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BEIJING, Sept. 22 (Xinhua) -- China's chief quality supervisor Li Changjiang stepped down Monday afternoon with the approval of the State Council after tainted dairy products sickened tens of thousands of infants and killed three. Wang Yong, former deputy secretary-general of the State Council, replaced him as the director of the General Administration of Quality Supervision, Inspection and Quarantine (GAQSIQ). Li was the highest ranking official brought down so far by the dairy product contamination scandal. Across the country, about 13,000 babies remain in hospital after falling ill from melamine-tainted milk powder, and nearly 40,000 others were also sickened but had been cured, according to the Ministry of Health on Sunday. Wu Xianguo, the Communist Party chief of Shijiazhuang City, the epicenter of the national dairy industry tremor in northern Hebei Province, was also sacked on Monday. Before Wu, Mayor Ji Chuntang and Vice Mayor Zhang Fawang as well as three other responsible city officials were sacked after locally-based Sanlu Group became the first dairy producer under the spotlight in the scandal. The latest government personnel reshuffle, together with the resignation of Shanxi governor Meng Xuenong following a deadly landslide triggered by the collapse of an illegal mining dump, sent a strong signal of the central government's resolution to hold relevant officials accountable for severe production and quality incidents, said professor Wang Wei of the National School of Administration. "Such a system is especially crucial to the building of a service-oriented government as the public, impressed with the Olympic efficiency of the governments at various levels, expect officials to retain quick-response and effective," Wang said. Under the Civil Servants Law effective as of 2005 and the State Council Regulations on the Punishment of Civil Servants of Administrative Organs enacted last April, heads of administrative organs who fail to fulfill their duties and cause avoidable severe accidents will face removal and severer punishment. A State Council decision released on Monday defined the Sanlu milk powder issue as a "sever food safety incident". Wu, who doubled as member of the Standing Committee of the Hebei Provincial Committee of the Communist Party of China, was removed for delaying the reporting of the issue to higher authorities and incompetence in the disposition. Li resigned taking the blame for supervision default. Professor Wang found Li's resignation "no wonder". "With tightened and more efficient supervision, pathogenic dairy products would find no way to get out of the production lines," he said. A combined result from purposeful cover-up of the producer and supervision default, the contamination scandal didn't emerge until Autumn. Wang Yuanping from Taishun City of Zhejiang reportedly lodged a complaint to Sanlu in May, suspecting that his 13-year-old daughter developed kidney stone after drinking its milk powder.
BEIJING, July 12 (Xinhua) -- The Chinese government will modify its temporary subsidy plan for quake survivors starting in September, with each survivor experiencing financial hardship to get 200 yuan (29 U.S. dollars) per month, a State Council statement said on Saturday. "Life in most parts of the area will return to normal by September but, in some worst-hit areas, some people might still suffer difficulties. To help them, the government decided to continue financial assistance after the present policy ends," said the statement issued after a cabinet meeting presided over by Premier Wen Jiabao. Chinese Premier Wen Jiabao (C) presides over the 23rd meeting of the quake relief headquarters of China's State Council in Beijing, capital of China, July 12, 2008. The quake, on May 12, left millions of people homeless and destitute. The policy will cover such categories as orphans, the elderly and the disabled without family support, those whose relatives were killed or severely injured, those who were displaced and those whose residences were destroyed, it said. Since the disaster, every needy survivor has been eligible to receive 10 yuan and 500 grams of food a day. The policy has covered about 8.82 million people but will end in August. The new system won't include any food allotment. Some types of survivors could receive more than the minimum. Under the present policy, about 261,000 orphans, elderly and disabled without family support have received 600 yuan a month. Under the new policy, they will receive more than 200 yuan, the statement said, without elaborating. The new policy will expire in November, the statement said. Chinese Premier Wen Jiabao speaks at the 23rd meeting of the quake relief headquarters of China's State Council in Beijing, capital of China, July 12, 2008 The meeting heard a report by an experts' committee on the Wenchuan County-centered quake and ordered it to keep monitoring aftershocks in the quake zone for another two months. The panel was also told to forecast areas that might be affected by major secondary disasters and evaluate possible losses to help reconstruction. The experts were also told to locate sites where quake debris can be stored for long periods for later investigation and take measures to protect such sites. The meeting endorsed an assessment report by central and provincial authorities, which listed 10 counties and cities, including Wenchuan County, Beichuan County and Dujiangyan City, as the worst-hit areas. Another 41 counties, cities and districts were characterized as heavily affected and other 186 were said to be moderately affected. The first two categories will be covered by the national reconstruction plan, it said. The 8.0-magnitude quake has claimed nearly 70,000 lives, injured more than 374,000 people and left another 18,340 missing.
