal relationsLegal relations It is established law that in the domestic or social context, there is a presumption that the parties do not intend for legal consequences to follow and hence do not intend to create legal relations, which imposes the burden of proof on the party seeking to enforce the agreement to prove that the parties did in fact intend for their arrangement to have legal consequences. A domestic arrangement in which prima facie attracts the presumption gave rise to an enforceable contract, then he must plead that the parties had the requisite intention to create legal relations, and also plead the material facts sustaining that assertion.; or
4. Other circumstances under which legal review shall be conducted as prescribed in laws andadministrativeregulations.

The staff member of an administrative organ that conducts the legal review of a decision on an administrative penalty for the first time shall pass the National Unified Legal Professional Qualification Examination and obtain the legal professional qualification.

Article 59 To impose an administrative penalty according to the provisions of Article 57 of this Law, an administrative organ shall prepare a written decision on the administrative penalty. A written decision on the administrative penalty shall specify the following particulars:

1. The name or title, and address of the party concerned;
2. The facts and evidenceof the violation of law,administrative regulations or government rules;
3. The type and basisofthe administrative penalty;
4. The manner of and time limit forcarrying outthe administrative penalty;
5. The channels and time limits for applying for administrative reconsiderationor bringing an administrative lawsuit; and
6. The title of the administrative organ that makes the decision ontheadministrative penalty and the date on which the decision is made.

A written decision on an administrative penalty must be affixed with the seal of the administrative organ that makes the decision.

Article 60 An administrative organ shall make a decision on an administrative penalty within 90 days of the date of filing a case of the administrative penalty. Where there are other provisions in laws, administrative regulations or government rules, those provisions shall apply.

Article 61 A written decision on an administrative penalty shall be delivered to a party on the spot after announcement; and where the party is absent, the administrative organ shall, within seven days, serve the written decision on the administrative penalty on the party in accordance with the relevant provisions of the Civil Procedure Law of the People’s Republic of China.

Where a party agrees and signs a confirmation letter, an administrative organ may serve the written decision on the administrative penalty on the party by fax, e-mail, or other means.

Article 62A decision on an administrative penalty shall not be made where an administrative organ and its law enforcement officers fail to notify the party of the content of the administrative penalty to be imposed, and the facts, reasons, and basis thereof in accordance with the provisions of Articles 44 and 45 of this Law, or refuse to hear the statement or defense of the party before making the decision, except where the party explicitly waives the right to make a statement or defend himself.

Section 4 Hearing Procedure

Article 63 Before making decisions on one of the following administrative penalties, an administrative organ shall notify the party concerned of his right to request a hearing, and where the party requests a hearing, the administrative organ shall organize one:

1. A relatively large fine;
2. Confiscating relatively large amount of illegal gainsor illegal property of relativelyhigh value;
3. Lowering the levelofqualification or revoking a license;
4. Orderingthesuspension of production or business, ordering the closure of business, or restricting engagement in certain business operations;
5. Other relativelyheavyadministrative penalties; or
6. Other circumstances as prescribed in laws, administrative regulations or government rules.

A party shall not bear the expenses for the hearing held by an administrative organ.

Article 64 A hearing shall be organized according to the following procedures:

1. To request a hearing, a party shall submit the request within five days after being notified by the administrative organ;
2. The administrative organ shall notify the party and persons concerned of the time and place for holding a hearing seven days beforeit is held;
3. Except forthose involvingstate secrets, trade secrets, or personal privacy that shall be kept confidential in accordance with law, a hearing shall be held in public;
4. A hearing shall be presided over by a person designated bythe administrative organ other than an investigator of the case; if the party believes that a person has a direct interest in the current case, he shall have the right to apply for the withdrawal of that person;
5. A party may participate ina hearing in person, or he may entrust one or two persons to act as his agentAgent An agent is a person employed to do any act for another or to represent another in dealings with third persons. The person for whom such act is done, or who is so represented, is called the principal. Indian Contract Act(s) in it;
6. Where a partyor his agent refuses to attenda hearing without justifiable reasons or withdraws from it without permission, it shall be deemed that he has waived the right to a hearing, and the administrative organ shall terminate the hearing;
7. Atahearing, the investigator shall state the facts of the party’s violation of law, produce evidence and offer suggestion on the administrative penalty, and the party shall defend himself and make cross-examination; and
8. Transcripts shall be made for a hearing. The transcripts shall be signed byoraffixed with the seal of the party or his agent(s) after verification thereby. Where the party or his agent refuses to sign his name or affix his seal, this fact shall be indicated in the transcripts by the presider of the hearing.

Article 65 After the conclusion of a hearing, an administrative organ shall, on the basis of the transcripts of the hearing, make a decision in accordance with the provisions of Article 57 of this Law.

