Relevant departments of the Party Central Committee, all ministries and commissions of the State Council and their directly affiliated institutions, the General Office of the Standing Committee of the National People's Congress, the General Office of the National Committee of the Chinese People's Political Consultative Conference, the Supreme People's Court, the Supreme People's Procuratorate, relevant people’s organizations, relevant central enterprises, and the Finance Bureau of the Xinjiang Production and Construction Corps:

The “Interim Measures for the Management of the Use of State-owned Assets in Central-Level Public Institutions” (Caijiao [2009] No. 192, hereinafter referred to as the “Measures”) came into effect on September 1 of this year. In response to new issues arising during implementation, we hereby issue the following supplementary notice regarding relevant matters:

I. Handling of Approval Matters Before and After the Implementation of the Measures

Before the issuance of these Measures, central-level institutions that have engaged in overseas investments, leasing, or lending activities without prior approval will no longer be subject to retrospective review. Central-level institutions shall report to their competent authorities for review and confirmation details including the timing and duration of such activities, sources of funding, asset status, signed contracts, minutes of meetings of the institution’s leadership office, reasons for failing to obtain prior approval, and income generated from these activities. The competent authorities shall strengthen management, conduct thorough reviews, and formally submit the results of their review and confirmation to the Ministry of Finance in the form of a ministry-issued document for record-keeping purposes. For matters involving legal disputes, the institutions shall submit the relevant documentation only after the legal disputes have been resolved.

After the issuance of these Measures, if a unit fails to obtain approval as required, the competent authority will categorically refuse to accept its application and will urge the central-level institution to make corrections within a specified time limit. At the same time, the institution’s eligibility to apply for asset-use approvals for the following year will be revoked accordingly.

II. Issues Regarding the Approval Procedures for Short-Term Leasing and Lending of Assets

For asset leasing or lending activities within six months (including six months), the competent authority authorized by the Ministry of Finance shall handle the approval. The competent authority shall, within 15 working days from the date of issuing its approval, submit three copies of the approval document to the Ministry of Finance for record-keeping. After receiving the approval document from the competent authority, central-level public institutions shall submit a copy thereof to the local Office of Financial Inspectors for record-keeping.

The competent authorities should further strengthen their management of the use of state-owned assets by their affiliated institutions. They should, in light of their own specific circumstances, formulate relevant regulations to enhance the management of state-owned asset usage within these institutions and ensure that the affiliated institutions strictly follow the relevant provisions of the "Measures" and duly carry out the approval procedures for matters related to the use of state-owned assets.

Ministry of Finance

December 29, 2009