BEIJING, Oct. 9 (Xinhua) -- China's securities regulator on Thursday said publicly-traded companies must pay dividends in cash rather than stock over three years before submitting their refinancing applications. The move could help to encourage long-term investment and reduce market volatility, the China Securities Regulatory Commission (CSRC) said. The benchmark Shanghai Composite Index has plunged 66 percent from its record high last October. In a new regulation stipulating cash dividend payment by listed companies, the CSRC said: "The listed firms, if applying for refinancing, must pay dividends in cash totaling no less than 30 percent of its distributed profits over the past three years." The regulation went into effect on Thursday. In the draft version released in August, companies were allowed to pay dividends either in cash or stock. The listed firms were also ordered to reveal their cash dividend policies and previous cash dividend data to investors in their annual reports to improve transparency. "The listed company should give reasons why it failed to pay a cash dividend if it is able to and where the money goes," according to the rule. Cash dividends could offer stable investment returns and prompt large institutional investors to reduce speculation on the secondary market, the regulator said. A couple of huge refinancing plans earlier this year triggered a market plunge on concerns over stake dilution and liquidity stress. In a separate regulation on share buy-back, also effective on Thursday, the CSRC said it allowed a cash dividend payment when the controlling shareholders bought stocks on the secondary market. Such action was banned in the draft version released in late September to solicit public opinion. Share buy-back through bidding at stock exchanges also no longer needs regulatory approval. The CSRC added it would continue to revise the rules on stock buy-back and also give consideration to repurchase through agreement or tender offer.
BEIJING, Oct. 9 (Xinhua) -- Chinese Vice Premier Wang Qishan said on Thursday the country is fully confident and capable of overcoming the current economic difficulties, vowing to work closely with other countries to safeguard stability of the global financial market. Wang, in his meeting with former German Chancellor Gerhard Schroeder, said China has already taken relevant measures to face up to the turbulences of the international financial market. As the largest developing country and a rising market, China's priority is to well handle its own problems, he said. He believes China has great potential in domestic market and economic growth, adding the country would continue to take measures to maintain the stable and relatively fast economic development. "The Chinese government is to strengthen coordination with other countries to face up to the global crisis and promote the stability of the global economic and financial market," Wang told Schroeder. He appreciated the former German Chancellor's contribution to cementing bilateral ties. Regarding both countries as important trade, investment and technical cooperation partners, Wang said to further facilitate bilateral trade cooperation complies with the fundamental interests of both sides. Schroeder extended congratulations to China's full success in holding the Beijing Olympics and Paralympics. He hopes the two countries to step up cooperation in various areas to push forward bilateral ties.
BEIJING, Oct. 2 (Xinhua) -- Tropical storm Higos, the 17th this year, will drop heavy rain on parts of south China's Guangdong and Hainan provinces over the next two days, the National Meteorological Observatory said on Thursday. The office advised everyone in those regions to prepare for therain, as well as lightning storms and gale-force winds. Tourists in coastal cities of the island province of Hainan, such as Sanya and Bo'ao, have been advised to avoid offshore activities over the next three days. Higos was centered about 700 km southeast of Zhuhai, Guangdong,as of 5 p.m. on Thursday, and it was moving north-west at 20 km per hour. Tourists stay at the beach in Haikou, capital of south China's Hainan Province, on Oct. 2, 2008. Tropical storm Higos, the 17th this year, is moving towards south China's island province of Hainan, the provincial meteorological station said on Thursday, affecting the ongoing National Day holidays. The storm is gaining momentum as it nears eastern Hainan and the mid-west regions of Guangdong, according to the national observatory. Higos, which formed on Tuesday in the Pacific Ocean, comes on the heels of storms Jangmi and Hagupit, which together killed some 20 people in China