Chapter VI Enforcement of Administrative Penalties

Article 66 After a decision on an administrative penalty is made in accordance with law, it shall be carried out by the party within the time limit specified in the written decision on the administrative penalty.

Where a party truly has financial difficulties and needs to postpone the payment of a fine or to make payment in installments, he may do so after applying to and obtaining approval of the administrative organ.

Article 67 Administrative organs that make decisions on fines shall be separated from the organs that collect fines.

An administrative organ making decisions on administrative penalties and its law enforcement officers shall not collect by themselves any fine other than those to be collected on the spot in accordance with the provisions of Articles 68 and 69 of this Law.

A party shall, within 15 days from the date of receipt of a written decision on an administrative penalty, pay the fine to the designated bank or through the electronic payment system. The bank shall accept the fine and turn it over directly to the state treasury.

Article 68 Where a decision on an administrative penalty is made on the spot in accordance with the provisions of Article 51 of this Law, a law enforcement officer may collect the fine on the spot under one of the following circumstances:

1. A fine of not more than 100 yuan isimposed in accordance with law; and
2. If the fine is not collected on the spot, itwill be difficult to enforce the decision afterwards.

Article 69 Where, after a decision on a fine is made by an administrative organ and its law enforcement officers in accordance with the provisions of Articles 51 and 57 of this Law, it is truly difficult for a party to pay the fine to the designated bank or through the electronic payment system in a place which is remote, on water or not easily accessible, the administrative organ and its law enforcement officers may, at the request of the party, collect the fine on the spot.

Article 70 An administrative organ and its law enforcement officers that collect a fine on the spot must issue a special receipt uniformly made by the public finance department under the State Council or the public finance department of the people’s government of a province, autonomous region, or municipality directly under the Central Government; where no special receipt uniformly made by a public finance department is issued, the party shall have the right to refuse to pay the fine.

Article 71 A fine collected by a law enforcement officer on the spot shall be turned over to an administrative organ within two days from the date on which the fine is collected; a fine collected on the spot on water shall be turned over to an administrative organ within two days from the date of landing; and the administrative organ shall turn over the fine to the designated bank within two days.

Article 72 Where a party fails to carry out a decision on an administrative penalty within the prescribed time limit, the administrative organ making the decision may adopt the following measures:

1. Imposing an additional fine at the rate of 3% of theoriginalfine on a daily basis where a fine is not paid within the prescribed time limit, but the amount of the additional fine shall not exceed the amount of the original fine that should be paid;
2. Selling by auctionor lawfully disposing ofsealed up or seized property, or debiting frozen deposits or remittance to offset the fine in accordance with law;
3. Adopting other administrative compulsory enforcement methods in accordance with law; or
4. Applying toa people’s court for compulsory enforcement in accordance with the provisions of the AdministrativeEnforcement Law of the People’s Republic of China.

Where an administrative organ approves the postponement of payment of a fine or payment of a fine in installments, the time limit for applying to the people’s court for compulsory enforcement shall be calculated from the end of the time limit for the postponement of payment of the fine or payment of the fine in installments.

Article 73 Where a party refuses to accept a decision on an administrative penalty and applies for administrative reconsideration or brings an administrative lawsuit, enforcement of the administrative penalty shall not be suspended, except as otherwise prescribed by law.

Where a party refuses to accept a decision on administrative penalty that restricts personal freedom, and applies for administrative reconsideration or brings an administrative lawsuit, he may file an application with the organ that has made the decision for a suspension of enforcement. Where the application meets the conditions prescribed in law, the enforcement shall be suspended.

Where a party applies for administrative reconsideration or brings an administrative lawsuit, an additional fine shall not be calculated during the period of administrative reconsideration or administrative lawsuit.

Article 74With the exception of the articles that shall be destroyed in accordance with law, the illegal property confiscated in accordance with law must be sold by public auction or disposed of in accordance with relevant State regulations.

Fines, confiscated illegal gains or money obtained from the auction of confiscated illegal property shall be turned over to the state treasury in full, and no administrative organ or individual shall, by any means, withhold such property or money, share it out privately, or do so in a disguised form.

Fines, confiscated illegal gains or money obtained from the auction of confiscated illegal property shall not be linked to the performance appraisal or evaluation of the administrative organ making the decision on the administrative penalty or its staff members either directly or in a disguised form. Except those that shall be returned or paid as compensation in accordance with law, no public finance department shall, by any means, give the fines collected, illegal gains confiscated, or the money obtained from the auction of confiscated illegal property back to the administrative organ that has made the decision on the administrative penalty.

Article 75 Administrative organs shall establish and improve a supervisory system for administrative penalties. People’s governments at or above the county level shall organize and carry out appraisal and evaluation of administrative law enforcement on a regular basis, strengthen the supervision over and inspection of administrative penalties, and standardize and guarantee the enforcement of administrative penalties.

