【发布单位】全国人民代表大会常务委员会
  【发布文号】中华人民共和国主席令第五十四号
  【发布日期】2006-08-27
  【生效日期】2007-06-01
  【失效日期】-----------
  【所属类别】国家法律法规
  【文件来源】新华网
 

中华人民共和国企业破产法

 (中华人民共和国主席令第五十四号)


　　《中华人民共和国企业破产法》已由中华人民共和国第十届全国人民代表大会常务委员会第二十三次会议于2006年8月27日通过，现予公布，自2007年6月1日起施行。

　　中华人民共和国主席　胡锦涛
　　2006年8月27日


中华人民共和国企业破产法

　　第一章　总则

　　第一条　为规范企业破产程序，公平清理债权债务，保护债权人和债务人的合法权益，维护社会主义市场经济秩序，制定本法。

　　第二条　企业法人不能清偿到期债务，并且资产不足以清偿全部债务或者明显缺乏清偿能力的，依照本法规定清理债务。

　　企业法人有前款规定情形，或者有明显丧失清偿能力可能的，可以依照本法规定进行重整。

　　第三条　破产案件由债务人住所地人民法院管辖。

　　第四条　破产案件审理程序，本法没有规定的，适用民事诉讼法的有关规定。

　　第五条　依照本法开始的破产程序，对债务人在中华人民共和国领域外的财产发生效力。

　　对外国法院作出的发生法律效力的破产案件的判决、裁定，涉及债务人在中华人民共和国领域内的财产，申请或者请求人民法院承认和执行的，人民法院依照中华人民共和国缔结或者参加的国际条约，或者按照互惠原则进行审查，认为不违反中华人民共和国法律的基本原则，不损害国家主权、安全和社会公共利益，不损害中华人民共和国领域内债权人的合法权益的，裁定承认和执行。

　　第六条　人民法院审理破产案件，应当依法保障企业职工的合法权益，依法追究破产企业经营管理人员的法律责任。

　　第二章　申请和受理

　　第一节　申请

　　第七条　债务人有本法第二条规定的情形，可以向人民法院提出重整、和解或者破产清算申请。

　　债务人不能清偿到期债务，债权人可以向人民法院提出对债务人进行重整或者破产清算的申请。

　　企业法人已解散但未清算或者未清算完毕，资产不足以清偿债务的，依法负有清算责任的人应当向人民法院申请破产清算。

　　第八条　向人民法院提出破产申请，应当提交破产申请书和有关证据。

　　破产申请书应当载明下列事项：

　　（一）申请人、被申请人的基本情况；

　　（二）申请目的；

　　（三）申请的事实和理由；

　　（四）人民法院认为应当载明的其他事项。

　　债务人提出申请的，还应当向人民法院提交财产状况说明、债务清册、债权清册、有关财务会计报告、职工安置预案以及职工工资的支付和社会保险费用的缴纳情况。

　　第九条　人民法院受理破产申请前，申请人可以请求撤回申请。

　　第二节　受理

　　第十条　债权人提出破产申请的，人民法院应当自收到申请之日起五日内通知债务人。债务人对申请有异议的，应当自收到人民法院的通知之日起七日内向人民法院提出。人民法院应当自异议期满之日起十日内裁定是否受理。

　　除前款规定的情形外，人民法院应当自收到破产申请之日起十五日内裁定是否受理。

　　有特殊情况需要延长前两款规定的裁定受理期限的，经上一级人民法院批准，可以延长十五日。

　　第十一条　人民法院受理破产申请的，应当自裁定作出之日起五日内送达申请人。

　　债权人提出申请的，人民法院应当自裁定作出之日起五日内送达债务人。债务人应当自裁定送达之日起十五日内，向人民法院提交财产状况说明、债务清册、债权清册、有关财务会计报告以及职工工资的支付和社会保险费用的缴纳情况。

　　第十二条　人民法院裁定不受理破产申请的，应当自裁定作出之日起五日内送达申请人并说明理由。申请人对裁定不服的，可以自裁定送达之日起十日内向上一级人民法院提起上诉。

　　人民法院受理破产申请后至破产宣告前，经审查发现债务人不符合本法第二条规定情形的，可以裁定驳回申请。申请人对裁定不服的，可以自裁定送达之日起十日内向上一级人民法院提起上诉。

　　第十三条　人民法院裁定受理破产申请的，应当同时指定管理人。

　　第十四条　人民法院应当自裁定受理破产申请之日起二十五日内通知已知债权人，并予以公告。

　　通知和公告应当载明下列事项：

　　（一）申请人、被申请人的名称或者姓名；

　　（二）人民法院受理破产申请的时间；

　　（三）申报债权的期限、地点和注意事项；

　　（四）管理人的名称或者姓名及其处理事务的地址；

　　（五）债务人的债务人或者财产持有人应当向管理人清偿债务或者交付财产的要求；

　　（六）第一次债权人会议召开的时间和地点；

　　（七）人民法院认为应当通知和公告的其他事项。

　　第十五条　自人民法院受理破产申请的裁定送达债务人之日起至破产程序终结之日，债务人的有关人员承担下列义务：

　　（一）妥善保管其占有和管理的财产、印章和账簿、文书等资料；

　　（二）根据人民法院、管理人的要求进行工作，并如实回答询问；

　　（三）列席债权人会议并如实回答债权人的询问；

　　（四）未经人民法院许可，不得离开住所地；

　　（五）不得新任其他企业的董事、监事、高级管理人员。

　　前款所称有关人员，是指企业的法定代表人；经人民法院决定，可以包括企业的财务管理人员和其他经营管理人员。

　　第十六条　人民法院受理破产申请后，债务人对个别债权人的债务清偿无效。

　　第十七条　人民法院受理破产申请后，债务人的债务人或者财产持有人应当向管理人清偿债务或者交付财产。

　　债务人的债务人或者财产持有人故意违反前款规定向债务人清偿债务或者交付财产，使债权人受到损失的，不免除其清偿债务或者交付财产的义务。

　　第十八条　人民法院受理破产申请后，管理人对破产申请受理前成立而债务人和对方当事人均未履行完毕的合同有权决定解除或者继续履行，并通知对方当事人。管理人自破产申请受理之日起二个月内未通知对方当事人，或者自收到对方当事人催告之日起三十日内未答复的，视为解除合同。

　　管理人决定继续履行合同的，对方当事人应当履行；但是，对方当事人有权要求管理人提供担保。管理人不提供担保的，视为解除合同。

　　第十九条　人民法院受理破产申请后，有关债务人财产的保全措施应当解除，执行程序应当中止。

　　第二十条　人民法院受理破产申请后，已经开始而尚未终结的有关债务人的民事诉讼或者仲裁应当中止；在管理人接管债务人的财产后，该诉讼或者仲裁继续进行。

　　第二十一条　人民法院受理破产申请后，有关债务人的民事诉讼，只能向受理破产申请的人民法院提起。

　　第三章　管理人

　　第二十二条　管理人由人民法院指定。

　　债权人会议认为管理人不能依法、公正执行职务或者有其他不能胜任职务情形的，可以申请人民法院予以更换。

　　指定管理人和确定管理人报酬的办法，由最高人民法院规定。

　　第二十三条　管理人依照本法规定执行职务，向人民法院报告工作，并接受债权人会议和债权人委员会的监督。

　　管理人应当列席债权人会议，向债权人会议报告职务执行情况，并回答询问。

　　第二十四条　管理人可以由有关部门、机构的人员组成的清算组或者依法设立的律师事务所、会计师事务所、破产清算事务所等社会中介机构担任。

　　人民法院根据债务人的实际情况，可以在征询有关社会中介机构的意见后，指定该机构具备相关专业知识并取得执业资格的人员担任管理人。

　　有下列情形之一的，不得担任管理人：

　　（一）因故意犯罪受过刑事处罚；

　　（二）曾被吊销相关专业执业证书；

　　（三）与本案有利害关系；

　　（四）人民法院认为不宜担任管理人的其他情形。

　　个人担任管理人的，应当参加执业责任保险。

　　第二十五条　管理人履行下列职责：

　　（一）接管债务人的财产、印章和账簿、文书等资料；

　　（二）调查债务人财产状况，制作财产状况报告；

　　（三）决定债务人的内部管理事务；

　　（四）决定债务人的日常开支和其他必要开支；

　　（五）在第一次债权人会议召开之前，决定继续或者停止债务人的营业；

　　（六）管理和处分债务人的财产；

　　（七）代表债务人参加诉讼、仲裁或者其他法律程序；

　　（八）提议召开债权人会议；

　　（九）人民法院认为管理人应当履行的其他职责。

　　本法对管理人的职责另有规定的，适用其规定。

　　第二十六条　在第一次债权人会议召开之前，管理人决定继续或者停止债务人的营业或者有本法第六十九条规定行为之一的，应当经人民法院许可。

　　第二十七条　管理人应当勤勉尽责，忠实执行职务。

　　第二十八条　管理人经人民法院许可，可以聘用必要的工作人员。

　　管理人的报酬由人民法院确定。债权人会议对管理人的报酬有异议的，有权向人民法院提出。

　　第二十九条　管理人没有正当理由不得辞去职务。管理人辞去职务应当经人民法院许可。

　　第四章　债务人财产

　　第三十条　破产申请受理时属于债务人的全部财产，以及破产申请受理后至破产程序终结前债务人取得的财产，为债务人财产。

　　第三十一条　人民法院受理破产申请前一年内，涉及债务人财产的下列行为，管理人有权请求人民法院予以撤销：

　　（一）无偿转让财产的；

　　（二）以明显不合理的价格进行交易的；

　　（三）对没有财产担保的债务提供财产担保的；

　　（四）对未到期的债务提前清偿的；

　　（五）放弃债权的。

　　第三十二条　人民法院受理破产申请前六个月内，债务人有本法第二条第一款规定的情形，仍对个别债权人进行清偿的，管理人有权请求人民法院予以撤销。但是，个别清偿使债务人财产受益的除外。

　　第三十三条　涉及债务人财产的下列行为无效：

　　（一）为逃避债务而隐匿、转移财产的；

　　（二）虚构债务或者承认不真实的债务的。

　　第三十四条　因本法第三十一条、第三十二条或者第三十三条规定的行为而取得的债务人的财产，管理人有权追回。

　　第三十五条　人民法院受理破产申请后，债务人的出资人尚未完全履行出资义务的，管理人应当要求该出资人缴纳所认缴的出资，而不受出资期限的限制。

　　第三十六条　债务人的董事、监事和高级管理人员利用职权从企业获取的非正常收入和侵占的企业财产，管理人应当追回。

　　第三十七条　人民法院受理破产申请后，管理人可以通过清偿债务或者提供为债权人接受的担保，取回质物、留置物。

　　前款规定的债务清偿或者替代担保，在质物或者留置物的价值低于被担保的债权额时，以该质物或者留置物当时的市场价值为限。

　　第三十八条　人民法院受理破产申请后，债务人占有的不属于债务人的财产，该财产的权利人可以通过管理人取回。但是，本法另有规定的除外。

　　第三十九条　人民法院受理破产申请时，出卖人已将买卖标的物向作为买受人的债务人发运，债务人尚未收到且未付清全部价款的，出卖人可以取回在运途中的标的物。但是，管理人可以支付全部价款，请求出卖人交付标的物。

　　第四十条　债权人在破产申请受理前对债务人负有债务的，可以向管理人主张抵销。但是，有下列情形之一的，不得抵销：

　　（一）债务人的债务人在破产申请受理后取得他人对债务人的债权的；

　　（二）债权人已知债务人有不能清偿到期债务或者破产申请的事实，对债务人负担债务的；但是，债权人因为法律规定或者有破产申请一年前所发生的原因而负担债务的除外；

　　（三）债务人的债务人已知债务人有不能清偿到期债务或者破产申请的事实，对债务人取得债权的；但是，债务人的债务人因为法律规定或者有破产申请一年前所发生的原因而取得债权的除外。

　　 第五章　破产费用和共益债务

　　第四十一条　人民法院受理破产申请后发生的下列费用，为破产费用：

　　（一）破产案件的诉讼费用；

　　（二）管理、变价和分配债务人财产的费用；

　　（三）管理人执行职务的费用、报酬和聘用工作人员的费用。

　　第四十二条　人民法院受理破产申请后发生的下列债务，为共益债务：

　　（一）因管理人或者债务人请求对方当事人履行双方均未履行完毕的合同所产生的债务；

　　（二）债务人财产受无因管理所产生的债务；

　　（三）因债务人不当得利所产生的债务；

　　（四）为债务人继续营业而应支付的劳动报酬和社会保险费用以及由此产生的其他债务；

　　（五）管理人或者相关人员执行职务致人损害所产生的债务；

　　（六）债务人财产致人损害所产生的债务。

　　第四十三条　破产费用和共益债务由债务人财产随时清偿。

　　债务人财产不足以清偿所有破产费用和共益债务的，先行清偿破产费用。

　　债务人财产不足以清偿所有破产费用或者共益债务的，按照比例清偿。

　　债务人财产不足以清偿破产费用的，管理人应当提请人民法院终结破产程序。人民法院应当自收到请求之日起十五日内裁定终结破产程序，并予以公告。

　　第六章　债权申报

　　第四十四条　人民法院受理破产申请时对债务人享有债权的债权人，依照本法规定的程序行使权利。

　　第四十五条　人民法院受理破产申请后，应当确定债权人申报债权的期限。债权申报期限自人民法院发布受理破产申请公告之日起计算，最短不得少于三十日，最长不得超过三个月。

　　第四十六条　未到期的债权，在破产申请受理时视为到期。

　　附利息的债权自破产申请受理时起停止计息。

　　第四十七条　附条件、附期限的债权和诉讼、仲裁未决的债权，债权人可以申报。

　　第四十八条　债权人应当在人民法院确定的债权申报期限内向管理人申报债权。

　　债务人所欠职工的工资和医疗、伤残补助、抚恤费用，所欠的应当划入职工个人账户的基本养老保险、基本医疗保险费用，以及法律、行政法规规定应当支付给职工的补偿金，不必申报，由管理人调查后列出清单并予以公示。职工对清单记载有异议的，可以要求管理人更正；管理人不予更正的，职工可以向人民法院提起诉讼。

　　第四十九条　债权人申报债权时，应当书面说明债权的数额和有无财产担保，并提交有关证据。申报的债权是连带债权的，应当说明。

　　第五十条　连带债权人可以由其中一人代表全体连带债权人申报债权，也可以共同申报债权。

　　第五十一条　债务人的保证人或者其他连带债务人已经代替债务人清偿债务的，以其对债务人的求偿权申报债权。

　　债务人的保证人或者其他连带债务人尚未代替债务人清偿债务的，以其对债务人的将来求偿权申报债权。但是，债权人已经向管理人申报全部债权的除外。

　　第五十二条　连带债务人数人被裁定适用本法规定的程序的，其债权人有权就全部债权分别在各破产案件中申报债权。

　　第五十三条　管理人或者债务人依照本法规定解除合同的，对方当事人以因合同解除所产生的损害赔偿请求权申报债权。

　　第五十四条　债务人是委托合同的委托人，被裁定适用本法规定的程序，受托人不知该事实，继续处理委托事务的，受托人以由此产生的请求权申报债权。

　　第五十五条　债务人是票据的出票人，被裁定适用本法规定的程序，该票据的付款人继续付款或者承兑的，付款人以由此产生的请求权申报债权。

　　第五十六条　在人民法院确定的债权申报期限内，债权人未申报债权的，可以在破产财产最后分配前补充申报；但是，此前已进行的分配，不再对其补充分配。为审查和确认补充申报债权的费用，由补充申报人承担。

