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China Adopts Law Regulating Overseas NGOs
Overseas NGOs must secure approval from Chinese authorities before they can operate on the Chinese mainland
Edited by Li Nan 

(WORKERCN.CN)

Overseas NGOs must secure approval from Chinese authorities before they can operate on the Chinese mainland, according to a new law adopted by China's top legislature.

This applies whether they are planning to open permanent offices or operate temporarily, according to the law, which was adopted at the bi-monthly session of the National People's Congress (NPC) Standing Committee.

The Ministry of Public Security (MPS) and provincial police departments will be responsible for registration and regulation. Overseas NGOs operating on the mainland without approval will be punished.

Guo Linmao, an official with the Commission for Legislative Affairs of the NPC Standing Committee, told a press conference on the afternoon of April 27 that the law will not confine the activities of overseas NGOs.

There are other countries that entrust the police to supervise overseas NGOs, Guo said, adding that the police have more resources and experience of handling affairs related to foreigners, thus, will be able to provide the best service in this regard.

"We welcome overseas NGOs and our door is wide open. There is no reason to worry about this law nor the involvement of the police," he said.

Overseas NGOs will have to register with the police to set up representative offices on the mainland, according to the law, which will take effect on January 1, 2017.

Those who do not have offices on the mainland but want to temporarily operate here will have to work with their Chinese partners to file their programs with the MPS or provincial police departments.

NGOs must meet several criteria to set up offices on the mainland. For instance, they must have been legally founded outside the Chinese mainland, be able to bear civil liability independently and operate for at least two years.

Foundations and social service organizations operated by overseas NGOs, which have already registered with the civil affairs department, will be able to continue operating until the law takes effect, said Hao Yunhong, an MPS official, at the same press conference.

The police will help them with registration once they have the documents required by the new law, he said.

Under protection of law

The law stressed that the legal operation of overseas NGOs on the mainland will be protected. NGOs shall not undermine the country's unity, security or ethnic solidarity nor harm the interests of the state, public or the legal rights of citizens and other groups.

They will be banned from engaging in or sponsoring commercial and political activities or engaging in or sponsoring religious activities.

Governments at all levels will be obligated to accommodate the legal operation of overseas NGOs, providing necessary assistance and services. NGOs will enjoy preferential tax policies.

The top legislature accepted opinions from many different sides, including overseas NGOs that had programs in China, as the law went through its three readings, which began in December 2014, said Zhang Yong, deputy head of the Commission for Legislative Affairs of the NPC Standing Committee.

"There is around eight months before the law takes effect. We hope it will be long enough for NGOs to become familiar with the law and for the government to prepare and train staff," Zhang said.

Hao promised that the ministry will work out detailed protocols as soon as possible and publish manuals on its website to facilitate the registration.

Eased restrictions over previous readings

Compared with previous drafts, a number of restrictions were eased in the adopted law.

Although all NGOs founded outside the Chinese mainland are subject to the new law, exchanges and cooperation between Chinese and overseas colleges, hospitals and science and engineering research institutes will follow existing regulations.

The law also removed a provision in the original draft that limited offices on the Chinese mainland to one, and removed the five year operational limit on representative offices.

The restrictions on staff and volunteers were removed but tougher rules have been imposed on finances including the source of funding, expenses and revenue. Financial reports will be audited and published.

The draft required a permit if an overseas NGO wanted to temporarily operate on the mainland. In the adopted law this has been changed to a compulsory report with the regulator 15 days before the program begins.However, their Chinese partners must obtain approval.

The law also does not completely forbid recruitment on the mainland.

Since representative offices of overseas NGOs are not considered legal entities, it will be against the law to recruit members, unless approved by the State Council, Guo said.

"Some Chinese scientists and researchers have joined international academic societies and the country is encouraging more to do so," he said.

Proper supervision

Overseas NGOs will be supervised by police and other central and provincial government departments related to the specialty of the NGOs' programs.

The law allows the police to interview chief representatives and senior executives if they are suspected of breaking the law.

Police can also ask Chinese partners to terminate a cooperation program if it is considered to undermine state security.

NGOs will have their registration certificates withdrawn if they are found stealing state secrets, spreading rumors, sponsoring political activities or any other activity that harms state security and interests. Staff directly responsible for the offences may face police detention or criminal prosecution.

NGOs that engage in illegal activities, including anything that subverts the state or splits the nation, will be banned from operating on the mainland.

"Police will only exercise the power if the law is broken. They will also face punishment if found to be abusing their power," Guo said.

(Xinhua News Agency April 28, 2016)

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