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SAC: Forbid employees of state-owned enterprise to investment associated enterprises





Supervision and Administration Commission for State-owned Assets of State Council released “Advice on standardizing employees of state-owned enterprise holding shares and investing (for advice)” on June 18 to prohibit workers from state-owned enterprise investing the associated enterprises with the business relationship in order to prevent misconduct ion by the employees Holding, transfer of state-owned enterprises invested enterprises interests.


The advice clear that workers from state-owned enterprise shall not directly or indirectly investment to provide fuel, raw materials, auxiliary materials, equipment and accessories and the provision of design, construction, maintenance, product sales, and intermediary services to enterprise and investment enterprise with similar business and other related business enterprises.


The Advice pointed out that the middle-level management staffs who has invested such enterprises must transfer the shares within one year after the issuance of this opinion or resign and can not add investment before transferring the shares completely or resigned from the post.