　　债权人未依照本法规定申报债权的，不得依照本法规定的程序行使权利。

　　第五十七条　管理人收到债权申报材料后，应当登记造册，对申报的债权进行审查，并编制债权表。

　　债权表和债权申报材料由管理人保存，供利害关系人查阅。

　　第五十八条　依照本法第五十七条规定编制的债权表，应当提交第一次债权人会议核查。

　　债务人、债权人对债权表记载的债权无异议的，由人民法院裁定确认。

　　债务人、债权人对债权表记载的债权有异议的，可以向受理破产申请的人民法院提起诉讼。

　　第七章　债权人会议

　　第一节　一般规定

　　第五十九条　依法申报债权的债权人为债权人会议的成员，有权参加债权人会议，享有表决权。

　　债权尚未确定的债权人，除人民法院能够为其行使表决权而临时确定债权额的外，不得行使表决权。

　　对债务人的特定财产享有担保权的债权人，未放弃优先受偿权利的，对于本法第六十一条第一款第七项、第十项规定的事项不享有表决权。

　　债权人可以委托代理人出席债权人会议，行使表决权。代理人出席债权人会议，应当向人民法院或者债权人会议主席提交债权人的授权委托书。

　　债权人会议应当有债务人的职工和工会的代表参加，对有关事项发表意见。

　　第六十条　债权人会议设主席一人，由人民法院从有表决权的债权人中指定。

　　债权人会议主席主持债权人会议。

　　第六十一条　债权人会议行使下列职权：

　　（一）核查债权；

　　（二）申请人民法院更换管理人，审查管理人的费用和报酬；

　　（三）监督管理人；

　　（四）选任和更换债权人委员会成员；

　　（五）决定继续或者停止债务人的营业；

　　（六）通过重整计划；

　　（七）通过和解协议；

　　（八）通过债务人财产的管理方案；

　　（九）通过破产财产的变价方案；

　　（十）通过破产财产的分配方案；

　　（十一）人民法院认为应当由债权人会议行使的其他职权。

　　债权人会议应当对所议事项的决议作成会议记录。

　　第六十二条　第一次债权人会议由人民法院召集，自债权申报期限届满之日起十五日内召开。

　　以后的债权人会议，在人民法院认为必要时，或者管理人、债权人委员会、占债权总额四分之一以上的债权人向债权人会议主席提议时召开。

　　第六十三条　召开债权人会议，管理人应当提前十五日通知已知的债权人。

　　第六十四条　债权人会议的决议，由出席会议的有表决权的债权人过半数通过，并且其所代表的债权额占无财产担保债权总额的二分之一以上。但是，本法另有规定的除外。

　　债权人认为债权人会议的决议违反法律规定，损害其利益的，可以自债权人会议作出决议之日起十五日内，请求人民法院裁定撤销该决议，责令债权人会议依法重新作出决议。

　　债权人会议的决议，对于全体债权人均有约束力。

　　第六十五条　本法第六十一条第一款第八项、第九项所列事项，经债权人会议表决未通过的，由人民法院裁定。

　　本法第六十一条第一款第十项所列事项，经债权人会议二次表决仍未通过的，由人民法院裁定。

　　对前两款规定的裁定，人民法院可以在债权人会议上宣布或者另行通知债权人。

　　第六十六条　债权人对人民法院依照本法第六十五条第一款作出的裁定不服的，债权额占无财产担保债权总额二分之一以上的债权人对人民法院依照本法第六十五条第二款作出的裁定不服的，可以自裁定宣布之日或者收到通知之日起十五日内向该人民法院申请复议。复议期间不停止裁定的执行。

　　 第二节　债权人委员会

　　第六十七条　债权人会议可以决定设立债权人委员会。债权人委员会由债权人会议选任的债权人代表和一名债务人的职工代表或者工会代表组成。债权人委员会成员不得超过九人。

　　债权人委员会成员应当经人民法院书面决定认可。

　　第六十八条　债权人委员会行使下列职权：

　　（一）监督债务人财产的管理和处分；

　　（二）监督破产财产分配；

　　（三）提议召开债权人会议；

　　（四）债权人会议委托的其他职权。

　　债权人委员会执行职务时，有权要求管理人、债务人的有关人员对其职权范围内的事务作出说明或者提供有关文件。

　　管理人、债务人的有关人员违反本法规定拒绝接受监督的，债权人委员会有权就监督事项请求人民法院作出决定；人民法院应当在五日内作出决定。

　　第六十九条　管理人实施下列行为，应当及时报告债权人委员会：

　　（一）涉及土地、房屋等不动产权益的转让；

　　（二）探矿权、采矿权、知识产权等财产权的转让；

　　（三）全部库存或者营业的转让；

　　（四）借款；

　　（五）设定财产担保；

　　（六）债权和有价证券的转让；

　　（七）履行债务人和对方当事人均未履行完毕的合同；

　　（八）放弃权利；

　　（九）担保物的取回；

　　（十）对债权人利益有重大影响的其他财产处分行为。

　　未设立债权人委员会的，管理人实施前款规定的行为应当及时报告人民法院。

　　第八章　重整

　　第一节　重整申请和重整期间

　　第七十条　债务人或者债权人可以依照本法规定，直接向人民法院申请对债务人进行重整。

　　债权人申请对债务人进行破产清算的，在人民法院受理破产申请后、宣告债务人破产前，债务人或者出资额占债务人注册资本十分之一以上的出资人，可以向人民法院申请重整。

　　第七十一条　人民法院经审查认为重整申请符合本法规定的，应当裁定债务人重整，并予以公告。

　　第七十二条　自人民法院裁定债务人重整之日起至重整程序终止，为重整期间。

　　第七十三条　在重整期间，经债务人申请，人民法院批准，债务人可以在管理人的监督下自行管理财产和营业事务。

　　有前款规定情形的，依照本法规定已接管债务人财产和营业事务的管理人应当向债务人移交财产和营业事务，本法规定的管理人的职权由债务人行使。

　　第七十四条　管理人负责管理财产和营业事务的，可以聘任债务人的经营管理人员负责营业事务。

　　第七十五条　在重整期间，对债务人的特定财产享有的担保权暂停行使。但是，担保物有损坏或者价值明显减少的可能，足以危害担保权人权利的，担保权人可以向人民法院请求恢复行使担保权。

　　在重整期间，债务人或者管理人为继续营业而借款的，可以为该借款设定担保。

　　第七十六条　债务人合法占有的他人财产，该财产的权利人在重整期间要求取回的，应当符合事先约定的条件。

　　第七十七条　在重整期间，债务人的出资人不得请求投资收益分配。

　　在重整期间，债务人的董事、监事、高级管理人员不得向第三人转让其持有的债务人的股权。但是，经人民法院同意的除外。

　　第七十八条　在重整期间，有下列情形之一的，经管理人或者利害关系人请求，人民法院应当裁定终止重整程序，并宣告债务人破产：

　　（一）债务人的经营状况和财产状况继续恶化，缺乏挽救的可能性；

　　（二）债务人有欺诈、恶意减少债务人财产或者其他显著不利于债权人的行为；

　　（三）由于债务人的行为致使管理人无法执行职务。

　　 第二节　重整计划的制定和批准

　　第七十九条　债务人或者管理人应当自人民法院裁定债务人重整之日起六个月内，同时向人民法院和债权人会议提交重整计划草案。

　　前款规定的期限届满，经债务人或者管理人请求，有正当理由的，人民法院可以裁定延期三个月。

　　债务人或者管理人未按期提出重整计划草案的，人民法院应当裁定终止重整程序，并宣告债务人破产。

　　第八十条　债务人自行管理财产和营业事务的，由债务人制作重整计划草案。

　　管理人负责管理财产和营业事务的，由管理人制作重整计划草案。

　　第八十一条　重整计划草案应当包括下列内容：

　　（一）债务人的经营方案；

　　（二）债权分类；

　　（三）债权调整方案；

　　（四）债权受偿方案；

　　（五）重整计划的执行期限；

　　（六）重整计划执行的监督期限；

　　（七）有利于债务人重整的其他方案。

　　第八十二条　下列各类债权的债权人参加讨论重整计划草案的债权人会议，依照下列债权分类，分组对重整计划草案进行表决：

　　（一）对债务人的特定财产享有担保权的债权；

　　（二）债务人所欠职工的工资和医疗、伤残补助、抚恤费用，所欠的应当划入职工个人账户的基本养老保险、基本医疗保险费用，以及法律、行政法规规定应当支付给职工的补偿金；

　　（三）债务人所欠税款；

　　（四）普通债权。

　　人民法院在必要时可以决定在普通债权组中设小额债权组对重整计划草案进行表决。

　　第八十三条　重整计划不得规定减免债务人欠缴的本法第八十二条第一款第二项规定以外的社会保险费用；该项费用的债权人不参加重整计划草案的表决。

　　第八十四条　人民法院应当自收到重整计划草案之日起三十日内召开债权人会议，对重整计划草案进行表决。

　　出席会议的同一表决组的债权人过半数同意重整计划草案，并且其所代表的债权额占该组债权总额的三分之二以上的，即为该组通过重整计划草案。

　　债务人或者管理人应当向债权人会议就重整计划草案作出说明，并回答询问。

　　第八十五条　债务人的出资人代表可以列席讨论重整计划草案的债权人会议。

　　重整计划草案涉及出资人权益调整事项的，应当设出资人组，对该事项进行表决。

　　第八十六条　各表决组均通过重整计划草案时，重整计划即为通过。

　　自重整计划通过之日起十日内，债务人或者管理人应当向人民法院提出批准重整计划的申请。人民法院经审查认为符合本法规定的，应当自收到申请之日起三十日内裁定批准，终止重整程序，并予以公告。

　　第八十七条　部分表决组未通过重整计划草案的，债务人或者管理人可以同未通过重整计划草案的表决组协商。该表决组可以在协商后再表决一次。双方协商的结果不得损害其他表决组的利益。

　　未通过重整计划草案的表决组拒绝再次表决或者再次表决仍未通过重整计划草案，但重整计划草案符合下列条件的，债务人或者管理人可以申请人民法院批准重整计划草案：

　　（一）按照重整计划草案，本法第八十二条第一款第一项所列债权就该特定财产将获得全额清偿，其因延期清偿所受的损失将得到公平补偿，并且其担保权未受到实质性损害，或者该表决组已经通过重整计划草案；

　　（二）按照重整计划草案，本法第八十二条第一款第二项、第三项所列债权将获得全额清偿，或者相应表决组已经通过重整计划草案；

　　（三）按照重整计划草案，普通债权所获得的清偿比例，不低于其在重整计划草案被提请批准时依照破产清算程序所能获得的清偿比例，或者该表决组已经通过重整计划草案；

　　（四）重整计划草案对出资人权益的调整公平、公正，或者出资人组已经通过重整计划草案；

　　（五）重整计划草案公平对待同一表决组的成员，并且所规定的债权清偿顺序不违反本法第一百一十三条的规定；

　　（六）债务人的经营方案具有可行性。

　　人民法院经审查认为重整计划草案符合前款规定的，应当自收到申请之日起三十日内裁定批准，终止重整程序，并予以公告。

　　第八十八条　重整计划草案未获得通过且未依照本法第八十七条的规定获得批准，或者已通过的重整计划未获得批准的，人民法院应当裁定终止重整程序，并宣告债务人破产。

　　第三节　重整计划的执行

　　第八十九条　重整计划由债务人负责执行。

　　人民法院裁定批准重整计划后，已接管财产和营业事务的管理人应当向债务人移交财产和营业事务。

　　第九十条　自人民法院裁定批准重整计划之日起，在重整计划规定的监督期内，由管理人监督重整计划的执行。

　　在监督期内，债务人应当向管理人报告重整计划执行情况和债务人财务状况。

　　第九十一条　监督期届满时，管理人应当向人民法院提交监督报告。自监督报告提交之日起，管理人的监督职责终止。

　　管理人向人民法院提交的监督报告，重整计划的利害关系人有权查阅。

　　经管理人申请，人民法院可以裁定延长重整计划执行的监督期限。

　　第九十二条　经人民法院裁定批准的重整计划，对债务人和全体债权人均有约束力。

　　债权人未依照本法规定申报债权的，在重整计划执行期间不得行使权利；在重整计划执行完毕后，可以按照重整计划规定的同类债权的清偿条件行使权利。

　　债权人对债务人的保证人和其他连带债务人所享有的权利，不受重整计划的影响。

　　第九十三条　债务人不能执行或者不执行重整计划的，人民法院经管理人或者利害关系人请求，应当裁定终止重整计划的执行，并宣告债务人破产。

　　人民法院裁定终止重整计划执行的，债权人在重整计划中作出的债权调整的承诺失去效力。债权人因执行重整计划所受的清偿仍然有效，债权未受清偿的部分作为破产债权。

　　前款规定的债权人，只有在其他同顺位债权人同自己所受的清偿达到同一比例时，才能继续接受分配。

　　有本条第一款规定情形的，为重整计划的执行提供的担保继续有效。

　　第九十四条　按照重整计划减免的债务，自重整计划执行完毕时起，债务人不再承担清偿责任。

　　第九章　和解

　　第九十五条　债务人可以依照本法规定，直接向人民法院申请和解；也可以在人民法院受理破产申请后、宣告债务人破产前，向人民法院申请和解。

　　债务人申请和解，应当提出和解协议草案。

　　第九十六条　人民法院经审查认为和解申请符合本法规定的，应当裁定和解，予以公告，并召集债权人会议讨论和解协议草案。

　　对债务人的特定财产享有担保权的权利人，自人民法院裁定和解之日起可以行使权利。

　　第九十七条　债权人会议通过和解协议的决议，由出席会议的有表决权的债权人过半数同意，并且其所代表的债权额占无财产担保债权总额的三分之二以上。

　　第九十八条　债权人会议通过和解协议的，由人民法院裁定认可，终止和解程序，并予以公告。管理人应当向债务人移交财产和营业事务，并向人民法院提交执行职务的报告。

　　第九十九条　和解协议草案经债权人会议表决未获得通过，或者已经债权人会议通过的和解协议未获得人民法院认可的，人民法院应当裁定终止和解程序，并宣告债务人破产。

　　第一百条　经人民法院裁定认可的和解协议，对债务人和全体和解债权人均有约束力。

　　和解债权人是指人民法院受理破产申请时对债务人享有无财产担保债权的人。

　　和解债权人未依照本法规定申报债权的，在和解协议执行期间不得行使权利；在和解协议执行完毕后，可以按照和解协议规定的清偿条件行使权利。

　　第一百零一条　和解债权人对债务人的保证人和其他连带债务人所享有的权利，不受和解协议的影响。

　　第一百零二条　债务人应当按照和解协议规定的条件清偿债务。

　　第一百零三条　因债务人的欺诈或者其他违法行为而成立的和解协议，人民法院应当裁定无效，并宣告债务人破产。

　　有前款规定情形的，和解债权人因执行和解协议所受的清偿，在其他债权人所受清偿同等比例的范围内，不予返还。

　　第一百零四条　债务人不能执行或者不执行和解协议的，人民法院经和解债权人请求，应当裁定终止和解协议的执行，并宣告债务人破产。

　　人民法院裁定终止和解协议执行的，和解债权人在和解协议中作出的债权调整的承诺失去效力。和解债权人因执行和解协议所受的清偿仍然有效，和解债权未受清偿的部分作为破产债权。