Administrative organs shall accept social supervision when enforcing administrative penalties. A citizen, legal person or another organization shall have the right to file an appeal or accusation against an administrative penalty enforced by an administrative organ; and the administrative organ shall carefully examine the appeal or accusation, and take the initiative to make correction upon discovery of any error.

Chapter VII Legal Responsibilities

Article 76 Where an administrative organ imposes an administrative penalty under one of the following circumstances, it shall be ordered by an administrative organ at a higher level or a relevant organ to make correction, and the directly responsible persons in charge of it and other directly responsible persons shall be given disciplinary sanctions in accordance with law:

1. There is no statutory basis fortheadministrative penalty;
2. The typeor range ofthe administrative penalty is changed without authorization;
3. The statutory procedures fortheadministrative penalty are violated;
4. The provisions of Article 20 of this Law concerning entrustingtheenforcement of the penalty are violated; or
5. A law enforcement offer has not obtained the law enforcementID card.

An administrative organ failing to file a case that meets the standards for case-filing in a timely manner shall be dealt with in accordance with the provisions of the preceding paragraph.

Article 77 Where an administrative organ, when imposing a penalty on a party, fails to use receipts for fines or confiscation of property, or uses receipts that are not made by the statutory department, the party concerned shall have the right to refuse to accept the penalty and file an accusation against it, the illegal receipts used by it shall be confiscated and destroyed by an administrative organ at a higher level or a relevant organ, and the directly responsible persons in charge of it and other directly responsible persons shall be given disciplinary sanctions in accordance with law.

Article 78 Where an administrative organ collects fines by itself in violation of the provisions of Article 67 of this Law, or a public finance department gives the fines collected, illegal gains confiscated or auction proceeds obtained by an administrative organ back to the administrative organ in violation of the provisions of Article 74 of this Law, it shall be ordered by an administrative organ at a higher level or a relevant department to make correction, and the directly responsible persons in charge of it and other directly responsible persons shall be given disciplinary sanctions in accordance with law.

Article 79 Where an administrative organ withholds or privately shares out fines or confiscated illegal gains or property or does so in a disguised form, the fines, confiscated illegal gains or property shall be recovered by a public finance department or another relevant organ and the directly responsible persons in charge of it and other directly responsible persons shall be given disciplinary sanctions in accordance with law; where the circumstances are serious and a crime is constituted, criminal liability shall be investigated in accordance with law.

A law enforcement officer who takes advantage of his position to ask for or accept property from another person, or take into his own possession the fines collected shall be investigated for criminal liability in accordance with law if such an act constitutes a crime; or he shall be given disciplinary sanctions in accordance with law if the offense is minor and does not constitute a crime.

Article 80 Where an administrative organ uses or destroys sealed up or seized property, thereby causing losses to a party, it shall make compensation in accordance with law, and the directly responsible persons in charge of it and other directly responsible persons shall be given disciplinary sanctions in accordance with law.

Article 81 Where an administrative organ violates law in implementing inspection measures or enforcement measures, thereby causing personal or property damages to a citizen or losses to a legal person or another organization, it shall make compensation in accordance with law, and the directly responsible persons in charge of it and other directly responsible persons shall be given disciplinary sanctions in accordance with law; and where the circumstances are serious and a crime is constituted, criminal liability shall be investigated in accordance with law.

Article 82 Where an administrative organ does not transfer a case to a judicial organ for investigation of criminal liability as it should in accordance with law, but imposes an administrative penalty in place of a criminal penalty, it shall be ordered by an administrative organ at a higher level or another relevant organ to make correction, and the directly responsible persons in charge of it and other directly responsible persons shall be given disciplinary sanctions in accordance with law; and where the circumstances are serious and a crime is constituted, criminal liability shall be investigated in accordance with law.

Article 83 Where an administrative organ fails to stop and punish an illegal act that should be stopped and punished, thus causing damages to the lawful rights and interests of a citizen, a legal person or another organization, public interests, or social order, the directly responsible persons in charge of it and other directly responsible persons shall be given disciplinary sanctions in accordance with law; and where the circumstances are serious and a crime is constituted, criminal liability shall be investigated in accordance with law.

Chapter VIII Supplementary Provisions

Article 84 This Law shall apply to foreign nationals, stateless persons, and foreign organizations that commit violations of law in the territory of the People’s Republic of China and that should be given administrative penalties, except as otherwise prescribed by law.

Article 85 For the purposes of this Law, the terms “two days,” “three days,” “five days,” and “seven days” refer to working days, excluding legal holidays.

Article 86 This Law shall come into force as of July 15, 2021.