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BEIJING, April 9 (Xinhua) -- The Ministry of Finance has imposed a pay cap for top executives at state-owned financial institutions as the financial crisis eroded earnings of such companies in 2008, the ministry said Thursday in a circular on its website.     The new rule, which came out amid rising public grumbles about huge pay packages for top executives at state-owned financial companies, outlined the basic line that pay for executives in 2008should be no more than 90 percent of the level in 2007.     As of 9 p.m., two hours and half after the news was posted on the web Sina.com.cn, 584 netizens made comments. Nearly all of them were supportive of the move. The undated photo shows the gate of headquaters of the Ministry of Finance in Beijing. Total executive pay for 2008 at financial institutions - which many are still computing - must not surpass 90 percent of the 2007 levels, the Ministry of Finance (MOF) announced yesterday    Under the plan, pay refers to pre-tax income, including salary, bonus, and social insurance.     The rule would enhance equal income distribution and push forward reform in pay mechanism, according to the ministry.     The circular said it was in line with the current domestic and international situation for executives at some state-owned financial institutions to voluntarily cut their pay despite their companies posted rising profits.     Companies which had a declining income last year should slash another 10 percent based on the basic line. Reductions should be deeper if companies suffered steep drop in profits, according to the circular.     The ministry demanded to narrow pay gap among executives at companies in the financial sector, calling for bigger cuts for those who received much higher pay than the average in 2007. Caps were also urged to be imposed on pay for staff at financial companies to make a clear difference in posts and performance.     It is the second time that MOF had set such pay limits. In an earlier circular in February this year, MOF ordered that the 2008 salary for top executives of state-owned financial institutions should be limited within 2.8 million yuan (about 410,000 U.S. dollars).     The new move aimed at avoiding salary competition between some financial institutions when deciding the salaries for their executives in 2008, said Guo Tianyong, a professor at the China Central Finance University.     It is necessary to put a cap on executive salaries to prevent unfair distribution of income and a larger gap between the rich and poor, he said.     In March, the government ordered a crackdown on government "hospitality" budgets, including a 15-per-cent cut in car-buying and fuel funds as well as an across-the-board halt to the building of any new office compounds before the end of 2010.     Chinese Premier Wen Jiabao said the government should take the leading role in promoting frugality and should ensure government spending goes where it is most needed amid the economic crisis.

BEIJING, March 13 (Xinhua) -- The National People's Congress (NPC), China's top legislature, on Friday expressed strong indignation and opposition to a European Parliament resolution on Tibet.     "We are strongly indignant with and opposed to the act that intervenes in China's internal affairs, damages China-Europe relations and hurts the Chinese people's feelings," the NPC Foreign Affairs Committee said in a statement.     Regardless of China's repeated stern representation, the European Parliament, stirred up by a few of its members, insisted on approving a resolution on Tibet, which distorts the facts and again encourages the ** Lama's separatist practice, in an attempt to internationalize the Tibet-related issues," said the statement.     Tibet is an inalienable part of the Chinese territory and Tibetan affairs are purely China's domestic affairs, the statement said, adding that any foreign government and organization does not have the right to intervene in China's internal affairs.     The Tibet Autonomous Region has achieved economic development, national unity and social harmony and people there have been living and working in peace since the democratic reforms 50 years ago, the statement said.     Over the past few years, the Chinese central government has carried out a number of contacts and dialogues with patience and sincerity with the ** Lama's representatives.     However, as the ** Lama has not stopped his separatist activities, no substantial progress was made through the dialogues.     ** Lama's Memorandum on Genuine Autonomy for the Tibetan People, under the veil of claiming autonomy, actually seeks political independence for Tibet and runs against China's Constitution. It will be inevitably opposed by all the Chinese people, the statement said.     The ** Lama claimed that rather than seeking for "Tibet independence ", he only asked for "high degree of autonomy" and "genuine autonomy" and insisted on "nonviolence".     However, ** Lama's so-called "genuine autonomy" aimed to restore his reign in Tibet that integrating religion and state, and establish a supposed "greater Tibet area" which covers nearly a quarter of China's territory. The so-called "greater Tibet area" does not exist in history, nor does it have an actual ground     The claim also asked the Chinese central government to withdraw armies and all the non-Tibetans from the "greater Tibet area". The essence of these claims is advocating "Tibet independence " or meant for "gradual or covert Tibet independence," the statement said.     