　　前款规定的债权人，只有在其他债权人同自己所受的清偿达到同一比例时，才能继续接受分配。

　　有本条第一款规定情形的，为和解协议的执行提供的担保继续有效。

　　第一百零五条　人民法院受理破产申请后，债务人与全体债权人就债权债务的处理自行达成协议的，可以请求人民法院裁定认可，并终结破产程序。

　　第一百零六条　按照和解协议减免的债务，自和解协议执行完毕时起，债务人不再承担清偿责任。

　　第十章　破产清算

　　第一节　破产宣告

　　第一百零七条　人民法院依照本法规定宣告债务人破产的，应当自裁定作出之日起五日内送达债务人和管理人，自裁定作出之日起十日内通知已知债权人，并予以公告。

　　债务人被宣告破产后，债务人称为破产人，债务人财产称为破产财产，人民法院受理破产申请时对债务人享有的债权称为破产债权。

　　第一百零八条　破产宣告前，有下列情形之一的，人民法院应当裁定终结破产程序，并予以公告：

　　（一）第三人为债务人提供足额担保或者为债务人清偿全部到期债务的；

　　（二）债务人已清偿全部到期债务的。

　　第一百零九条　对破产人的特定财产享有担保权的权利人，对该特定财产享有优先受偿的权利。

　　第一百一十条　享有本法第一百零九条规定权利的债权人行使优先受偿权利未能完全受偿的，其未受偿的债权作为普通债权；放弃优先受偿权利的，其债权作为普通债权。

　　第二节　变价和分配

　　第一百一十一条　管理人应当及时拟订破产财产变价方案，提交债权人会议讨论。

　　管理人应当按照债权人会议通过的或者人民法院依照本法第六十五条第一款规定裁定的破产财产变价方案，适时变价出售破产财产。

　　第一百一十二条　变价出售破产财产应当通过拍卖进行。但是，债权人会议另有决议的除外。

　　破产企业可以全部或者部分变价出售。企业变价出售时，可以将其中的无形资产和其他财产单独变价出售。

　　按照国家规定不能拍卖或者限制转让的财产，应当按照国家规定的方式处理。

　　第一百一十三条　破产财产在优先清偿破产费用和共益债务后，依照下列顺序清偿：

　　（一）破产人所欠职工的工资和医疗、伤残补助、抚恤费用，所欠的应当划入职工个人账户的基本养老保险、基本医疗保险费用，以及法律、行政法规规定应当支付给职工的补偿金；

　　（二）破产人欠缴的除前项规定以外的社会保险费用和破产人所欠税款；

　　（三）普通破产债权。

　　破产财产不足以清偿同一顺序的清偿要求的，按照比例分配。

　　破产企业的董事、监事和高级管理人员的工资按照该企业职工的平均工资计算。

　　第一百一十四条　破产财产的分配应当以货币分配方式进行。但是，债权人会议另有决议的除外。

　　第一百一十五条　管理人应当及时拟订破产财产分配方案，提交债权人会议讨论。

　　破产财产分配方案应当载明下列事项：

　　（一）参加破产财产分配的债权人名称或者姓名、住所；

　　（二）参加破产财产分配的债权额；

　　（三）可供分配的破产财产数额；

　　（四）破产财产分配的顺序、比例及数额；

　　（五）实施破产财产分配的方法。

　　债权人会议通过破产财产分配方案后，由管理人将该方案提请人民法院裁定认可。

　　第一百一十六条　破产财产分配方案经人民法院裁定认可后，由管理人执行。

　　管理人按照破产财产分配方案实施多次分配的，应当公告本次分配的财产额和债权额。管理人实施最后分配的，应当在公告中指明，并载明本法第一百一十七条第二款规定的事项。

　　第一百一十七条　对于附生效条件或者解除条件的债权，管理人应当将其分配额提存。

　　管理人依照前款规定提存的分配额，在最后分配公告日，生效条件未成就或者解除条件成就的，应当分配给其他债权人；在最后分配公告日，生效条件成就或者解除条件未成就的，应当交付给债权人。

　　第一百一十八条　债权人未受领的破产财产分配额，管理人应当提存。债权人自最后分配公告之日起满二个月仍不领取的，视为放弃受领分配的权利，管理人或者人民法院应当将提存的分配额分配给其他债权人。

　　第一百一十九条　破产财产分配时，对于诉讼或者仲裁未决的债权，管理人应当将其分配额提存。自破产程序终结之日起满二年仍不能受领分配的，人民法院应当将提存的分配额分配给其他债权人。

　　第三节　破产程序的终结

　　第一百二十条　破产人无财产可供分配的，管理人应当请求人民法院裁定终结破产程序。

　　管理人在最后分配完结后，应当及时向人民法院提交破产财产分配报告，并提请人民法院裁定终结破产程序。

　　人民法院应当自收到管理人终结破产程序的请求之日起十五日内作出是否终结破产程序的裁定。裁定终结的，应当予以公告。

　　第一百二十一条　管理人应当自破产程序终结之日起十日内，持人民法院终结破产程序的裁定，向破产人的原登记机关办理注销登记。

　　第一百二十二条　管理人于办理注销登记完毕的次日终止执行职务。但是，存在诉讼或者仲裁未决情况的除外。

　　第一百二十三条　自破产程序依照本法第四十三条第四款或者第一百二十条的规定终结之日起二年内，有下列情形之一的，债权人可以请求人民法院按照破产财产分配方案进行追加分配：

　　（一）发现有依照本法第三十一条、第三十二条、第三十三条、第三十六条规定应当追回的财产的；

　　（二）发现破产人有应当供分配的其他财产的。

　　有前款规定情形，但财产数量不足以支付分配费用的，不再进行追加分配，由人民法院将其上交国库。

　　第一百二十四条　破产人的保证人和其他连带债务人，在破产程序终结后，对债权人依照破产清算程序未受清偿的债权，依法继续承担清偿责任。

　　第十一章　法律责任

　　第一百二十五条　企业董事、监事或者高级管理人员违反忠实义务、勤勉义务，致使所在企业破产的，依法承担民事责任。

　　有前款规定情形的人员，自破产程序终结之日起三年内不得担任任何企业的董事、监事、高级管理人员。

　　第一百二十六条　有义务列席债权人会议的债务人的有关人员，经人民法院传唤，无正当理由拒不列席债权人会议的，人民法院可以拘传，并依法处以罚款。债务人的有关人员违反本法规定，拒不陈述、回答，或者作虚假陈述、回答的，人民法院可以依法处以罚款。

　　第一百二十七条　债务人违反本法规定，拒不向人民法院提交或者提交不真实的财产状况说明、债务清册、债权清册、有关财务会计报告以及职工工资的支付情况和社会保险费用的缴纳情况的，人民法院可以对直接责任人员依法处以罚款。

　　债务人违反本法规定，拒不向管理人移交财产、印章和账簿、文书等资料的，或者伪造、销毁有关财产证据材料而使财产状况不明的，人民法院可以对直接责任人员依法处以罚款。

　　第一百二十八条　债务人有本法第三十一条、第三十二条、第三十三条规定的行为，损害债权人利益的，债务人的法定代表人和其他直接责任人员依法承担赔偿责任。

　　第一百二十九条　债务人的有关人员违反本法规定，擅自离开住所地的，人民法院可以予以训诫、拘留，可以依法并处罚款。

　　第一百三十条　管理人未依照本法规定勤勉尽责，忠实执行职务的，人民法院可以依法处以罚款；给债权人、债务人或者第三人造成损失的，依法承担赔偿责任。

　　第一百三十一条　违反本法规定，构成犯罪的，依法追究刑事责任。

　　第十二章　附则

　　第一百三十二条　本法施行后，破产人在本法公布之日前所欠职工的工资和医疗、伤残补助、抚恤费用，所欠的应当划入职工个人账户的基本养老保险、基本医疗保险费用，以及法律、行政法规规定应当支付给职工的补偿金，依照本法第一百一十三条的规定清偿后不足以清偿的部分，以本法第一百零九条规定的特定财产优先于对该特定财产享有担保权的权利人受偿。

　　第一百三十三条　在本法施行前国务院规定的期限和范围内的国有企业实施破产的特殊事宜，按照国务院有关规定办理。

　　第一百三十四条　商业银行、证券公司、保险公司等金融机构有本法第二条规定情形的，国务院金融监督管理机构可以向人民法院提出对该金融机构进行重整或者破产清算的申请。国务院金融监督管理机构依法对出现重大经营风险的金融机构采取接管、托管等措施的，可以向人民法院申请中止以该金融机构为被告或者被执行人的民事诉讼程序或者执行程序。

　　金融机构实施破产的，国务院可以依据本法和其他有关法律的规定制定实施办法。

　　第一百三十五条　其他法律规定企业法人以外的组织的清算，属于破产清算的，参照适用本法规定的程序。

　　第一百三十六条　本法自2007年6月1日起施行，《中华人民共和国企业破产法（试行）》同时废止。

 
关于《中华人民共和国企业破产法（草案）》的说明

　　——2004年6月21日在第十届全国人民代表大会常务委员会第十次会议上
　　全国人大财政经济委员会副主任委员贾志杰
　　委员长、各位副委员长、秘书长、各位委员：
　　我受全国人大财经委员会委托，就《中华人民共和国企业破产法(草案)》(以下简称草案)作如下说明：
　　一、关于制定企业破产法的必要性和草案起草过程
　　企业破产制度是企业在市场竞争中，因各种原因不能清偿到期债务，通过重整、和解或清算等法定程序，使债务得以延缓或公平清偿的债务清理制度。企业破产法是规范企业破产行为，公正审理破产案件，全面保护各方当事人利益，维护社会主义市场经济秩序的法律，也是形成中国特色社会主义法律体系的一部重要法律。
　　早在1986年，全国人大常委会就制定了企业破产法(试行)，对国有企业(即全民所有制企业)的破产作了规定。1991年全国人大修订民事诉讼法，在第十九章专章规定了“企业法人破产还债程序”。这两部法律及其他法律、行政法规的相关规定，对规范我国企业破产行为，审理企业破产案件发挥了重要作用。但是，随着社会主义市场经济体制的逐步确立和国有企业改革的深化，我国企业破产出现了一些新情况。一方面，随着公司法、合伙企业法、个人独资企业法的颁布实施，使现行企业破产法已不适应目前企业组织破产的实际情况；另一方面，现行企业破产法对破产程序的规定比较原则，难于操作。并缺少重整等企业挽救程序，以及切实保护债务人财产，维护职工合法权益，保证程序正常进行的其他相关制度。此外，人民法院在审理破产案件中积累了许多实践经验，有的需要上升为法律。这些客观情况都要求我们尽快出台一部统一适用于所有企业的破产法。
　　根据八届全国人大常委会立法规划，财经委员会从1994年开始组织起草破产法。起草组总结企业破产法(试行)、民事诉讼法及国务院对国有企业政策性破产有关规定的实施经验，起草出《中华人民共和国破产法(草案)》。因对出台时机存在不同意见，以及社会保障制度不配套等原因，当时未安排审议。九届全国人大期间，起草工作继续进行。
　　十届全国人大常委会将企业破产法列入五年立法规划，确定仍由财经委员会负责起草。财经委员会于2003年8月组成新的起草班子，再次启动起草工作。起草组根据常委会领导的指示和立法指导思想，总结以往工作，结合我国国情和实践经验，广泛开展调查研究，多次召开立法座谈会，认真听取各方意见，并于2003年11月将草案送各省、市、自治区和国务院有关部门、单位征求意见。对草案涉及的一些重要问题，财经委员会负责同志与有关单位、部门多次协商，基本取得一致意见。2004年5月，财经委员会再次召开立法座谈会，征求法院、有关部门、地方、企业和破产事务从业人员的意见，就草案的重要问题进一步达成共识。5月28日，财经委员会将草案送常委会办公厅，正式征求国务院意见。其后，根据常委会领导的指示和国务院、最高人民法院及有关单位的意见，财经委员会再次进行修改，形成了目前的草案。6月14日，财经委员会召开第二十七次全体会议，审议通过了草案。
　　草案共十一章一百六十四条，除总则和附则外，对破产案件的申请和受理、管理人、债务人财产、债权申报、债权人会议、重整、和解、破产清算以及法律责任等分章作了规定。
　　二、关于本法的立法指导思想
　　本法的立法指导思想是：
　　第一，立足我国国情和实践经验，充分体现中国特色；适应建立社会主义市场经济体制和加入世贸组织的要求，注意将国际经验与中国具体情况相结合，充分反映我国现阶段的实际需要和解决现实问题。
　　第二，统一适用于各类企业组织。随着社会主义市场经济发展，我国出现了公司、合伙企业与个人独资企业等新的企业组织形式，形成多种企业组织形式共存的局面。企业破产法既要适用于新的企业，也要适用于原有企业，包括国有企业和外商投资企业等各类企业组织。
　　第三，建立优胜劣汰和陷入困境企业的挽救制度。企业破产原因非常复杂，适用破产程序要具体分析。立法要对无挽救希望的企业及时清理债权债务，避免造成更大损失；对陷入困境但有挽救希望的大中型企业要通过重整、和解程序尽力救助，使其恢复生机。
　　第四，公平保护破产案件各方当事人的利益。在企业破产实践中，既有债务人“恶意破产”，逃避债务的情况，也有债权人之间得不到公平清偿，以及部分债权人不顾整体利益，使一些有挽救希望的企业被破产清算的情况。为此，草案要全面规范企业破产行为，公平保护各方当事人利益。
　　第五，充分保障职工合法权益。职工是企业破产的直接受害者。一些企业在破产案件中存在严重损害职工利益，影响社会稳定的情况，起草本法要解决这些问题，切实保护职工合法权益。
　　第六，维护破产法律制度的统一。除本法外，还有一些法律、行政法规，如民事诉讼法、公司法、商业银行法、保险法等，都对相关企业的破产作出了规定，起草本法要注意与这些法律、行政法规之间的衔接，避免法律冲突。
　　三、关于草案的若干重要问题
　　在市场经济发达国家，破产法已经有了比较完整的体系。我国破产立法历史较短，起草中，对草案涉及到的几个重要问题存在一些分歧和不同认识，经过反复讨论、协调，目前基本达成共识。下面就草案涉及的几个重要问题说明如下：
　　(一)关于适用范围。草案第二条规定，本法的适用范围包括企业法人、合伙企业及其合伙人、个人独资企业及其出资人、其他依法设立的营利性组织，较现行企业破产法，适用范围扩大到所有类型的企业。国有企业作为企业法人仍属本法的调整对象。
　　在起草过程中，有同志建议将2300万个体工商户和个人在消费行为中可能出现的破产纳入本法调整。经过认真研究，我们认为，实施个人破产制度的前提是，国家具有比较完备的个人财产登记制度和良好的社会信用环境，目前我国这方面的制度还不完善，将上述个人破产纳入本法调整的时机尚不成熟。
　　考虑到合伙企业的合伙人和个人独资企业的出资人对企业债务承担无限连带责任，当这两类企业破产时，可能连带到合伙人和出资人的个人财产。为公平清偿债务，维护我国企业立法和企业破产法的协调统一，也为今后建立个人破产制度积累经验，草案将合伙企业合伙人和个人独资企业出资人可能出现的连带破产，一并纳入本法调整，并规定了相应的免责制度。
　　(二)关于破产原因。现行企业破产法将破产原因规定为：“经营管理不善造成严重亏损，不能清偿到期债务”，司法实践表明，“经营管理不善造成严重亏损”很难认定和操作，根据这一情况，为保证法律实施，草案第三条规定：“债务人不能清偿到期债务，资产不足以清偿全部债务的，依照本法规定的程序清理债务”，即将“资产不足以清偿全部债务”与“不能清偿到期债务”并列为破产原因。为便于法院审查，草案第十一条第三款规定：“债务人提出申请的，应当向人民法院提交财产状况说明书、债务清册、债权清册和有关财务报告。”同时，为解决债权人不了解债务人资产负债情况，无法启动破产程序的问题，草案借鉴现行企业破产法(第七条)，在第十条第二款规定：“债务人不能清偿到期债务，债权人可以申请债务人破产。”人民法院对于债权人的申请，可以根据草案第三条的规定决定是否受理。
　　(三)关于管理人。管理人是依照本法规定，在企业破产程序中负责债务人财产管理和其他事务的当事人。管理人制度是本法建立的一项新制度，对此各方面认识比较一致。目前我国一些地方在破产实践中，已采用类似管理人的做法，由破产清算事务所等中介机构负责破产事务，从操作情况看是可行的。
　　为全面规范管理人制度，草案专设一章作了具体规定。一是根据现行企业破产法和其他法律、政策的实施经验，规定管理人可以由依法设立或人民法院指定设立的清算组担任，同时规定，破产清算事务所、律师事务所、会计师事务所等社会中介机构，以及具备相关专业知识并取得专门执业资格的人员可以担任管理人。二是规定了管理人的职责及监督。三是对直接提出重整的债务人，允许其申请自行管理财产和经营事务。四是对管理人违反忠于职守和勤勉尽责义务或有其他违法行为的，草案规定了应承担的法律责任。
　　(四)关于重整。重整也是本法引入的一项新的程序，目的是使面临困境但有挽救希望的企业避免破产清算，恢复生机。草案立足中国国情，借鉴国外经验，专章对重整的适用范围、基本程序、保护措施、重整计划等内容作了规定。
　　起草中，有同志建议将重整适用于所有企业。考虑到重整历时较长，程序比较复杂，如适用于所有企业类型，社会成本过高，实践中容易被滥用，损害债权人利益，故草案确定重整仅适用于企业法人。
　　为了增加重整成功的可能性，草案对重整原因适当放宽，规定企业有可能出现不能清偿到期债务情形时，就可以直接申请重整。为了发挥企业经营管理层了解企业真实情况的优势，鼓励债务人通过法定程序尽早解决企业内部存在的问题，草案规定，当债务人提出重整申请时，可以向人民法院申请自行管理财产和营业事务。为了保证债权人收益最大化，维护社会整体利益，增加重整计划通过的可能性，草案还赋予人民法院司法裁量权，对符合本法第八十六条规定情形的重整计划，人民法院应当裁定批准。
　　(五)关于国有企业破产。国有企业破产是本法起草中的一个难点问题。经过认真研究，草案第一百六十二条规定：“在国务院规定的期限和范围内，国有企业实施破产的，按照国务院有关规定办理。”这样规定主要是考虑，国有企业在我国经济发展和改革开放中发挥了重要作用，承担了巨大的改革成本。由于体制、机制和结构调整等方面的原因，部分国有企业出现经营困难，需要实施关闭破产。因历史原因，这类企业实施关闭破产的难度较大，主要难在职工安置上。为解决这一问题，国家对部分实施破产的国有企业，制定了一些相关政策，包括职工安置方案、破产财产处置、破产预案制定、清算组、银行呆坏账核销等。这些措施在实践中发挥了重要作用。根据目前情况，这些特殊政策还要持续一段时间，草案应当给这类国有企业的政策性破产留有余地。由于上述政策措施只适用于特定的国有企业，其范围在国务院文件中已经明确，加之这些政策具有过渡性质，因此，草案授权国务院根据具体情况确定特殊政策的实施期限，期限届满后，所有国有企业的破产应完全依照本法执行。
　　(六)关于商业银行、保险公司等金融机构的破产。起草中，对商业银行、保险公司等金融机构破产是否纳入本法调整存在一些不同看法。经过广泛讨论，并考虑到我国现行法律对商业银行、保险公司的破产问题已有规定。如《商业银行法》第七十一条规定：“商业银不能支付到期债务，经国务院银行业监督管理机构同意，由人民法院依法宣告其破产。”《保险法》第八十六条规定：“保险公司不能支付到期债务，经保险监督管理机构同意，由人民法院依法宣告破产。”因此，总体上说，商业银行、保险公司等金融机构的破产应当适用本法规定的程序。
　　但是，商业银行、保险公司等金融机构确实存在特殊性。例如，这类机构的资产分为自有资产与客户财产两部分，需要对其破产时的客户财产保护作出专门规定；同时，这类机构的破产涉及人数众多，关系到社会稳定，启动破产程序须经监管部门批准。此外，在管理人、债权人会议等具体程序上还需作一些其他特别规定。为了解决商业银行、保险公司等金融机构破产的现实需要，并维护法律的协调统一，草案第一百六十三条规定：“商业银行、保险公司等金融机构实施破产的，由国务院依据本法和其他有关法律的规定制定实施办法。”
　　(七)关于职工权益保护。维护和保障破产企业职工的合法权益，是本法的一项重要指导思想。我国已经改革了计划经济时期的职工退休等制度，新的社会保障制度正在逐步建立，在这种情况下企业发生破产，有些职工的生活保障可能产生问题。在破产实践中，也实际存在着严重损害职工合法权益的情况。
　　为充分保障破产企业职工的合法权益，草案吸收全国总工会、劳动和社会保障部门等单位的意见，重点规定了以下内容：一是在总则中明确规定“人民法院审理破产案件应当依法保障企业职工的合法权益”(第九条)。二是将劳动债权，即企业所欠职工工资和社会保险费用，以及法律、行政法规规定应当支付给职工的补偿金等其他费用作为第一顺序清偿(第一百三十七条)。三是规定在债权申报时，劳动债权无须申报即可生效，由管理人记入债权表并予以公示(第四十六条)。四是规定企业的职工和工会可以派代表参加债权人会议(第五十四条)。五是规定在债权人委员会中必须有一名劳动债权代表(第六十二条)。六是规定在重整计划表决时，劳动债权作为债权分类之一进行表决(第八十一条、第八十五条)，以上这些规定，都是为加强破产企业职工的保护，保证企业职工在破产程序中的知情权、参与权和表决权。
　　此外，为了追究经营管理人员对造成企业破产应负的责任，草案第九条规定，要依法追究破产企业经营管理人员的法律责任；在第一百五十一条规定，企业的经营管理人员未尽忠于职守和勤勉尽责义务的，应当承担相应的民事责任，在民事责任免除前，不得进行任何高消费或者投资行为，有犯罪行为的要追究刑事责任等。
　　《中华人民共和国企业破产法(草案)》和以上说明是否妥当，请予审议。
全国人大法律委员会关于《中华人民共和国企业破产法（草案）》修改情况的汇报

