President Jiang Zemin has called for ensuring and promoting the reform of state-owned enterprises (SOEs) by law and stressed that SOEs are the pillar of the national economy.

To increase the vitality of the SOEs and expand the controlling power of the state sector is necessary for building a socialist market economy and consolidating the socialist system, he said in Beijing on November 26.

Jiang, who is also general secretary of the Communist Party of China (CPC) Central Committee, made the remarks while presiding over a law lecture, the second in the year held by the CPC Central Committee.

The lecture was also attended by Li Ruihuan, Hu Jintao, Wei Jianxing and Li Lanqing, who are members of the Standing Committee of the CPC Central Committee Political Bureau.

The speaker, Professor Wang Weiguo of the People's University of China, offered suggestions for ensuring and promoting the SOE reform according to law.

Jiang made his speech after the lecture, saying that China has stipulated a series of laws to regulate the main body of the market, safeguard market order, strengthen macro-economic control, and improve the social security system.

He noted that these laws have greatly boosted the development of the SOEs and enabled the government to effectively manage the economy through economic, legal and administrative means.

While the law-enforcement departments have done much to crack down on economic crimes and safeguard the legal rights of SOEs, the enterprises also have upgraded their operations in accordance with law, he said.

Jiang pointed out that the laws on SOEs reform should be further improved and that various types of illegal activities detrimental to the enterprises still exist. Meanwhile, he said, some of the enterprises are not skilled at protecting their own rights and interests by legal means.

He criticized a small number of SOE managers for violating the law, making personal profit by abusing their power, and causing losses for state-owned properties.

Jiang urged top officials at all levels to take the lead in studying, utilizing and abiding by the law. This will help them improve their ability to manage according to law and to learn how to guarantee the reform of SOEs through legal means, he said. (Xinhua)