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Offshore Banking Business - DOC by fdjerue7eeu

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									Offshore Banking Business
The first bank to regulate the conduct offshore banking business, according to
"The People's Republic of China Foreign Exchange
Management Regulations", formulated approach.
Article The term "bank" means approved by the State
Administration of Foreign Exchange foreign exchange operations of Chinese banks
and their branches.
Article The term "offshore banking business" means a
non-resident banks absorb the funds, to serve the financial activities of non-residents.

Article IV The term "non-resident" means an overseas
(including Hong Kong, Macao and Taiwan regions) of natural persons, legal persons
(including overseas investment companies registered outside China), government
agencies, international organizations and other economic organizations, including
overseas-funded financial institutions to support organizations, but does not include
domestic institutions of foreign representative offices and offices.
Article offshore banking business currency freely convertible currencies only.
Article VI of the State Administration of Foreign Exchange and its branch offices
(hereinafter referred to as "SAFE") is banking offshore banking
regulatory authority responsible for approval of offshore banking, management,
supervision and inspection.
Article VII shall be in accordance with this approach banks operating offshore
banking, and in the light of international practices to serve customers.
Chapter offshore banking application
Article VIII banks offshore banking business, shall be approved by the State
Administration of Foreign Exchange, and within the approved scope of business
operations. Without approval are not allowed to operate or to operate over the scope
of offshore banking.
Article banks meet the following requirements can apply for offshore banking:
(A) comply with state financial laws and regulations, nearly three years, no significant
violation of laws;
(B) has the required foreign exchange assets, and the good performance of foreign
exchange business;
(C) with the corresponding quality of the practitioners of foreign exchange and
business activities in the past, no bad record. Which managers should have more than
5 years seniority in foreign exchange operations, and other practitioners should be at
least 50% in 3 years with the qualifications of foreign exchange operations;
(D) has a sound internal management rules and risk control system;
(E) has for a place to carry out offshore operations and facilities;
(F) The State Administration of Foreign Exchange requirements of other conditions.

Bank for offshore banking, foreign exchange bureau shall submit the following
documents and information:
(A) applications for offshore banking;
(B) the feasibility of offshore banking operations report;
(C) foreign exchange business license photocopy of the original;
(D) operating offshore banking regulations and risk management and internal control
systems;
(E) the last 3 years balance sheet and profit and loss account (foreign currency merge
table, the RMB and foreign currencies combined table);
(Vi) offshore banking executives and other employees in the list, resume, Foreign
Exchange Certificate issued by foreign employees;
(Vii) operating offshore banking facilities in place and briefings;
(8) State Administration of Foreign Exchange and other documents and information
requested.
Bank branches offering offshore banking, except for the above documents and
information, but also to present its head office agreed to set up offshore banking
operations of its papers, the head office issued an authorization to conduct offshore
banking and offshore banking preparation business inspection reports.
Article Bank Headquarters for operating offshore banking, for approval by the State
Administration of Foreign Exchange; bank branch for offshore banking operations,
after preliminary examination by the local foreign exchange bureau, reported to the
State Administration of Foreign Exchange for approval.
Article XII of the State Administration of Foreign Exchange Bank received
applications for offshore banking business, shall be examined, and reports from the
date of receipt of the application within 4 months to be approved. Do not meet the
conditions set up offshore banking, the bank, the State Administration of Foreign
Exchange to apply for a refund. Since the date of return, banks are not allowed within
6 months re-apply the same content.
Article XIII approved off-shore banking business from the date of approval, does not
start within 6 months of business, shall be deemed automatically terminated offshore
banking. State Administration of Foreign Exchange the right to cancel its business
offshore banking qualifications.
Article XIV banks apply to discontinue offshore banking, foreign exchange bureau
shall submit the following documents and information:
(A) suspend the application of offshore banking reports;
(B) suspended offshore banking details (including the closure of the reasons, and to
stop offshore banking, offshore banking, credit and debt after the clean-up measures,
steps);
(C) The State Administration of Foreign Exchange and other documents and
information requested.
Bank branches closed down offshore banking, except for the above documents and
information, should also agree to submit their head office close down offshore
banking documents.
The State Administration of Foreign Exchange before the 15th bank closure of
offshore banking application, shall from the date of receipt of the application within 4
months to be approved. Bank by the State Administration of Foreign Exchange for
examination and approval before they can close down the offshore banking business.
Article XVI banks can apply for the following part or all of the offshore banking:
(A) foreign exchange deposits;
(B) foreign exchange loans;
(C) foreign exchange interbank lending;
(D) for International Settlements;
(E) large negotiable certificates of deposit issued;
(Vi) foreign exchange guarantee;
(Vii) advice, witness the business;
(8) approval of the State Administration of Foreign Exchange and other business.
Article XVII The term "foreign exchange deposit" has the
following limitations:
(A) the minimum deposit amount of non-resident legal entities 50,000 U.S. dollars
equivalent in a freely convertible currency, the minimum deposit amount of
non-resident natural persons 10,000 U.S. dollars equivalent in a freely convertible
currency.
(B) non-cash deposits.
The term "interbank foreign exchange lending" refers to the
banks and international financial markets and other domestic lending between banks
offshore funds.
The term "large negotiable certificates of deposit issued" refers
to the head office issued on behalf of large negotiable certificates of deposit.
The State Administration of Foreign Exchange on the 18th for a bank offering
offshore banking interview before the approval system.
Chapter offshore banking business management
Article XIX bank offshore banking offshore banking services should be implemented
with the separation based management, an independent offshore banking sector, with
full-time business, and the establishment of a separate offshore banking accounts and
use the offshore private banking business vouchers and special seal business.
Diershitiao operating offshore banking banks should establish and improve the
offshore banking business financial and accounting systems. Offshore business
management and accounting rates in the offshore business, offshore business year-end
balance sheet and profit and loss after tax and foreign exchange operations in the strait
and the table.
Twenty-one banks on offshore banking business risks should be monitored separately.
Banking offshore banking, foreign exchange will balance the balance sheet included
in the exchange for the overall assessment.
Article 2 The foreign exchange deposits in offshore banking, interest rates for loans
can be formulated with reference to international financial market interest rates.
Article 3 exempt from offshore deposits absorbed by the Bank reserve.
Twenty-four large banks to issue negotiable certificates of deposit should be reported
to the State Administration of Foreign Exchange for approval. Approved by the State
Administration of Foreign Exchange market size and conditions.
Twenty-five       off-shore       accounts       payable      should      be     marked
"OSA" (OFFSHORE ACCOUNT)
Article 6 of funds remitted to non-resident accounts and offshore accounts offshore
funds remitted offshore account offshore accounts and free flow of capital between;
Offshore accounts and funds between accounts in offshore transactions, banks should
be in accordance with the following provisions:
(A) to remit funds in bank accounts offshore accounts, export line should be in
accordance with the Settlement, Sale and Payment of Foreign Exchange regulations
and regulatory requirements for foreign exchange payment verification, scrutiny and
effective business documents and effective evidence, and in accordance with
"international Balance of Payments Statistics report measures
"to declare.
(B) to remit funds offshore account in the bank account, Hui Ruxing should be in
accordance with the Settlement, Sale and Payment of Foreign Exchange Export
Proceeds in Foreign Exchange verification provisions and regulations, strict review
and effective business documents and valid documents, and in accordance with
"international income Support Measures for Statistic Declaration
"to declare.
第二 17 bank accounts offshore bank account positions and in positions offset each
other's limits and deadlines approved by the State Administration of
Foreign Exchange. Without approval, banks may not exceed the limits and deadlines.