　　--2004年10月22日在第十届全国人民代表大会常务委员会第十二次会议上
　　全国人大法律委员会副主任委员 蒋黔贵
　　全国人民代表大会常务委员会：
　　十届全国人大常委会第十次会议对企业破产法（草案）进行了初次审议。会后，法制工作委员会将草案印发各省（区、市）、中央有关部门和部分企业、研究机构征求意见。法律委员会、法制工作委员会还会同财经委员会召开中央有关部门座谈会，会同最高人民法院召开法院系统座谈会，会同全国总工会召开部分企业工会负责人座谈会，还召开了专家座谈会，分别听取意见。法律委员会于10月9日召开会议，根据常委会组成人员的审议意见以及各方面的意见，对草案进行了审议。财经委员会、国务院法制办的负责同志和最高人民法院的有关同志列席了会议。10月19日，法律委员会召开会议，再次进行了审议。现将企业破产法（草案）主要问题的修改情况汇报如下：
　　一、草案第二条规定，本法的适用范围包括企业法人、合伙企业及其合伙人、个人独资企业及其出资人，以及其他依法设立的营利性组织。
　　关于本法的适用范围是否包括“其他依法设立的营利性组织”的问题，有的常委委员和地方、部门提出，草案上述规定中“其他依法设立的营利性组织”是指哪些组织，它们与企业有什么实质区别，其投资人对该组织的债务是承担有限责任还是无限责任，都不清楚，将其纳入本法的适用范围，在实践中难以操作。法律委员会经研究认为，目前存在的企业以外的“营利性组织”，其中不少本身就属于企业的性质，随着改革的深化将会逐步改制成为企业，可以直接适用本法规定；对不属于企业的“营利性组织”，应在明确界定其范围和责任形式的基础上，再研究如何对其实施破产的问题，本法作为企业破产法，可以不作规定。法律委员会经同财经委员会、最高人民法院研究，建议删去草案关于本法适用于企业以外的其他营利性组织的规定。
　　关于本法的适用范围是否包括“合伙企业及其合伙人、个人独资企业及其出资人”的问题，有不同的意见。有些常委委员、最高人民法院和有些地方、部门、专家提出，将合伙企业及其合伙人、个人独资企业及其出资人纳入破产法的适用范围，涉及从事经营活动的个人的破产问题。目前，在我国个人信用体系还不健全，尚无有效手段防止个人借破产之机隐匿财产、逃避债务的情况下，对个人实行破产的条件尚不成熟。有些常委委员和有的地方、专家提出，将这两类个人投资设立的企业及其投资人纳入破产法的适用范围，对经营失败的诚实的个人投资者实行破产免责，有利于促进这两类企业的发展，也可以为探索建立个人破产制度积累经验。还有些常委委员和有的地方、部门、专家提出，如果将合伙企业合伙人、个人独资企业出资人纳入本法适用范围，同样从事经营活动的个体工商户也应纳入本法适用范围，否则，不符合平等对待市场主体的原则。法律委员会经对上述各种意见认真研究认为：草案在总结实践经验的基础上，将破产法的适用范围扩大到承担有限责任的各种所有制的企业法人，已是一大进步。至于不具有法人资格的合伙企业、个人独资企业，由于现行法律规定其合伙人、出资人应对企业债务承担无限连带责任，这些企业如果破产，必然会连带牵涉到企业合伙人、出资人个人破产问题。而对个人破产如何规范的问题，还缺乏必要的实践经验，各方面的意见也不一致，将其纳入破产法适用范围的条件尚不成熟。因此，合伙企业、个人独资企业破产时本法哪些规定可以适用、如何适用，其合伙人、出资人如何承担无限连带责任、如何免责，还需要进一步研究，在条件成熟时，再通过修改有关法律，予以明确。在有关法律修改前，这两类企业的债务清偿问题，仍可按照民事诉讼法等有关法律的规定执行。据此，法律委员会经同财经委员会、最高人民法院研究，建议将本法的适用范围限定为企业法人。同时，为了同下一步修改有关法律相衔接，建议在附则中增加一条，规定：“合伙企业、个人独资企业的破产对本法规定的适用，由有关法律规定。”
　　二、草案第三条第一款规定：“债务人不能清偿到期债务，资产不足以清偿全部债务的，依照本法规定的程序清理债务。”有些常委委员和地方、部门、专家提出，债务人不能清偿到期债务，如果属于暂时资金周转不灵，不应该宣告其破产；如果确属长期亏损，扭亏无望，实际上已丧失清偿全部债务能力，即使其现有资产可能略大于负债，也可以及时启动破产程序清理债务，不一定要等其继续亏损到资不抵债时再宣告破产，这对债权人和债务人都更为有利。有些常委会组成人员提出，企业破产原因，应按不能清偿到期债务、资不抵债、扭亏无望的原则，从严掌握。法律委员会经同财经委员会研究，建议将草案关于企业破产原因的规定修改为：“企业法人不能清偿到期债务，并且资产不足以清偿全部债务或者明显缺乏清偿能力的，依照本法规定清理债务。”
　　三、草案第十一条第二款中规定，债务人提出破产申请的，应当向人民法院提交财产状况说明书、债务清册、债权清册和有关的财务报告。有些常委委员、地方和部门提出，为使法院在审理破产案件时全面了解企业职工的有关情况，更好地依法维护职工的合法权益，维护社会稳定，建议债务人提出破产申请的，除应当向人民法院提交财产状况说明等材料外，还应当提交企业职工情况和安置预案以及职工工资和社会保险费用支付情况。法律委员会赞成这个意见，建议将上述规定修改为，“债务人提出申请的，应当向人民法院提交财产状况说明、债务清册、债权清册、有关财务报告、企业职工情况和安置预案以及职工工资和社会保险费用支付情况。”
　　四、草案第十三条第一款规定，人民法院收到破产申请后，应当在十五日内决定是否受理。有的地方、部门、单位提出，人民法院在收到债权人的破产申请后，应当通知债务人，债务人有异议的，有权向人民法院提出。为了保障债务人异议权的行使，人民法院决定是否受理破产申请的期限在这种情况下可以适当延长。据此，法律委员会建议在这一条中增加一款，规定：“债权人提出申请的，人民法院应当在收到申请之日起五日内通知债务人。债务人对申请有异议的，应当自收到人民法院的通知之日起七日内向人民法院提出。” 并将草案第十三条第一款修改为：“人民法院应当自收到破产申请之日起十五日内裁定是否受理。有特殊情况需要延长的，经上一级人民法院批准，可以延长十五日。”
　　五、有的地方、部门、单位提出，为了防止假破产、真逃债，法院在受理破产申请后，发现不符合受理条件的，可以驳回申请。法律委员会赞成这个意见，建议增加规定：“人民法院受理破产申请后，经审查发现债务人不符合本法第二条规定情形的，应当裁定驳回申请。对人民法院驳回破产申请的裁定不服的，申请人可以在裁定送达之日起十日内向上一级人民法院提起上诉。”
　　六、草案第十六条规定，人民法院对财产数额较小、债权债务关系清楚的破产案件，可以由一个审判员单独进行审理。最高人民法院和有些地方、单位提出，企业破产案件涉及的问题比较复杂，影响面大，以不采取独任审判制度为宜。法律委员会赞成这个意见，建议将这一条删去。
　　七、草案第二十条第二款规定，人民法院指定的管理人由债权人会议确认或者另行选任。有些常委委员和地方、部门提出，破产程序是法院主导下清理债权债务的司法程序。为了保证管理人对法院负责，依法公正地履行职责，处理有关破产事务，破产管理人应由人民法院指定。同时，为了保证法院对管理人的指定以及管理人报酬的确定能够公平、公正，应由最高人民法院统一制定指定管理人和确定管理人报酬的办法。法律委员会建议采纳这个意见，将草案上述规定修改为：“管理人由人民法院指定。” “债权人会议认为管理人不能依法、公正履行职务或者有其他不能胜任职务情形的，可以请求人民法院予以解任，另行指定。” “指定管理人和确定管理人报酬的办法，由最高人民法院规定。”
　　八、按照草案第二十一条的规定，管理人可以由依法设立或者人民法院指定设立的清算组担任，也可以由依法设立的律师事务所、会计师事务所、破产清算事务所等中介机构担任，还可以由具备相关专业知识并取得专门执业资格的个人担任。有的常委委员和地方、部门提出，管理人在企业的重整、和解、破产清算程序中，要负责处理大量复杂事务，个人难当此任，还是由有关机构担任为宜。特别是国有企业的破产涉及国有资产处置、职工安置等复杂问题，需要由政府有关部门、机构的人员组成的清算组担任管理人。法律委员会原则赞成这个意见；同时，经同财经委员会研究，考虑到有些规模较小、债权债务关系又比较简单的企业，也可以考虑由法院征求有关机构的意见后，指定符合条件的个人担任管理人。据此，法律委员会建议将草案上述规定修改为：“管理人可以由有关部门、机构的人员组成的清算组或者依法设立的律师事务所、会计师事务所、破产清算事务所等社会中介机构担任。” “人民法院根据破产企业的实际情况，可以在征询有关社会中介机构的意见后，指定该机构具备相关专业知识并取得专门执业资格的人员担任管理人。”
　　九、草案第三十一条规定，人民法院受理破产案件后，已经开始而尚未终结的有关债务人财产的民事诉讼应当中止。有的部门、专家提出，人民法院受理破产案件后，已经开始而尚未终结的有关债务人财产的仲裁也应当中止。法律委员会赞成这个意见，建议将这一条修改为：“人民法院受理破产案件后，已经开始而尚未终结的有关债务人财产的民事诉讼或者仲裁应当中止；在管理人接管债务人的财产后，诉讼或者仲裁继续进行。”
　　十、草案第四十六条第二款规定：“劳动债权由管理人记入债权表并予以公示。”有些常委委员和地方、部门、专家提出，要不要提劳动债权的概念，值得商榷，因为它有可能与其他债权相混同，不利于保护破产企业职工的合法权益。最好不用劳动债权的概念，对破产企业欠职工的工资和欠职工个人的基本养老、医疗保险费用以及法律、行政法规规定应当支付给职工的补偿金在破产清算中如何清偿直接作出规定就可以了。法律委员会赞成这个意见，建议将草案第四十六条第二款修改为：“破产企业所欠职工的工资和基本社会保险费用，以及法律、行政法规规定应当支付给职工的补偿金，不必申报，由管理人列出清单并予以公示。职工对清单记载有异议的，可以要求管理人更正；管理人不予更正的，职工可以向人民法院提起诉讼。”
　　十一、草案第一百二十一条将对破产企业的特定财产享有抵押权、质权、留置权等担保权利的权利人概括为别除权人，即这些债权人可以对破产企业的这些特定财产优先得到清偿。草案第一百三十七条规定，破产财产在优先清偿破产费用和共益债务后，依照下列顺序清偿：（一）破产人所欠职工工资和欠缴的社会保险费用，以及法律、行政法规规定应当支付给职工的补偿金等其他费用；（二）破产人所欠税款；（三）普通破产债权。对这样规定，有两种不同的意见。一种意见认为，为了保障职工的基本生活需要，对破产企业所欠的职工工资和社会保险费用等应在破产财产中优先受偿，特别是在破产企业多数财产都已用于抵押担保的情况下，将破产企业所欠的职工工资和社会保险费用等放在有担保的债权之后实际上难以得到清偿，应将其提到有担保的债权之前清偿。另一种意见不赞成将破产企业所欠的职工工资和社会保险费用等放在有担保的债权之前清偿，认为这将会使担保权人的担保权落空，动摇担保制度的基础，危害交易安全，也会使困难企业更难得到贷款。法律委员会经认真研究认为，以上两种意见各有一定道理。我国是社会主义国家，必须首先考虑职工的合法权益，保障他们的基本生活，维护社会稳定。同时，又要考虑担保权人的权益，职工在破产企业财产中优先受偿的范围应限于破产企业所欠职工的工资和基本社会保险费用以及补偿金。据此，法律委员会建议对草案第一百三十七条作必要的修改，并增加一款，作为第二款，规定：“对破产人所欠职工的工资和基本社会保险费用以及法律、行政法规规定应当支付给职工的补偿金，按照前款规定仍未受到清偿的部分，在本法第一百一十三条规定的特定财产中优先受偿。”同时，对草案第一百二十一条作相应的修改。
　　十二、草案第一百六十二条规定：“在国务院规定的期限和范围内，国有企业实施破产的，按照国务院有关规定办理。”有些常委会组成人员和地方、部门提出，为了解决国有企业一些历史遗留问题，目前按照国务院关于对部分国有企业实施政策性破产的规定，在本法施行后还需要继续实行一段时间。但是，本法实施后继续实施政策性破产的国有企业的范围和期限，应当是国务院在本法施行前已经确定的；国有企业需要按政策性破产办理的，主要是职工安置及其资金保障等特殊事宜，本法的有关规定对实行政策性破产的国有企业也是适用的。法律委员会经研究，建议将这一条修改为：“在本法施行前国务院规定的期限和范围内的国有企业实施破产的特殊事宜，按照国务院有关规定办理。”
　　此外，还对草案作了一些文字修改。
　　草案二次审议稿已按上述意见作了修改，法律委员会建议本次常委会会议再次审议。
　　草案二次审议稿和以上汇报是否妥当，请审议。
全国人大法律委员会关于《中华人民共和国企业破产法（草案）》审议结果的报告