The ** Lama claimed that he insisted on "nonviolence", but the violent riots in Lhasa staged by the ** Lama's followers on March 14 last year proved that they have never stopped violent activities.     The allegations of the ** Lama were only disguise for his separatist stance and violent criminal activities. They were also packaging to defraud the international society of sympathy and support, the statement said.     "Our disputes with the ** Lama is neither the ethnic issue, nor religious issue, or human rights, but a major principled issue concerning China's sovereignty and territorial integrity, " it said.     The Chinese central government's policy toward the ** Lama is consistent and clear cut, the statement said, adding the door is always open for contacts and talks with him.     The key for positive progresses of contacts and talks rest with whether the ** Lama would give up his wrong stance and separatist behaviors, reexamine his political opinions and make aright choice beneficial to the country, the people, the history and himself.     The statement also said, it is in line with the common interest of China and the Europe to enhance mutual beneficial cooperation on an equal footing.     "A handful European parliament members, who hold prejudice against China, have very readily and repeatedly proposed groundless resolutions on Tibet-related issues," it said.     These resolutions deliberately slandered against China's image, sent wrong signals to the ** Lama's supporters and boost arrogance of the pro-Tibet campaigners.     These European parliament members should be warned sternly to get a clear understanding of the situation and respect the facts. Any conspiracies to interfere in China's internal affairs are doomed to fail, it said.     The NPC values relations with the European parliament and requests the European parliament to proceed from the overall interest of China-EU relations, discard ideological prejudice, adopt a fair and objective stance and do more things that conducive to the healthy development of China-EU comprehensive strategic partnership, said the statement.     Also on Friday, Chinese Foreign Ministry spokesman Ma Zhaoxu urged the European Parliament to confirm to the public opinions, immediately stop interfering in China's internal affairs using the Tibet-related issue and work with China to maintain the overall situation of China-EU relations.

BEIJING, March 9 (Xinhua) -- Senior Chinese leaders Li Keqiang, He Guoqiang and Zhou Yongkang have called for more efforts on improving people's well-being amid China's drive to stimulate economy. Li Keqiang (front, L), member of the Standing Committee of the Political Bureau of the Communist Party of China (CPC) Central Committee, joins a panel discussion with deputies to the Second Session of the 11th National People's Congress (NPC) from east China's Jiangxi Province, in Beijing, capital of China, March 9, 2009."Our initiatives to expand domestic demand, promote economic growth, readjust economic structure, and push forward reform all aim to improve people's well-being," Vice Premier Li Keqiang said Monday.     In a panel discussion with deputies to the National People's Congress (NPC) from the eastern Jiangxi Province, Li urged enhanced efforts to tackle major difficulties of the public in areas of housing, education, medical service, and environment protection.     He Guoqiang, secretary of the Communist Party of China (CPC) Central Commission for Discipline Inspection, urged to impose "harsh penalties" on those who infringe upon people's interests. He Guoqiang (L), member of the Standing Committee of the Political Bureau of the Communist Party of China (CPC) Central Committee, joins a panel discussion with deputies to the Second Session of the 11th National People's Congress (NPC) from southwest China's Guizhou Province, in Beijing, capital of China, March 9, 2009. "We should take feasible measures to maintain social stability, resolve disputes timely, crack down crimes harshly, and firmly preventing major work safety incidents," He, also member of the CPC Central Committee's Political Bureau Standing Committee, told NPC deputies from Guizhou Province.     When joining lawmakers from the central Henan Province, Zhou Yongkang, member of the Standing Committee of the CPC Central Committee's Political Bureau, pinpointed importance on accelerated development in the rural areas. Zhou Yongkang (front, R), member of the Standing Committee of the Political Bureau of the Communist Party of China (CPC) Central Committee, joins a panel discussion with deputies to the Second Session of the 11th National People's Congress (NPC) from central China's Henan Province, in Beijing, capital of China, March 9, 2009. As a major grain producer and one of the largest reservoirs of labor sources, Henan should take measures to ensure grain safety, create more jobs for surplus rural laborers, increase farmer's income, and raise public expenditures in the rural areas, Zhou said.

