Circular of the Ministry of Civil Affairs on Seeking Public Comments on the Interim Administrative Measures for Investment Activities of Charities to Maintain and Increase the Value of Property (Draft for Comment)

Circular of the Ministry of Civil Affairs on Seeking Public Comments on the Interim Administrative Measures for Investment Activities of Charities to Maintain and Increase the Value of Property (Draft for Comment)

Circular of the Ministry of Civil Affairs on Seeking Public Comments on the Interim Administrative Measures for Investment Activities of Charities to Maintain and Increase the Value of Property (Draft for Comment)

December 7, 2017

To promote the sustainable and healthy development of charitable organizations and put into place relevant requirements stated in the Charity Law of the People's Republic of China, the Ministry of Civil Affairs has drawn lessens from practices, conducted in-depth investigations and researches, listened to extensive opinions, and performed repeated studies and discussions, before drafting the Interim Administrative Measures for Investment Activities of Charities to Maintain and Increase the Value of Property (Draft for Comment) (hereinafter referred to as the "Draft for Comment"). For the purpose of extensively listening to opinions of the general public and further improving the quality of legislation, the Draft for Comment, together with instructions therefor, is hereby promulgated in full text for public consultation. Relevant entities and people from all walks of life may give their opinions in any of the following ways.

1. Please offer opinions by logging onto the official website of the Legislative Affairs Office of the State Council (http://www.chinalaw.gov.cn) and clicking on the "System for Soliciting Opinions on Draft Regulations and Rules" Section on the left side of the Homepage.

2. Please offer opinions by sending an e-mail to the zcfgs@mca.gov.cn.

3. Please offer opinions by posting correspondence to the Policy and Regulations Department, Ministry of Civil Affairs at No.147 Beiheyan Street, Dongcheng District, Beijing, 100721, and write "opinions solicited on the Interim Administrative Measures for Investment Activities of Charities to Maintain and Increase the Value of Property" on the envelope.

The public consultation will last until January 6, 2017.

Interim Administrative Measures for Investment Activities of Charities to Maintain and Increase the Value of Property (Draft for Comment)

Article 1 For the purpose of regulating investment activities of charities to maintain and increase the value of property, avoiding risks in employing charitable property, and bolstering the sustainable and healthy development of charities, these Measures are formulated in accordance with the Charity Law of the People's Republic of China (hereinafter referred to as the "Charity Law") and other applicable laws and regulations.

Article 2 Investment activities carried out by charities that are legally registered at and recognized by departments of civil affairs of the people's governments at and above the county level (hereinafter referred to as the "departments of civil affairs") shall be governed by these Measures.

Article 3 To maintain and increase the value of property, charities shall make investment under the principle of legality, security and effectiveness. Profits made from the investment shall all be used for charitable purposes.

Article 4 Charities shall not make investment with the property granted by the government and the donated property which must not be used for investment purposes under the donation agreement.
The property that could be used by charitable organizations for investment is only limited to the non-restrictive assets and the restrictive assets that temporarily may not be allocated during the investment.
  ......
Please consent to the LexisNexis Terms and Conditions and Privacy Policy.