　　--2006年8月22日在第十届全国人民代表大会常务委员会第二十三次会议上
　　全国人大法律委员会副主任委员 蒋黔贵
　　全国人民代表大会常务委员会：
　　常委会第十二次会议对企业破产法（草案二次审议稿）进行了审议。会后，全国人大常委会办公厅将草案二次审议稿送国务院办公厅，征求国务院的意见；法律委员会、法制工作委员会就草案几个主要问题同国务院法制办等部门和最高人民法院交换意见，反复研究。法律委员会于8月8日召开会议，根据常委会组成人员的审议意见和各方面的意见，对草案进行了审议。财经委员会和最高人民法院、国务院法制办的负责同志列席了会议。8月17日，法律委员会召开会议，再次进行了审议。法律委员会认为，为了规范企业破产程序，公平清理债权债务，维护社会主义市场经济秩序，制定本法是必要的，草案基本可行；同时，提出以下主要修改意见：
　　一、草案二次审议稿第五条规定，人民法院依本法作出的裁定，自裁定作出之日起生效；对人民法院依本法规定作出的裁定，不得上诉。有些常委委员和部门提出，关于人民法院裁定的生效日期及对其裁定是否可以上诉的问题，民事诉讼法已有明确规定，应按民事诉讼法的有关规定执行，本法可以不作重复规定。法律委员会经同最高人民法院研究，建议将这一条删去。
　　二、草案二次审议稿第十三条第二款规定，债权人提出破产申请的，债务人应当自收到人民法院受理申请的裁定之日起十五日内，向人民法院提交财产状况的有关材料。有些常委委员提出，为了使人民法院及时了解破产人支付职工工资等费用的情况，保障在破产程序中依法清偿职工被拖欠的工资等费用，在债务人向人民法院提交的有关材料中，还应包括对职工工资支付和社会保险费用的缴纳情况。法律委员会经同财经委员会研究，建议在这一款中增加规定：债务人应当向人民法院提交有关“职工工资的支付和社会保险费用的缴纳情况”的材料。
　　三、草案二次审议稿第八十三条规定，企业重整计划由债权人会议分组表决通过。有的常委委员和部门提出，如果重整计划草案涉及对破产企业出资人享有的出资权益作出调整的，有关事项还应经出资人表决。法律委员会经同财经委员会和最高人民法院研究，建议增加规定：“重整计划草案涉及出资人权益调整事项的，应当设出资人组，对该事项进行表决。”
　　四、草案二次审议稿第一百二十七条中规定，破产人所欠职工的工资、基本社会保险费用以及依法应当支付给职工的补偿金，以破产人无担保财产优先清偿；不足清偿的部分，以担保财产优先于担保权人清偿。有些常委会组成人员和部门提出，为了保障职工的合法权益，对破产企业所欠的职工工资等费用优先清偿是必要的，同时也要维护担保制度和交易安全。有些常委委员和部门提出，破产企业所欠职工的医疗费、伤残补助费和抚恤金也应纳入优先清偿的范围。近两年来，法律委员会、法制工作委员会就这个问题同国务院法制办反复进行了研究。国务院法制办经征求有关部门的意见，并报国务院同意，提出的建议修改方案是：破产人所欠职工的工资和医疗、伤残补助、抚恤费用以及依法应当缴纳的基本社会保险费用和依法应当支付给职工的补偿金，以破产人无担保的财产优先清偿。不足以清偿的部分，属于本法公布前所欠的，在破产人有担保的财产中优先于担保权人受偿。提出这一方案的主要考虑是：对破产法公布前企业拖欠的职工工资等费用，作为历史遗留问题，采取一些特殊措施较为彻底地解决，是必要的。由于这部分历史欠账已是一个定量，其优先于有担保的债权受偿可能带来的风险基本上是可预期、可控制的。对破产法公布后新形成拖欠的问题，应当积极研究治本之策，通过进一步完善有关劳动和社会保障制度建设，加大执法力度等来加以解决，不宜在破产法中规定这部分拖欠也在有担保的债权前优先受偿。法律委员会经同财经委员会研究认为，这个方案基本上是可行的，赞成积极研究解决拖欠职工工资的治本之策，进一步完善职工工资支付保障制度，在实际执行中解决好破产企业拖欠职工工资等费用的清偿问题。据此，法律委员会建议将草案上述规定修改为：破产人所欠职工的工资和医疗、伤残补助、抚恤费用，所欠的应当划入职工个人账户的基本养老保险、基本医疗保险费用，以及法律、行政法规规定应当支付给职工的补偿金，以破产人无担保的财产优先清偿；同时，在“附则”一章中增加规定：破产人在本法公布前所欠职工的上述费用，以破产人无担保财产优先清偿后仍不足以清偿的部分，以破产人有担保的财产优先于担保权人受偿。
　　五、草案二次审议稿第一百四十九条规定：“金融机构实施破产的，由国务院依据本法和其他法律的规定制定实施办法。”最高人民法院和国务院法制办、中国人民银行、证监会等部门提出，金融机构破产中有一些只能由法律规定而行政法规不能规定的特殊问题，应在本法中作出相应规定，以适应实际需要。一是按照草案的规定，破产申请只能由债务人或者债权人提出。从金融机构的特点看，对那些发生重大经营风险、出现破产原因，应及时依法进行重整或破产清算的金融机构，在该金融机构或其债权人都不主动提出破产申请的情况下，为了避免风险进一步扩大，由金融监管机构向法院提出破产申请，是必要的。二是由于金融机构破产涉及的债权人众多，债权债务关系复杂，关系金融安全和社会稳定，需要慎重处理。在实践中，对出现重大经营风险的金融机构，通常是先由金融监管机构依照有关金融法律的规定实施接管、托管等措施，对不能恢复正常运行的，再进入破产程序。为了防止在此期间一些债权人通过向当地法院提起诉讼和要求强制执行，抢先取得金融机构的财产，造成金融监管机构采取的接管、托管等措施无法正常进行，有必要暂时中止涉及该金融机构的民事诉讼和执行程序。法律委员会经同最高人民法院和国务院法制办、中国人民银行、银监会、证监会、保监会反复研究，建议增加规定：金融机构出现本法规定的破产原因的，国务院金融监督管理机构可以向人民法院提出对该金融机构进行重整或者破产清算的申请。国务院金融监督管理机构依法对出现重大经营风险的金融机构采取接管、托管等措施的，可以向人民法院提出中止以该金融机构为被告或者被执行人的民事诉讼和执行程序。
　　此外，还对草案二次审议稿作了一些文字修改。
　　草案三次审议稿已按上述意见作了修改，法律委员会建议本次常委会会议审议通过。
　　草案三次审议稿和以上报告是否妥当，请审议。
全国人大法律委员会关于《中华人民共和国各级人民代表大会常务委员会监督法（草案）》、《中华人民共和国企业破产法（草案）》和《中华人民共和国合伙企业法（修订草案）》修改意见的报告

　　--2006年8月26日在第十届全国人民代表大会常务委员会第二十三次会议上
　　全国人大法律委员会主任委员 杨景宇
　　全国人民代表大会常务委员会：
　　本次常委会会议于8月22日下午、23日上午分别对监督法（草案四次审议稿）、企业破产法（草案三次审议稿）、合伙企业法（修订草案三次审议稿）进行了分组审议。法律委员会于8月24日下午召开会议，对三个法律草案进行了审议。财政经济委员会和国务院法制办、国家税务总局、最高人民法院的负责同志列席了会议。现将情况报告如下：
　　在本次会议审议中，常委会组成人员普遍认为，这三个法律草案根据常委会组成人员的审议意见和各方面的意见几经修改，已经比较成熟，建议本次会议进一步修改后通过；同时，有些常委会组成人员也提出一些修改意见。法律委员会认为，三个法律草案是可行的；同时，提出以下主要修改意见：
　　一、关于监督法
　　（草案四次审议稿）
　　（一）草案四次审议稿第三条规定：“各级人民代表大会常务委员会行使监督职权，应当服从并服务于国家工作大局，坚持中国共产党的领导，坚持马克思列宁主义、毛泽东思想、邓小平理论和‘三个代表’重要思想，坚持人民民主专政，坚持社会主义道路，坚持改革开放。”有些常委委员提出，社会主义初级阶段基本路线的内容是“一个中心、两个基本点”，应予完整表述。法律委员会经研究，建议将这一条修改为：“各级人民代表大会常务委员会行使监督职权，应当围绕国家工作大局，以经济建设为中心，坚持中国共产党的领导，坚持马克思列宁主义、毛泽东思想、邓小平理论和‘三个代表’重要思想，坚持人民民主专政岢稚缁嶂饕宓缆罚岢指母锟拧！?br>　　（二）草案四次审议稿第十七条第二款规定，“预算安排的农业、教育、科技、医疗卫生、社会保障等资金需要调减的”，人民政府应当提请本级人大常委会审查和批准。有的常委委员建议在上述规定中明确列入“文化”一项。法律委员会经研究，建议将上述规定修改为“预算安排的农业、教育、科技、文化、卫生、社会保障等资金需要调减的”，人民政府应当提请本级人大常委会审查和批准。
　　（三）草案四次审议稿第十九条第二款中规定，“常务委员会组成人员对预算执行情况报告和审计工作报告的审议意见交由本级人民政府研究处理”。有些常委委员提出，常委会组成人员对国民经济和社会发展计划执行情况报告的审议意见，也应交由本级人民政府研究处理。法律委员会经研究，建议将上述规定修改为“常务委员会组成人员对国民经济和社会发展计划执行情况报告、预算执行情况报告和审计工作报告的审议意见交由本级人民政府研究处理”。同时，在这一条第三款规定的需要向本级人大代表通报并向社会公布的内容中，相应增加“国民经济和社会发展计划执行情况报告”.
　　（四）有的常委委员提出，草案第九条对确定常委会听取和审议专项工作报告的议题的途径作了规定，建议对执法检查的议题如何确定也相应作出规定。法律委员会经研究，建议将草案四次审议稿第二十一条修改为：“各级人民代表大会常务委员会参照本法第九条规定的途径，每年选择若干关系改革发展稳定大局和群众切身利益、社会普遍关注的重大问题，有计划地对有关法律、法规实施情况组织执法检查。”
　　这里，还有一个问题需要说明。有的常委委员提出，监督法通过后，1999年12月全国人大常委会通过的《关于加强中央预算审查监督的决定》和2000年3月全国人大常委会通过的《关于加强经济工作监督的决定》是否继续有效，应予明确。法律委员会经研究认为，上述两个“决定”为加强全国人大监督的有关工作程序未纳入监督法；有关加强全国人大常委会行使职权的主要程序尽管已经吸收到监督法中，但也还有一些很具体的工作程序没有也不必写进监督法。因此，监督法通过后，这两个“决定”仍然有效。
　　二、关于企业破产法
　　（草案三次审议稿）
　　草案三次审议稿关于破产清偿顺序的规定，多数常委会组成人员表示赞成，也有些常委会组成人员提了一些修改意见。法律委员会研究认为：近两年来，法律委员会、法制工作委员会已就这个问题同国务院法制办等有关部门反复进行了研究。草案三次审议稿的规定已经比较充分地考虑了各方面的意见，在保证优先清偿破产人所欠职工的工资等费用的同时，兼顾了维护担保制度和交易安全的要求，是比较妥当的。法律委员会建议，草案三次审议稿关于这个问题的规定以不再改动为宜。
　　三、关于合伙企业法
　　（修订草案三次审议稿）
　　（一）修订草案三次审议稿第五十七条第一款规定，对合伙人本人执业行为中因故意或者重大过失引起的合伙企业债务，该合伙人应当承担无限连带责任。有的常委委员提出，上述规定不够清楚。如果“本人”是一个合伙人，就不存在连带责任问题。如果“本人”是数个合伙人，才应承担连带责任。法律委员会研究认为，需要区分一个合伙人和数个合伙人的不同情况作出规定。据此，建议将这一款修改为：“一个合伙人或者数个合伙人在执业活动中因故意或者重大过失造成合伙企业债务的，应当承担无限责任或者无限连带责任，其他合伙人以其在合伙企业中的财产份额为限承担责任。”
　　（二）修订草案三次审议稿第八十九条对合伙企业清算的清偿顺序作了规定。有的常委委员提出，上述规定与企业破产法草案规定的破产清偿顺序不一致，应把二者衔接好。法律委员会经研究，认为需要说明，这一条解决的是合伙企业在正常清算时有足够财产清偿债务的情形下对剩余财产如何处理，不属于破产清偿，不存在清偿顺序问题。为了准确表述这一条的含义，法律委员会建议参照公司法的有关规定，将这一条修改为：“合伙企业财产在支付清算费用和职工工资、社会保险费用、法定补偿金以及缴纳所欠税款、清偿债务后的剩余财产，依照本法第三十三条第一款的规定进行分配。”
　　此外，根据常委会组成人员的审议意见，还对三个法律草案作了一些文字修改。
　　这里，需要说明：有些常委会组成人员和全国人大代表、专门委员会成员、省级人大常委会负责同志对三个法律草案还提出了其他一些意见和建议。法律委员会研究认为，这些意见和建议，有些在草案修改过程中已经反复研究过，有些问题还缺乏成熟的实践经验。因此，对草案有关规定以不再改动为妥。
　　三个法律草案的建议表决稿已按上述意见作了修改，法律委员会建议本次常委会会议审议通过。
　　以上报告是否妥当，请审议。
Explanations
 
Law of the People’s Republic of China on Enterprise Bankruptcy

Order of the President of the People's Republic of China
(No. 54)

The Law of the People's Republic of China on Enterprise Bankruptcy, which was adopted at the 23rd meeting of the Standing Committee of the 10th National People's Congress of the People's Republic of China on August 27, 2006, is hereby promulgated and shall come into force as of June 1, 2007.