LIAOYUAN, Jilin Province, Feb. 8 (Xinhua) -- From March to September last year, 48-year-old Li Guizhi visited the detention house of the Liaoyuan City in northwestern Jilin Province five times, asking detainees whether they had been tortured.     Her question list also included: "Do you know you have the right to ask lawyers?", "Do you have enough food every day?", "Are you taken to see a doctor when you are not well?".     Li, a community director of the Nankang Street of the Longshan District of Liaoyuan, was in her spare time a public inspector of detention houses. It means she could randomly select time to visit local jails and randomly choose detainees to talk to.     She was also entitled to inspect the jails' condition and examine the jails' records so as to ensure that custody procedures were in line with the law and detainees were not treated inhumanely.     As the first pilot city of the detention inspection system in China, Liaoyuan had 20 public inspectors like Li. They were doctors, teachers, entrepreneurs, civil servants or community workers. Meanwhile, they were either local legislators, political advisors or "people's supervisors", a voluntary post to oversee jurisdiction. They were recommended to be selected as public inspectors thanks to their legislation or public working experience.     These inspectors who had received legal training would put forward proposals for improvements after each tour of the detention house which, therefore, would be obliged to ameliorate its living or working conditions accordingly.     This year, the pilot program continued to be unfolded in Jinzhong of northern Shanxi Province and Zhang Jiagang of eastern Jiangsu Province. More cities would be added to the list.     The Research Center of Litigation System and Judicial Reform under the Beijing-based Renmin University of China was the organizer of the program in China.     Sponsored by the European Union, the program was part of a package of cooperation agreements in political, legal, cultural and economic fields. Legal cooperation between China and Europe covers areas such as the death penalty, anti-torture and professional training of judges and prosecutors.     Chen Weidong, a professor with the Renmin University who was in charge of the program, told Xinhua that treatment of detainees, to some extent, reflected the level of protection of the public's rights and interests.     "Through the introduction of public supervision, which is more independent, to oversee the detention place exercising its power, the system is conducive to ensuring that prisoners are treated in accordance with the law," he said.     China signed the United Nations Convention against Torture in Dec. 1986 which ensured that torture was a criminal offence. "Parties must promptly investigate any allegation of torture, and victims of torture must have an enforceable right to compensation," it said.     In addition, the UN passed in 2002 the Optional Protocol to the Convention, which encourages the establishment of an international inspection system for places of detention.     Currently, more than 20 countries, mainly European nations, have set up the system. Many other developed countries, including the United States, have not established such a system.     According to the Chinese law, law makers and political advisors were entitled to patrol detention places, reflecting parliament's and political advisory bodies' supervision over administrative organs.     Over the past few years, Chinese procuratorates had set up the "people's supervisor" system, in a bid to prevent injustice amid law execution. Most procuratorates of the country had selected people's supervisors.     However, the Supreme People's Procuratorate statistics show Chinese procuratorates punished 930 government workers in 2006 who illegally took people into custody and extorted confessions by torture.     Chen said in the past, supervision was mainly institutional, such as recording and videotaping, and asking lawyers to be present, when interrogating suspects.     "Public supervision, which we currently advocate, enables the public to gain a close and independent observance of the detention places, the result of which is more convincing and can help improve China's image in protecting human rights," he added.     Chen said the inspection system examined many factors, ranging from living conditions of detention places to the fulfillment of various legal rights and interests.     "It neither depends on high-tech equipment nor is confined to the number of legal workers or the time of working, so it can be promoted in any region with any economic situation," he added.     However, a survey about the pilot program, conducted by the Renmin University, showed that detectives generally opposed to the system, saying inspection activities in detention places would "disturb their working plans and easily allow detainees refuse to confess".     Many lawyers believed the "independent" inspection should be worthy of the name, which means detention house staff should be absent when inspectors talked to detainees. It could alleviate detainees' pressure.     