28th a commercial bank offshore banking provisions of the Exchange shall submit the
offshore banking business financial statements and statistical reports.
29th a commercial bank offshore banking the following cases, should be active in one
working day report to the foreign exchange bureau, and promptly corrected:
(A) of the offshore account and crediting the bank account of the position more than
the prescribed limits;
(B) of the offshore banking business is operating at a significant loss;
(C) the occurrence of other major offshore banking irregularities;
(D) of the bank that should be reported otherwise.
The third 10 SAFE regular banks to conduct offshore banking business, inspection
and appraisal, inspection and appraisal of the contents include:
(A) of the offshore bank asset quality situation;
(B) of the offshore banking earnings;
(C) offshore banking regulations and internal management of the implementation of
risk control system;
(D) The State Administration of Foreign Exchange under other circumstances.
Chapter IV Supplementary Provisions
第三十一条 without the approval of the State Administration of Foreign Exchange,
unauthorized operation and ultra-range offshore banking business, the exchange
bureau according to "The People's Republic of China Foreign
Exchange Control Regulations" 第 四 十 一 条 the provisions of
punishment; constitutes a crime, according to the law held criminally responsible.
第三 12 banks in violation of the measures under Article 2, by the SAFE according to
"The People's Republic of China Foreign Exchange
Management Regulations," the forty-third section shall be punished.
第三 13 banks violated Article 4 of the way, the 27th article, the exchange bureau
according to "The People's Republic of China Foreign
Exchange Management Regulations," the 44th section shall be punished;
constitute a crime shall be held criminally responsible.  第三 14 banks in violation
of the measures under Article 6 by SAFE based on "The
People's Republic of China Foreign Exchange Management
Regulations," the 39th, 40, 48 the provisions of punishment; constitutes a
crime shall be prosecuted for criminal responsibility.   第三 15 banks in violation of
the way the 28th, 29 did not meet the regulations or inspection and evaluation of the
SAFE, the SAFE based on "The People's Republic of China
Foreign Exchange Management Regulations," the 49th section shall be
punished.
The 36th foreign-funded financial institutions operating offshore banking, separately.

37th article this way by the State Administration of Foreign Exchange.
38th article this way since January 1, 1998 shall come into force.

								
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