President of the People's Republic of China Hu Jingtao
August 27, 2006

Law of the People's Republic of China on Enterprise Bankruptcy
(Adopted at the 23rd meeting of the Standing Committee of the 10th National People's Congress of the People's Republic of China on August 27, 2006)

Table of Contents

Chapter I General Provisions
Chapter II Application and Acceptance
Section I Application
Section II Acceptance
Chapter III Administrator
Chapter IV Debtors' Assets
Chapter V Bankruptcy Expenses and Community Liabilities
Chapter VI Declaration of the Creditor's Right
Chapter VII The Creditors' Meeting
Section I General Provisions
Section II The Creditors' Committee
Chapter VIII Rectification
Section I Application for and Period of Rectification
Section II Formulation and Approval of a Rectification Plan
Section III Implementation of a Rectification Plan
Chapter IX Compromise
Chapter X Bankrupt Liquidation
Section I Bankrupt Declaration
Section II Conversion and Distribution
Section III Conclusion of the Procedures for Bankruptcy
Chapter XI Legal Liabilities
Chapter XII Supplementary Provisions

Chapter I General Provisions

Article 1 The present Law is formulated for purposes of regulating the procedures for enterprise bankruptcy, fairly settling the credits and debts, safeguarding the legitimate rights and interests of creditors and debtors, and maintaining the market order of the socialist economy.

Article 2 Where an enterprise legal person fails to clear off its debt as due, and if its assets are not enough to pay off all the debts or if it is obviously incapable of clearing off its debts, its liabilities shall be liquidated according to the provisions of the present Law.
Where an enterprise legal person is under the aforesaid circumstance or if it is obviously likely that it is unable to pay off its debts, it may be subject to rectification according to the provisions of the present Law.

Article 3 A bankruptcy case shall be governed by the people's court where the relevant debtor is domiciled.

Article 4 The procedures for hearing a bankruptcy case shall, in the absence of relevant provisions in the present Law, be governed by the relevant provisions of the Civil Litigation Law.

Article 5 The procedures for bankruptcy which have been initiated according to the present Law shall have binding force over the assets of the relevant debtor beyond the territory of the People's Republic of China.
Where any legally effective judgment or ruling made by a foreign court involves any debtor's assets within the territory of the People's Republic of China and if the debtor applies with or requests the people's court to confirm or enforce it, the people's court shall, according to the relevant international treaties that China has concluded or acceded to or according to the principles of reciprocity, conduct an examination thereon and, when believing that it does not violate the basic principles of the laws of the People's Republic of China, does not damage the sovereignty, safety or social public interests of the state, does not damage the legitimate rights and interests of the debtors within the territory of the People's Republic of China, grant confirmation and permission for enforcement.

Article 6 In the hearing of a bankruptcy case, the people's court shall guarantee the legitimate rights and interests of the employers in the insolvent enterprise and subject its mangers to legal liabilities.

Chapter II Application and Acceptance

Section I Application

Article 7 Where a debtor is under the circumstance as prescribed by Article 2 of the present Law, it may file an application with the people's court for rectification, compromise or bankrupt liquidation.
Where the debtor fails to pay off its due debts, it may file an application with the people's court for rectification or bankrupt liquidation.
Where an enterprise legal person has been dissolved without any liquidation or without completing the liquidation and if the relevant assets are not enough to clear off the debts, the person liable for liquidation shall apply with the people's court for bankrupt liquidation.

Article 8 To apply for bankruptcy, an Application for Bankruptcy and the related evidences shall be submitted to the people's court:
The following matters shall be indicated in the Application for Bankruptcy:
(1) Basic introduction to the applicant and respondent;
(2) Purpose of application;
(3) Facts and ground of the application; and
(4) Any other matter that the people's court deems necessary to be indicated.
Where a debtor files an application, it shall submit the statements on financial status, a checklist of debts, a checklist of the credit right, the relevant financial statements, a reserve plan for employee arrangement as well as the payment documents of wages and social insurance premiums.

Article 9 Before the people's court accepts an application for bankruptcy, the applicant may request for withdrawing its application.

Section II Acceptance

Article 10 Where a creditor files an application for bankruptcy, the people's court shall, within 5 days as of the day when the application is received, inform the related debtor. Where a debtor has any different opinion to an application, it shall put forward its demurral to the people's court within 7 days as of the day when a notice is received from the people's court. The people's court shall decide whether or not to accept the case within 10 days as of expiration of the term for filing a demurral.
Except for the circumstance as prescribed in the preceding paragraph, the people's court shall decide whether or not to accept an application for bankruptcy within 15 days as of the day when the application is received.
Under any special circumstance where the term for accepting a case as prescribed in the preceding two paragraphs is required to be extended, it may be extended for another 15 days upon the approval of the people's court at a higher level.

Article 11 Where the people's court accepts an application for bankruptcy, it shall serve it on the relevant applicant within 5 days as of the day when the decision is made.
Where a creditor files an application, the people's court shall serve it on the relevant debtor within 5 days as of the day when a decision is made. The relevant debtor shall, within 15 days as of the day when a decision is served, submit to the people's court its statements on financial status, a checklist of debts, a checklist of the creditor's right, the relevant financial statements as well as the payment documents of wages and social insurance premiums.

Article 12 Where the people's court decides not to accept an application for bankruptcy, it shall serve its decision on the applicant within 5 days as of the day when the decision is made. Where an applicant is dissatisfied with the decision, it may, within 10 days as of the day when the decision is served, file an appeal with the people's court at the next higher level.
During the period from when the people's court accepts an application for bankruptcy to when a bankruptcy is announced, where it is found that the relevant debtor is not under the circumstance as prescribed by Article 2 of the present Law, its application may be rejected. Where an applicant is dissatisfied with a decision, it may, within 10 days as of the day when the decision is served on, file an appeal with the people's court at the next higher level.

Article 13 Where the people's court accepts an application for bankruptcy, it shall designate a bankruptcy administrator in the meanwhile.

Article 14 The people's court shall, within 25 days as of the day when it decides to accept an application for bankruptcy, notify the relevant creditors and announce its decision as well.
The following matters shall be indicated in the aforesaid notice and announcement:
(1) Name of the applicant and respondent;
(2) The time when the people's court accepts the application for bankruptcy;
(3) Term, address and points of attention in the declaration of the creditor's right;
(4) Name of the bankruptcy administrator as well as the address where it undertakes its business;
(5) Requirements that the debtors or asset holders of the debtor shall clear off the debts or deliver the assets;
(6) The time and place where the first creditors' meeting is held; and
(7) Any other matter that the people's court deems necessary to be notified and announced.

Article 15 During the period from the day when the people's court decides to accept an application for bankruptcy to the day when the procedures for bankruptcy are concluded, the relevant personnel of the debtor shall bear the following obligations:
(1) Properly preserving the assets, seals and account bookss as well as documents under its occupation and management;
(2) Working according to the requirements of the people's court and bankruptcy administrator and answering their inquiries in a faithful manner;
(3) Attending the creditor's meeting and answering the creditors' inquiries;
(4) Not leaving its domicile in the absence of permission of the people's court; and
(5) Not assuming any post of director, supervisor or senior manager in any other enterprise.
The term "relevant personnel" as mentioned in the preceding paragraph are the legal representatives of an enterprise, which may, upon approval of the people's court, include the financial managers and other operators of the enterprise.

Article 16 After the people's court accepts an application for bankruptcy, the repayment of debts made by a debtor to individual creditors shall be invalidated.

Article 17 After the people's court accepts an application for bankruptcy, the debtors or asset holders of the debtor shall pay off the debts or deliver the relevant assets to the bankruptcy administrator.
Where any debtor or asset holder purposely violates the provisions of the preceding paragraph by paying off its debts or delivering the assets to the debtor and thus incurs losses to the relevant creditors, its obligation of paying off the debts or delivering the assets shall not be exempted.

Article 18 After the people's court accepts an application for bankruptcy, the relevant bankruptcy administrator shall decide to rescind or continue to perform a contract that has been established before acceptance yet has not been fully performed by both parties concerned and notify the opposite party concerned of its decision. Where the bankruptcy administrator fails to inform the opposite party concerned within 2 months as of the day of acceptance or to make any reply to an urge made by the opposite party concerned, it shall be deemed as rescission of the contract.
Where the bankruptcy administrator decides to continue a contract, the opposite party concerned shall continue the performance of the contract yet has the right to request the administrator to provide guaranty. Where the administrator does not provide any guaranty, it shall be deemed as rescission of the contract.

Article 19 After the people's court accepts an application for bankruptcy, the relevant measures for preserving the debtor's assets shall be released and the procedures for execution shall be suspended.

Article 20 After the people's court accepts an application for bankruptcy, any civil action or arbitration involving the relevant debtor that is in the process of trial shall be suspended. The action or arbitration can be resumed after a bankruptcy administrator takes over the debtor's assets.

Article 21 After the people's court accepts an application for bankruptcy, the relevant debtor's civil action shall be filed with the very people's court only.

Chapter III Bankruptcy Administrator

Article 22 A bankruptcy administrator shall be designated by the people's court.
Where it is decided at the creditors' meeting that a bankruptcy administrator fails to perform or fulfill its duties and functions in a lawful and impartially manner, the creditors may apply with the people's court for alteration.
The measures for designating bankruptcy administrators and deciding the remunerations of bankruptcy administrators shall be made by the Supreme People's Court.

Article 23 A bankruptcy administrator shall, according to the provisions of the present Law, perform its functions and duties, report its work to the people's court and accept the supervision of the creditors' meeting and the creditors' committee.
A bankruptcy administrator shall attend the creditors' meeting, report the performance of its duties and functions and answer the relevant inquiries.

Article 24 The post of bankruptcy administrator may be assumed by a liquidation group comprised of the relevant departments and organs or by such social intermediary agencies as a law firm, an accounting firm, a bankruptcy liquidation firm that have been established according to law.
The people's court may, according to the real status of a debtor and upon consulting the opinions of the relevant social intermediary agencies, designate the relevant personnel who have a good command of specialties and have obtained the practice qualification for bankruptcy administrators.
Under any of the following circumstances, one shall not assume the post of bankruptcy administrator:
(1) Having been given a criminal punishment for deliberate crime;
(2) Having been deprive of the relevant practice qualification certificate of related specialty;
(3) Having any interest relation to the case; or
(4) Being under any other circumstance where the people's court deems it improper to act as a bankruptcy administrator.
Where an individual assumes the post of bankruptcy administrator, he shall purchase the responsibility insurance.

Article 25 A bankruptcy administrator shall perform the following functions and duties:
(1) Taking over the assets, seals as well as the account books and documents of the debtor;
(2) Investigating into the financial status of the debtor and formulating the financial statements;
(3) Deciding the internal management of the debtor;
(4) Deciding the daily expenditure and other necessary expenditures of the debtor;
(5) Deciding, before the first creditors' meeting is held, to continue or suspend the debtor's business;
(6) Managing and disposing of the debtors' assets;
(7) Participating actions, arbitrations or any other legal procedures on behalf of the debtor;
(8) Proposing to hold creditors' meetings; and
(9) Performing any other functions and duties that the people's court believes it should perform.
In the case of any separate provision on the bankruptcy administrator's functions and duties in the present Law, it shall prevail.

Article 26 Before the first creditors' meeting is held, if a bankruptcy administrator decides to continue or suspend the business operation of a debtor or has any of the acts as prescribed by the provisions of Article 69 of the present Law, it shall be subject to the approval of the people's court.

Article 27 A bankruptcy administrator shall be diligent and dutiful, and shall faithfully perform its duties as well.

Article 28 A bankruptcy administrator may, upon approval of the people's court, employ the relevant work staff as necessary.
The remunerations of a bankruptcy administrator shall be decided by the people's court. In case the creditors' meeting has any different opinion to the remuneration of a bankruptcy administrator, it has the right to file demurral with the people's court.

Article 29 A bankruptcy administrator shall not quit its post without any justifiable reason. The resignation of a bankruptcy administrator shall be subject to the approval of the people's court.

Chapter IV A Debtor's Assets

Article 30 A debtor's assets refer to all the assets that belong to a debtor when an application for bankruptcy is accepted, as well as the assets as obtained by the debtor during the period from when an application for bankruptcy is accepted to when the procedures for bankruptcy are concluded.

Article 31 Within 1 year before the people's court accepts an application for bankruptcy, a bankruptcy administrator has the right to plead the court to revoke any act relating to the debtor's assets:
(1) Transferring the assets free of charge;
(2) Trading at an obviously unreasonable price;
(3) Providing asset guaranty to those debts without any asset guaranty;
(4) Paying off the undue debts in advance; or
(5) Giving up the creditor's right.

Article 32 Within 6 months before the people's court accepts an application for bankruptcy, if a debtor is under any circumstance as prescribed by paragraph 1, Article 2 of the present Law where it makes repayment to individual creditors, its bankruptcy administrator has the right to plead the people's court to revoke it, except where individual repayment may do good to the debtors' assets.

Article 33 Any of the following acts involving the debtor's assets shall be deemed as invalid:
(1) Concealing or transferring the assets in order to avoid the debts; or
(2) Fabricating any debt or acknowledging any unreal debt.

Article 34 As to any asset of a debtor as obtained under any circumstance as prescribed by Article 31, 32 or 33 of the present Law, the relevant bankruptcy administrator has the right to recover it.

