(Yicai Global) Dec. 29 -- China’s Supreme People’s Court decided to rehear three major property ownership related cases yesterday, in line with the central government’s call for improving the property protection system and creating a healthy and favorable environment to encourage entrepreneurial growth, People’s Daily said in a recent editorial.
One of the three cases concern a dispute filed against Gu Chujun, former chairman or legal representative of Guangdong Kelon Electric Co., Yangzhou Kelon Electric Co. and Shunde Greencool Enterprise Development Co., on multiple charges including capital inflation, illegal information disclosure, failure to disclose important information and misappropriation. The Guangdong High People’s Court pronounced the judgment on the case on March 25, 2009, sentencing the defendant to 10 years’ imprisonment and imposing a fine.
Permanent property ownership inspires perseverance, and effective protection of property belonging to economic entities provides the foundation for sustainable and healthy socioeconomic development, the newspaper wrote. Ever since the introduction of the economic reform and the open-up policy, China has established a modern system of property rights and a legal framework for property right protection, and the public’s awareness of property protection has been continuously reinforced. However, property protection is still marred by ‘weak links’ and issues in certain areas, as manifested by instances of public officials infringing on private property rights and illegal seizure of private corporate assets by government officials.
The Central Committee of the Communist Party of China and the State Council released Opinions on Creating a Healthy Environment that Encourages Entrepreneurial Growth, Promoting Entrepreneurship and Tapping into the Full Potential of Entrepreneurs in September, calling on relevant government departments to protect entrepreneurs’ property rights, effectively solve outstanding issues in property protection, correct misjudgment of dispute cases that have caused strong public disapproval, and investigate representative property right infringement cases.
During the recent central economic work conference, the government reiterated the importance of supporting private enterprise development, effectively implementing property protection policies, and rectifying misjudgment of dispute cases that have caused strong public disapproval.
Only if local governments step up property protection system development and safeguard property rights for all types of economic organizations and citizens, will China be able to assure the public of property and wealth security, boost public confidence and create positive market expectations, the newspaper said. This will lay the groundwork for stimulating creativity and entrepreneurship among market participants.
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