TO BE PROMOTED NATIONWIDE     As a main propeller of the program in Liaoyuan, Wang Wensheng, the chief procurator of the Liaoyuan People's Procuratorate, admitted, "All reform will face resistance, risks and blame."     Chen said local officials' open-mindedness and achievements of local judicial reform was considered as key factors in selecting pilot cities. Liaoyuan was an outstanding example.     The first phase of the program, which started as early as 2006,ended last year. The second phase, with Jinzhong and Zhang Jiagang cities added to the list, aimed to find out if the system would be feasible in the country's hinterland and economically prosperous regions.     The project team hoped the system, which was considered as an innovation of China's judicial reform, could be promoted nationwide, but no timetable could be set at the moment. The project was scheduled to end in 2012.     Cheng Lei, a member of the project group and a post doctorate with the law institute of the Chinese Academy of Social Sciences, said, "Hopefully, the system can be extended to other parts of the country through legislation. Provincial legislation is easier, such as a law on detention place inspection system in northwestern Jilin Province."     Li Guizhi, the Liaoyuan public inspector, said she felt a great honor when becoming an inspector.     "Such voluntary work, without any payment, should convey a message to the world that China's efforts against torture is in line with international practice," she said.

BEIJING, Feb. 13 -- Chinese banks issued 1.62 trillion yuan (7 billion) in new loans in January, up 101 percent year-on-year, prompting some economists to say the government might not cut interest rates for the time being to boost the economy.     The massive jump in lending is equal to about one-third of the loans issued in the whole of 2008, a year that began on a generally tight credit line, the central bank said yesterday. M2, which includes cash and all types of deposits and indicates overall liquidity in the financial system, grew in January, too, by 18.8 percent year-on-year. It increased 17.8 percent in December.     The massive growth in lending comes at a time when banks are rushing to cherry-pick the juiciest stimulus-package projects, especially major infrastructure ones that need long-term investment, the economists said. Chinese banks issued 1.62 trillion yuan (7 billion) in new loans in January, up 101 percent year-on-year    The government announced a 6-billion package on November 9 to boost domestic demand and shore up investment. Though the central government will shoulder one-third of the cost, banks will play an important role in financing the construction of bridges, railways and highways.     "The banks are fighting for the best projects in the government's stimulus package," said Ha Jiming, chief economist of China International Capital Corp. "It's not surprising to see that an array of the deals were sealed in the past month."     "The massive lending growth minimizes the need to further cut interest rates heftily," said Lian Ping, chief economist with Bank of Communications. "The liquidity problem should ease with such a growth."     The central bank has cut the benchmark lending rate by 2.16 percentage points in the past four months and reduced the deposit reserve requirement ratio in order to ensure there's enough liquidity in the market to boost the economy.     The growth in lending could also prove to be a blessing for cash-strapped domestic enterprises trying to stay afloat amid shrinking overseas demand and waning consumer confidence.     Central bank figures show bill financing, which supplies working capital, accounted for 39 percent of the new loans.     Medium and long-term corporate loans made up 32 percent.     "It (growth) reduces the default risks of domestic firms, which in turn eases worries over bank asset quality at least in the short term," said Sun Mingchun, an economist with Nomura International.     The economists said the dramatic rise in lending could be partly attributed to pent-up demand for loans last year.     The central bank had imposed a curb on lending till November last year to combat inflation and prevent the economy from overheating.     That left "many firms, especially small- and medium-sized ones, facing a severe cash flow problem", Sun said.     Policymakers lifted the curb in November and raised the target for M2 growth to 17 percent for 2009, up from 16 percent that had been in practice since 2006.     The move is expected to ensure there's enough liquidity in the market to spur investment and boost the economy, whose growth dropped to a seven-year low of 6.8 percent in the fourth quarter last year.     "Credit expansion in the first quarter of this year is expected to be very high because banks can maximize investment returns by front-loading new loans," said Jing Ulrich, managing director and chairwoman of China Equities at JP Morgan.     But Ulrich cautioned against a possible rise in credit risk because the increase in liquidity could cause a sharp rise in banks' non-performing loans.