Article 35 After the people's court accepts an application for bankruptcy, where any capital contributor of a debtor fails to fulfill its obligation of capital contribution, the relevant bankruptcy administrator shall require the capital contributor to make full contribution of the capital it has subscribed to, irrespective of the term for capital contribution.

Article 36 Where any director, supervisor or senior manger takes advantage of his power to obtain any abnormal income from his enterprise or embezzles any enterprise asset, the relevant bankruptcy administrator shall recover it.

Article 37 After the people's court accepts an application for bankruptcy, the bankruptcy administrator may take back its pledge or lien by means of paying off its debts or providing a guaranty that can be accepted by the relevant creditor.
As to the payment of debts or substitutive guaranty, where the value of the pledge or lien is lower than that of the amount of the creditor's right, a bottom line shall be set on the contemporary market value of the pledge or lien.

Article 38 After the people's court accepts an application for bankruptcy, where what the relevant debtor occupies are not its own assets, the owner of the assets may take the assets back through the bankruptcy administrator, unless it is separately prescribed by the present Law.

Article 39 After the people's court accepts an application for bankruptcy, if the seller has sent the subject matter to the debtor of the buyer and the latter has not yet received the goods and paid off the price, the seller may take back the goods on the way. However, the relevant bankruptcy administrator may pay off the price and request the seller to deliver the subject matter.

Article 40 Where a creditor is indebted with its debtor before an application for bankruptcy is accepted, it may claim for offset against the bankruptcy administrator. However, under any of the following circumstances, the relevant debts shall not be offset:
(1) Where a debtor of the debtor obtains the creditor's right of any other party against the debtor after the application for bankruptcy is accepted;
(2) Where a creditor learns that a debtor is incapable of paying off its due debts is in the process of applying for bankruptcy and if it is indebted with the debtor; with the exception, however, that the creditor assumes its liabilities according to the provisions of law or for any reason as incurred 1 year before the application for bankruptcy is filed;
(3) Where a debtor of the debtor learns that the debtor is incapable of paying off its debtd or is in the process of applying for bankruptcy, and therefore obtains the creditor's right from the debtor, except where the debtor's debtor obtains the creditor's right according to law or for any reason as incurred 1 year before the application for bankruptcy.

Chapter V Bankrupt Expenses and Community Liabilities

Article 41 The following expenses that occur after the people's court accepts an application for bankruptcy are bankrupt expenses:
(1) Costs of action on bankruptcy cases;
(2) Expenses for the administration, conversion and distribution of the debtor's assets; and
(3) Expenses for the bankruptcy administrator's performance of its functions and duties, for its remunerations and expenses for the recruitment of employees.

Article 42 The following liabilities that occur after the people's court accepts an application for bankruptcy are community liabilities:
(1) The liabilities as generated from a contract, the performance of which both parties concerned fail to fulfill upon the request of performance raised by the bankruptcy administrator or debtor against the opposite party;
(2) The liabilities as generated from the negotiorum gestio of the debtor's assets;
(3) The liabilities as generated from the ill-gotten gains;
(4) The labor cost for the continuance of business operations, social insurance premiums as well as other liabilities as incurred therefrom;
(5) The liabilities as generated from the damage that occurs in the performance of functions and duties by a bankruptcy administrator or other relevant personnel; and
(6) The liabilities as generated from any damage due to the debtor's assets.

Article 43 The bankrupt expenses and community liabilities shall be cleared off through the debtor's assets at any time.
Where the debtor's assets are not enough to clear off all the bankrupt expenses and community liabilities, the bankrupt expenses shall be paid off in priority.
Where the debtor's assets are not enough to clear off the bankrupt expenses or community liabilities, the liquidation shall be conducted pro rata.
Where the debtor's assets are not enough to clear off the bankrupt expenses, the relevant bankruptcy administrator shall apply with the people's court for concluding the procedures for bankruptcy. The people's court shall, with 15 days as of the day when an application is received, decide whether to conclude the procedures for bankruptcy and announce its decision as well.

Chapter VI Declaration of the Creditor's Right

Article 44 A creditor that enjoys the creditor's right against its debtor when the people's court accepts an application for bankruptcy may exercise its right according to the procedures as prescribed herein.

Article 45 The people's court shall, after accepting an application for bankruptcy, decide the term for a creditor to declare its creditor's right. The term for declaration of the creditor's right shall be calculated as of the day when the people's court announces its acceptance of an application for bankruptcy within a range of no less than 30 days and no more than 3 months.

Article 46 Any undue creditor's right shall be deemed as due when the relevant application for bankruptcy is accepted.
The calculation of the interest of any creditor's right shall be stopped when the relevant application for bankruptcy is accepted.

Article 47 As to any creditor's right attached with certain conditions or time limit or any creditor's right that fails to be settled through an action or arbitration, the relevant creditor may declare it with the people's court.

Article 48 A debtor shall, within the term for declaration of the creditor's right as decided by the people's court, declare its creditor's right.
The wages, subsidies for medical treatment and disability, comfort and compensatory funds as defaulted by a debtor, the fundamental old-age insurance premiums, fundamental medical insurance premiums that shall have been transferred into the employees' personal accounts as well as the compensation for the employees as prescribed by the relevant laws and administrative regulations are not required to be declared, for which the relevant bankruptcy administrator shall produce a corresponding checklist upon investigation and make an announcement as well. Where any employee has any different opinion to the relevant checklist, he may request the bankruptcy administrator to make correction. Where a bankruptcy administrator fails to correct it, the relevant employee may file an action with the people's court.

Article 49 Where a creditor declares its creditor's right, it shall make a written statement on the amount of the creditor's right and on whether there is any property guaranty and submit the relevant evidences as well. In the case of any joint and several creditor's right, an explanation shall be given.

Article 50 The joint and several creditors may choose one from among them to declare their creditor's right or may jointly declare the creditor's right together.

Article 51 Where the guarantor of a debtor or any other related joint and several debtor has cleared off the liabilities on behalf of the debtor, it may declare its creditor's right on the basis of its right to recourse against the debtor.
Where the guarantor of a debtor or any other related joint and several debtor has not yet paid off the debts on behalf of the debtor, it may declare its creditor's right on the basis of its future right to recourse against the debtor, unless the creditors have declared all the creditor's right against the relevant bankruptcy administrator.

Article 52 Where several joint and several debtors are ruled to be governed by the procedures as prescribed in the present Law, the creditors thereof have the right to declare their creditors' rights as a whole in each bankruptcy case respectively.

Article 53 Where a bankruptcy administrator or creditor rescinds a contract according to the provisions of the present Law, the opposite party concerned may declare its creditor's right on the basis of the right to compensation for the damage as generated therefrom.

Article 54 Where a debtor is the entrusting party of an entrustment contract which has been ruled to be governed by the procedures as prescribed in the present Law and if the entrusted party has no knowledge of the aforesaid facts and continues to deal with the entrusted business, the entrusted party may declare its creditor's right on the basis of the right of claim as generated therefrom.

Article 55 Where a debtor is a producer of instruments which have been ruled to be governed by the procedures as prescribed in the present Law and if the relevant payer of the instruments continues its payment or acceptance, the payer may declare its creditor's right on the basis of the right of claim as generated therefrom.

Article 56 Within the term for declaration of the creditor's right as decided by the people's court, where a creditor fails to claim its creditor's right, it may make up its declaration before the final distribution of insolvent assets. However, if the relevant distribution has already been conducted, no more declaration may be made. The expenses for examining and confirming the supplementary declaration of the creditor's right shall be borne by the party who has applied for supplementary declaration.
Where a creditor fails to declare its creditor's right according to the provisions of the present Law, it may not exercise the relevant right according to the procedures prescribed in the present Law.

Article 57 Where a bankruptcy administrator receives the declaration materials of the creditor's right, it shall register them into a book, conduct an examination on the declared creditor's right and formulate a form of the creditor's right as well.
The form of the creditor's right and the declaration materials of the creditor's right shall be kept by the relevant bankruptcy administrator for reference by the interested parties.

Article 58 A form of the creditor's right as formulated according to the provisions of Article 57 of the present Law shall be submitted to the first creditors' meeting for examination.
Where the relevant debtors and creditors have no different opinion to the form of the creditors' right, it shall be ruled by the people's court.
Where any debtor or creditor has any different opinion to a form of the creditors' right, it may file an action with the people's court that has accepted the application for bankruptcy.

Chapter VII The Creditors' Meeting

Section I General Provisions

Article 59 A creditor declaring its creditor's right according to law is a member of the creditors' meeting that has the right to attend the creditors' meeting and enjoy the right to vote.
Any creditor whose creditor's right has not yet been decided is not entitled to exercise any right to vote unless the people's court can temporarily decide the amount of the creditor's right for the sake of exercising the right to vote.
Any creditor that has the right to guaranty on the particular assets of its debtor and that has not given up the priority right to be repaid may not enjoy the right to vote for any matter as prescribed in Item (7) or (10), paragraph 1 of Article 61 of the present Law.
A creditor may entrust its agent to attend the creditors' meeting and exercise the right to vote. Where an agent attends the creditors' meeting, it shall submit a Power of Attorney with the people's court or the chairman of the creditors' meeting.
A creditors' meeting shall be attended by the employees of the relevant debtor as well as the representatives of its work union, who may therefore air their views on the relevant issues.

Article 60 There shall be a chairman of the creditors' meeting, who shall be designated by the people's court from among the creditors with the right to vote.
The chairman of the creditors' meeting shall preside over the creditors' meeting.

Article 61 The creditors' meeting shall exercise the following functions and duties:
(1) Examining the creditor's right;
(2) Applying with the people's court for alteration of the bankruptcy administrators and examining the expenses and remunerations of the bankruptcy administrator;
(3) Supervising the bankruptcy administrator;
(4) Selecting and altering the members of the creditors' meeting;
(5) Deciding to continue or stop the debtor's business operations;
(6) Deciding whether to adopt a rectification plan;
(7) Deciding whether to adopt a compromise;
(8) Deciding whether to adopt a management plan of the debtor's assets;
(9) Deciding whether to adopt a conversion plan of the insolvent assets;
(10) Deciding whether to adopt a distribution plan of the insolvent assets; and
(11) Exercising any other functions and powers that the people's court deems the creditors' meeting shall exercise.
Meeting minutes shall be made for the resolutions made for the matters deliberated at the creditors' meeting.

Article 62 The first creditors' meeting shall be held by the people's court within 15 days as of expiration of the term for declaration of creditor's right.
Subsequent creditors' meetings may be held when the people's court deems it necessary or where the bankruptcy administrator, the creditors' committee, or any creditor representing 1/4 or more of the total creditor's right proposes the chairman of the creditors' meeting to hold one.

Article 63 Where a creditors' meeting is held, the relevant bankruptcy administrator shall notify the already-known creditors 15 days before.

Article 64 A resolution of the creditors' meeting may be adopted only upon the consent of 1/2 or more of the creditors that attend the meeting and have the right to vote, representing 1/2 or more of the aggregate amount of the creditors' right free from property guaranty, unless it is separately prescribed by this Law.
Where any creditor believes that any resolution of the creditors' meeting has violated any law or damaged its interest, it may, within 15 days as of the day when the creditors' meeting makes a resolution, plead the people's court to revoke the resolution and order the creditors' meeting to re-make a resolution according to law.
A resolution as adopted at the creditors' meeting shall be binding on all creditors.

Article 65 Any matter as prescribed in items (8) and (9), paragraph 1, Article 61 of the present Law that has not been adopted at the creditors' meeting shall be ruled by the people's court.
Any matter as prescribed in item (10), paragraph 1, Article 61 of the present Law that has not been adopted after a second voting at the creditors' meeting shall be ruled by the people's court.
As to the ruling as prescribed in the preceding paragraph, the people's court may announce it at the creditors' meeting or separately notify the relevant creditors.

Article 66 Where a creditor is dissatisfied with any ruling made by the people's court according to paragraph 1, Article 65 of the present Law, or where a creditor representing 1/2 or more of the aggregate creditor's right free from property guaranty is dissatisfied with any ruling made by the people's court according to paragraph 2, Article 65 of the present Law, it may apply with the very people's court for review within 15 days as of the day when the ruling is announced or when the relevant notice is received. The execution of the ruling shall not be stopped in the duration of review.

Section II The Creditors' Committee

Article 67 The creditors' meeting may decide to establish the creditors' committee, which shall comprise of the creditor representatives as selected at the creditors' meeting as well as a employee representative of the relevant debtor or a representative of the work union. The members of the creditors' committee shall be no more than 9 persons.
The members of the creditors' committee shall be confirmed by the people's court in written form.

Article 68 The creditors' committee shall perform the following functions and duties:
(1) Supervising the management and disposal of the debtor's assets;
(2) Supervising the distribution of the insolvent assets;
(3) Proposing to hold a creditors' meeting; and
(4) Performing the other functions and duties as entrusted at the creditors' meeting.
Where the creditors' committee performs its functions and duties, it has the right to require the relevant bankruptcy administrator and debtor to give an explanation on any matter within the scope of its functions and duties or provide the relevant documents.
Where the relevant personnel of a bankruptcy administrator or debtor refuse to accept the supervision in violation of the provisions of the present Law, the creditors' committee has the right to plead the court to make a decision on supervision, and the latter shall make a decision thereon within 5 days.

Article 69 Where a bankruptcy administrator conducts any of the following acts, it shall report it to the creditors' committee in a timely manner.
(1) Transfer of the right and interests of such realties as land and houses;
(2) Transfer of such property rights as the right to mine exploitation, mining right and intellectual property right;
(3) Transfer of all the inventory or business operation;
(4) Loans;
(5) Setting of property guaranty;
(6) Transfer of the creditors' right and securities;
(7) Performance of any contract that has not been fully performed by the debtor and the opposite party concerned;
(8) Waiver of the right;
(9) Withdrawal of the pledge; and
(10) Any other property disposal that has an important impact on the creditor's interest.

In the case of no such creditors' committee, a bankruptcy administrator shall, when implementing the aforesaid provisions, report it to the people's court in a timely manner.

Chapter VIII Rectification

Section I Application for and Period of Rectification

Article 70 A debtor or creditor may, according to the provisions of the present Law, apply directly with the people's court for rectification against the debtor.
Where any creditor applies for bankrupt liquidation against its debtor, after the people's court accepts the application for bankruptcy and before the debtor is announced bankrupt, the debtor or its capital contributor whose capital contribution makes up 1/10 or more of the debtor's registered capital may apply with the people's court for rectification.

Article 71 Where the people's court deems, upon examination, that an application for rectification complies with the provisions of the present Law, it shall order the debtor to rectify and announce its decision as well.

Article 72 The period of rectification lasts from the day when the people's court rules that a debtor shall conduct rectification to the day when the procedures for rectification are terminated.

Article 73 In the duration of rectification, a debtor may, upon filing an application and obtaining an approval from the people's court, manage its assets and business operation under the supervision of its bankruptcy administrator.
Under the circumstance as prescribed in the preceding paragraph, a bankruptcy administrator that has taken over the assets and business operation shall deliver the assets and business operation to the debtor according to the provisions of the present Law, and the bankruptcy administrator's functions and duties as prescribed herein shall be exercised by the debtor.

Article 74 A bankruptcy administrator that takes charge of assets and business operations may employ the business managers of the debtor to take care of the business operations.

Article 75 In the duration of rectification, the right to guaranty on the particular assets of a debtor shall be suspended. However, in the case of possible damage or significant depreciation of value, which may injure the guarantor's right, the guarantor may apply with the people's court for recovering the right to guaranty.
In the period of rectification, a debtor or bankruptcy administrator that borrows money for business carry-on may set a guaranty on the loan.

