China Intensifies Punishment for Price Violations

BEIJING, August 1 (Xinhua) -- The State Development Planning Commission (SDPC) today issued a regulation on administrative punishment for price violations, in a bid to straighten out the market order and create a better environment for economic growth.

The overall price indexes in the domestic market have been declining for more than 20 months, featured by sluggish demand, an SDPC official said. He also pointed out market irregularities, including low-price dumping, price fraud, price monopoly, price discrimination, price drive-up, and other price-related violations.

Based on the Price Law, the 20-article regulation further defines the legal responsibility for price violations, and spells out in detail concrete punitive measures for businesses that do not follow government designated prices, price intervention policies, emergency price steps, or the open price practice.

The regulation highlights the importance of protecting the legal rights and interests of both consumers and businesses, and requires price law enforcement officials to strictly abide by the law and regulations.

Any law enforcement official who discloses state secrets and businesses' commercial secrets, abuses their power, trifles with his/her duty, or does wrong to serve his/her friends or relatives will be pursued for criminal liability.

The regulation also specifies the fines and punishments for various kinds of price violations, and lists various punitive measures for unauthorized fee charging.

"The new measures will play a positive role in preventing price irregularities, maintaining a good market order for fair and open competition, improving consumption and investment environment, expanding domestic demand, and promoting economic development," the SDPC official concluded.