| China: Integrity Scorecard Report > Sub-Category: State-Owned Enterprises | ||
| Indicators | Score | |
| 64 | In law, is there an agency or equivalent mechanism overseeing state-owned companies? | 100 |
| 65 | Is the agency or equivalent mechanism overseeing state-owned companies effective? | 55 |
| 66 | Can citizens access the financial records of state-owned companies? | 25 |
Indicator and sub-Indicator Details
| 64 | In law, is there an agency or equivalent mechanism overseeing state-owned companies? | |||||||
| 64: In law, is there an agency or equivalent mechanism overseeing state-owned companies? | ||||||||
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Comments: References: State-Owned Assets Supervision and Administration Commission, established by the State Council
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| 65 | Is the agency or equivalent mechanism overseeing state-owned companies effective? | |||||||
| 65a: In law, the agency or equivalent mechanism overseeing state-owned companies is protected from political interference. | ||||||||
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Comments: References: State-Owned Assets Supervision and Administration Commission, established by the State Council
Peer Review Comments: All public agencies and government organs are under the leadership of the CPC.
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| 65b: In practice, the agency or equivalent mechanism overseeing state-owned companies has a professional, full-time staff. | ||||||||
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Comments: References: 1) "One New Rule of Asset Evaluation" China Business, Nov. 7, 2006 [ LINK ] 2): "A Survey Report on Tsingtao State-Owned Assets Supervision Work" Tsingtao State-owned assets supervision commission official website, April 12, 2007 [ LINK ]
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| 65c: In practice, the agency or equivalent mechanism overseeing state-owned companies receives regular funding. | ||||||||
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Comments: References: 1) "One New Rule of Asset Evaluation" China Business, Nov. 7, 2006 [ LINK ] 2): "A Survey Report on Tsingtao State-Owned Assets Supervision Work" Tsingtao State-owned assets supervision commission official website, April 12, 2007 [ LINK ]
Peer Review Comments: There are no reports of any problems regarding the regular funding the agency receives from the government.
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| 65d: In practice, when necessary, the agency or equivalent mechanism overseeing state-owned companies independently initiates investigations. | ||||||||
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Comments: References: 1): "State-owned Assets Supervision Commission Starts Investigation on The Income of State-Owned Enterprises" China News, May 14 [ LINK ] 2): "Several Government Agencies Investigate State-Owned Assets in Other Countries" People's Daily, July 25, 2007 [ LINK ]
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| 65e: In practice, when necessary, the agency or equivalent mechanism overseeing state-owned companies imposes penalties on offenders. | ||||||||
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Comments: References: 1): Zhou Jianchu "Can The Decree of State-Owned Assets Supervision Commission Discipline the Behavior of State-Owned Enterprises" Financial Times, Aug. 3, 2007 [ LINK ] 2): "State-Owned Assets Supervision Punishes Two State-Owned Enterprises" The Beijing News, Aug. 3 [ LINK ]
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| 66 | Can citizens access the financial records of state-owned companies? | |||||||
| 66a: In law, citizens can access the financial records of state-owned companies. | ||||||||
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Comments: But the financial records of publicly listed state-owned companies, according to the law, must be accessible. References: There are no such laws.
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| 66b: In practice, the financial records of state-owned companies are regularly updated. | ||||||||
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Comments: References: 1):Wang Bihong "Discussion about Auditing and Supervision of State-owned Enterprises in System Reform" The Theory and Practice of Finance and Economics No 3, 2005 [ LINK ]
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| 66c: In practice, the financial records of state-owned companies are audited according to international accounting standards. | ||||||||
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Comments: References: 1): Wang Mingyan "Why the Auditing Work of State-Owned Enterprises Cannot avoid Self-Supervision" The First Financial and Economic Times, July 12, 2007 [ LINK ] 2): Tian Xiaoxia, Shi Zheng and Zhang Yanfeng "Some Discussions on CPA Auditing State-Owned Enterprises" China Economist No 4, 2006 [ LINK ]
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| 66d: In practice, citizens can access the financial records of state-owned companies within a reasonable time period. | ||||||||
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Comments: The financial records of state-owned enterprises are only reported to very few government agencies. The public has no access, except for the basic requirements for publicly listed firms. References: 1): Wang Mingyan "Why the Auditing Work of State-Owned Enterprises Cannot avoid Self-Supervision" The First Financial and Economic Times, July 12, 2007 [ LINK ] 2): Tian Xiaoxia, Shi Zheng and Zhang Yanfeng "Some Discussions on CPA Auditing State-Owned Enterprises" China Economist No 4, 2006 [ LINK ]
Peer Review Comments: The public has no access.
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| 66e: In practice, citizens can access the financial records of state-owned companies at a reasonable cost. | ||||||||
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Comments: References: 1): Wang Mingyan "Why the Auditing Work of State-Owned Enterprises Cannot avoid Self-Supervision" The First Financial and Economic Times, July 12, 2007 [ LINK ] 2): Tian Xiaoxia, Shi Zheng and Zhang Yanfeng "Some Discussions on CPA Auditing State-Owned Enterprises" China Economist No 4, 2006 [ LINK ]
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