Article 76 Where a debtor legally occupies any other's property and if the owner of the property right requests to take back the property, it shall meet the requirements as stipulated in advance.

Article 77 During the period of rectification, no capital contributor of a debtor may request for distribution of any investment proceeds.
During the period of rectification, no director, supervisor or senior manager of a debtor may transfer the equity it has held to a third party, unless the people's court approves it.

Article 78 In the duration of rectification, under any of the following circumstances, the people's court shall, upon the request of a bankruptcy administrator or any interested party, rule to terminate the procedures for rectification and announce the relevant debtor bankrupt:
(1) Where the business operation or financial status of a debtor goes worse off and cannot be remediedin any way;
(2) Where a debtor has any act of cheating or maliciously deducting its assets or has any act obviously against its creditors; or
(3) Where the act of a debtor makes its bankruptcy administrator unable to perform its duties and functions.

Section II Formulation and Approval of a Rectification Plan

Article 79 A debtor or bankruptcy administrator may, within 6 months as of the day when the people's court approves its rectification, submit a draft of the rectification plan to the people's court and the creditors' meeting.
Where the term as prescribed in the preceding paragraph expires, the people's court may, upon request of any debtor or the bankruptcy administrator, and on a justifiable ground, rule an extension of 3 months.
Where a debtor or bankruptcy administrator fails to submit a draft of the rectification plan according to the schedule, the people's court shall rule to terminate the procedures for rectification and announce the debtor bankrupt.

Article 80 Where a debtor manages its own assets and business operations, it shall formulate a draft of rectification plan.
Where a bankruptcy administrator takes charge of the assets and business operations of a debtor, it shall formulate a draft of rectification plan.

Article 81 A draft of rectification plan shall include the following contents:
(1) A business plan of a debtor;
(2) Classification of the creditor's right;
(3) An adjustment plan of the creditor's right;
(4) A repayment plan of the creditor's right;
(5) Term for implementing the rectification plan;
(6) Term for supervising the performance of the rectification plan; and
(7) Any other plan conducive to the debtor's rectification.

Article 82 Where the relevant creditors who have the following creditor's rights attend the creditor's meeting to discuss a draft of rectification plan, they shall be grouped according to the following creditor's rights so as to vote a draft of rectification plan:
(1) The creditor's right with guaranty on the debtor's particular assets;
(2) The wages, subsidies for medical treatment and disability and comfort and compensatory funds as defaulted by the debtor, the fundamental old-age insurance premiums, fundamental medical insurance premiums that shall have been transferred into the individual accounts of employers as well as the compensation for the employees as prescribed by the relevant laws and administrative regulations;
(3) The taxes as defaulted by the debtor; and
(4) The common creditor's right.
The people's court shall, when it so requires, decide to set a group of the small-amount creditor's right in the group of the common creditor's right so as to vote a draft of rectification plan.

Article 83 A rectification plan shall not cover any stipulation on the exemption of the social insurance premium as defaulted by a debtor other than what is prescribed in item (2), paragraph 1, Article 82 of the present Law. The creditor of social insurance premiums shall not attend the voting of a draft of rectification plan.

Article 84 The people's court shall, within 30 days as of the day when a draft of rectification plan is received, hold a creditor's meeting so as to vote the draft.
Where 1/2 or more of the creditors in a same voting group at the creditors' meeting agree to a draft of rectification plan, representing 2/3 or more of the total amount of the creditor's right, it shall be deemed as an adoption of the draft of rectification plan.
The relevant creditors or bankruptcy administrator shall give an explanation to the draft of the rectification plan and answer the relevant inquiries at the creditors' meeting.

Article 85 The representatives of capital contributors of a debtor may attend the creditor's meeting to discuss a draft of rectification plan.
Where a draft of rectification plan involves the adjustment of the right and interest of capital contributors, a group of capital contributors shall be formed to vote this issue.

Article 86 Where all the voting groups agree to a draft of rectification plan, it shall be deemed that the plan is adopted.
Within 10 days as of the day when a rectification plan is adopted, a creditor or bankruptcy administrator shall file an application with the people's court for approving the rectification plan. Where the people's court deems, upon examination, that the application complies with the present Law, it shall, within 30 days as of the day when the application is received, grant an approval, terminate the relevant procedures for rectification and announce it as well.

Article 87 Where some voting groups do not agree to a draft of rectification plan, the relevant debtor or bankruptcy administrator may negotiate with the aforesaid voting groups. The latter may vote for one more times upon negotiation. The result of negotiation shall not damage the interest of any other voting group.
Where a voting group that does not agree to a draft of rectification plan refuses to re-vote or disagrees with the draft of rectification plan upon re-voting yet if the draft of rectification plan meets the following requirements, the relevant debtor or bankruptcy administrator may apply with the people's court for approving the draft of rectification plan.
(1) Where, according to a draft of rectification plan, the creditor's right as prescribed in item (1), paragraph 1, Article 82 of the present Law shall be cleared off by means of the particular assets and the losses as incurred from postponed payment shall be compensated for in a fair manner, given that the right to guaranty has not been materially damaged, or the relevant voting groups have adopted the draft of rectification plan;
(2) Where, according to the draft of rectification plan, the creditor's right as prescribed in items (2) and (3) of paragraph 1, Article 82 of the present Law shall be cleared off, or the relevant voting groups have adopted the draft of rectification plan;
(3) Where, according to the draft of rectification plan, the repayment proportion of the common creditor's right shall not be any lower than that as set in the procedures for bankrupt liquidation when the draft of rectification plan is submitted for approval, or the relevant contributor group has adopted the draft of rectification plan;
(4) Where the draft of rectification plan can bring a fair and justifiable adjustment to the rights and interests of capital contributors, or the contributor group has adopted the draft of rectification plan;
(5) Where the draft of rectification plan treats the members of a same voting group fairly and the liquidation order of the creditor's right does not violate the provisions of Article 113 of the present Law;
(6) Where the debtor's business plan is feasible.
Where the people's court deems that the draft of rectification plan complies with the provisions of the preceding paragraph, it shall, within 30 days as of the day when an application is received, approve it, terminate the procedures for rectification and announce it.

Article 88 Where a draft of rectification plan fails to be adopted and fails to be approved according to the provisions of Article 87 of the present Law, or where an adopted draft of rectification plan fails to be approved, the people's court shall rule to terminate the procedures for rectification and announce the debtor bankrupt.

Section III Implementation of a Rectification Plan

Article 89 A rectification plan shall be implemented under the debtor's charge.
Where the people's court decides to approve a rectification plan, the bankruptcy administrator that has taken over the assets and business operation shall transfer the assets and business operation to the debtor.

Article 90 As of the day when the people's court decides to approve a rectification plan and within the term for supervision as prescribed by the rectification plan, the relevant bankruptcy administrator shall supervise the implementation thereof.
Within the term for supervision, a debtor shall report the implementation of its rectification plan as well as its financial status to the relevant bankruptcy administrator.

Article 91 Upon expiration of the term for supervision, a bankruptcy administrator shall submit a supervision report to the people's court. As of the day when a supervision report is submitted, a bankruptcy administrator's functions and duties shall be terminated.
Where a bankruptcy administrator submits a supervision report with the people's court, any interested party to the rectification plan has the right to consult therewith.
Upon application by a bankruptcy administrator, the people's court may decide to extend the term for supervision over the implementation of a rectification plan.

Article 92 A rectification plan as approved by the people's court has binding force on the debtor and all the creditors.
Where a creditor fails to declare its creditor's right according to the provisions of the present law, it shall not exercise any right when a rectification plan is implemented. When the implementation of a rectification plan is concluded, the relevant creditor may exercise its right according to the requirements for liquidation of identical creditor's right as prescribed in the rectification plan.
The right of a creditor against the guarantor of its debtor as well as all the joint and several debtors shall not be affected by a rectification plan.

Article 93 Where a debtor fails to or refuses to implement a rectification plan, the people's court may, upon request of the relevant bankruptcy administrator or interested party, terminate the implementation of the rectification plan and announce the debtor bankrupt.
Where the people's court decides to terminate the implementation of a rectification plan, the commitment of the relevant creditor on the adjustment of the creditor's right in the rectification plan shall be invalidated. The liquidation for the relevant creditor when the rectification plan is implemented remains effective and the creditor's right that has not been repaid shall be regarded as the credit of bankruptcy.
The creditor as prescribed in the preceding paragraph may, only when the other creditors in the sequential order of the liquidation are repaid at a same proportion, continue to join the distribution.
Under any circumstance as prescribed in paragraph 1 of this Article, any guaranty set for the implementation of a rectification plan shall continue to be effective.

Article 94 As to the liabilities that is exempted according to a rectification plan, the relevant debtor is not required to make repayment therefor upon conclusion of the rectification plan.

Chapter IX Compromise

Article 95 A debtor may, according to the provisions of the present Law, apply for compromise with the people's court; or may, after the people's court accepts its application for bankruptcy and before it is announced bankrupt, apply with the people's court for compromise.
Where the debtor applies for reconciliation, it shall put forwards a draft of the conciliation agreement.

Article 96 Where the people's court deems upon examination that an application for compromise complies with the provisions of the present Law, it shall rule on a compromise, announce it and hold a creditors' meeting so as to discuss the draft of a composition deed.
A holder of the right to guaranty on the debtor's particular assets may exercise its right as of the day when the people's court rules on a compromise.

Article 97 The adoption of a resolution of a composition deed at the creditors' meeting shall be based on the consent of 1/2 or more of the creditors with the right to vote who attend the meeting, representing 2/3 or more of the total credit amount free from property guaranty.

Article 98 Where a composition deed is adopted at the creditors' meeting, the people's court shall decide whether to confirm it, terminate the procedures for compromise and announce it. The relevant bankruptcy administrator shall transfer the assets and business operation to the debtor and submit a report on the performance of its functions and duties to the people's court.

Article 99 Where the draft of a composition deed fails to be adopted at the creditors' meeting or a composition deed that has been adopted at the creditors' meeting fails to be confirmed by the people's court, the people's court shall rule to terminate the procedures for compromise and announce the debtor bankrupt.

Article 100 A composition deed that has been confirmed by the people's court shall have a binding force on the debtor and all the creditors in the composition.
The term "creditor in the composition" refers to a party that enjoys the creditor's right free from property guaranty against its debtor when the people's court accepts the relevant application for bankruptcy.
Where any creditor in the composition fails to declare its creditor's right according to the provisions of the present Law, it may not exercise its right during the period when the composition deed is conducted. After the implementation of a composition deed is concluded, it may exercise its right according to the requirements for repayment as prescribed by the composition deed.

Article 101 The right as enjoyed by the creditor in the composition against the guarantor of its debtor and other joint and several debtors shall not be affected by any composition deed.

Article 102 A debtor shall pay off its debts according to the conditions as prescribed in the relevant composition deed.

Article 103 As to any composition deed that is established by fraud or based on any illegal act of a debtor, the people's court shall rule it as ineffective and announce the debtor bankrupt.
Under any of the aforesaid circumstances, the repayment that a creditor in the composition gets when the composition deed is performed shall not be returned at the same proportion as the other creditors.

Article 104 Where a debtor is unable or fails to implement a composition deed, the people's court shall, upon request of the creditor in the composition, rule to terminate the implementation of the composition deed, and announce the debtor bankrupt.
Where the people's court terminates the implementation of a composition deed, the commitment as made by the creditor in the composition on the adjustment of the creditor's right shall be invalidated. The repayment made to the creditor in the composition when the composition deed is implemented shall still be effective and the creditor's right in the composition that has not been repaid shall be the credit of bankruptcy.
The creditor as prescribed in the preceding paragraph may, only when sharing the repayment at a same proportion as the other creditors, continue to join the distribution.
Under the circumstance as prescribed in paragraph 1 of this Article, the guaranty set on the implementation of a composition deed shall remain effective.

Article 105 After the people's court accepts an application for bankruptcy, if the relevant debtor and all the creditors conclude an agreement on settlement of credits and debts by themselves, they may request the court to confirm it and terminate the procedures for bankruptcy.

Article 106 As to the liabilities that has been exempted according to a composition deed, the relevant debtor may, as of the day when the composition deed is concluded, not bear the liabilities of compensation.

Chapter X Bankrupt Liquidation

Section I Announcement of Bankruptcy

Article 107 Where the people's court announces a debtor bankrupt according to the provisions of the present Law, it shall, within 5 days as of the day when the decision is made, serve it on the relevant debtor and bankruptcy administrator, and shall, within 10 days as of the day when the decision is made, notify the already-known creditors and announce it as well.
Where a debtor is announced bankrupt, the debtor is named as the bankrupt and the debtor's assets are taken as the insolvent assets. The creditor's right against the debtor when the people's court accepts an application for bankruptcy is the credit of bankruptcy.

Article 108 Before any bankruptcy is announced, under any of the following circumstances, the people's court shall decide to terminate the procedures for bankruptcy and announce it as well:
(1) Where a third party provides any full-amount guaranty to or pays off all the debts as due for the debtor; or
(2) Where the debtor has paid off all the due debts.

Article 109 An owner of the right to guaranty on the particular assets of the bankrupt may enjoy the priority right to be repaid by means of the particular assets.

Article 110 Where a creditor that enjoys the right as prescribed in the provisions of Article 109 of the present Law exercises the priority right to be repaid, the un-repaid creditor's right shall be the common creditor's right. Where the priority right to be repaid is given up, the creditor's right shall be taken as the common creditor's right.

Section II Conversion and Distribution

Article 111 A bankruptcy administrator shall draft a conversion plan of insolvent assets and submit it to the creditor's meeting for discussion.
A bankruptcy administrator shall, according to the conversion plan of insolvent assets that has been adopted at the creditor's meeting or that has been confirmed by the people's court according to the provisions of paragraph 1, Article 65 of the present Law, sell the insolvent assets by means of conversion at a proper time.

Article 112 A sale of insolvent assets by means of conversion shall be conducted through auction, unless there is any other resolution at the creditor's meeting.
An insolvent enterprise may be wholly or partially sold by means of conversion. Where an enterprise is sold by means of conversion, the intangible assets and other assets thereof may be solely sold by means of conversion.
As to the assets that shall not be auctioned or whose transfer is restricted, it shall be handled through the method as prescribed by the state.

Article 113 The insolvent assets shall, after the costs for bankruptcy proceedings and community liabilities are repaid in priority, be liquidated according to the following sequence:
(1) The wages and subsidies for medial treatment and disability, comfort and compensatory expenses as defaulted by the bankrupt, the fundamental old-age insurance premiums, fundamental medical insurance premiums that shall have been transferred to the employees' personal account as well as the compensation for employees as prescribed by the relevant laws and administrative regulations;
(2) The social insurance premiums and tax fees as defaulted by the bankrupt other than those as prescribed by the aforesaid provisions; and
(3) The common credit of bankruptcy.
Where the insolvent assets are not enough to satisfy the requirements for liquidation in a same sequence, it shall be distributed according to the proportion.
The wages of the directors, supervisors as well as senior managers of an insolvent enterprise shall be calculated in light of the average wage of employees.

Article 114 The insolvent assets shall be subject to monetary distribution, unless it is separately decided at the creditors' meeting.

Article115 A bankruptcy administrator shall formulate a distribution plan of insolvent assets in a timely manner, and submit it to the creditor's meeting for discussion:
A distribution plan of insolvent assets shall indicate the following matters:
(1) Names and domiciles of the creditors that attend the distribution of insolvent assets;
(2) The amount of the creditor's right that is involved in the distribution of insolvent assets;
(3) The amount of insolvent assets as ready for distribution;
(4) The sequence, proportion and amount of insolvent assets subject to distribution; and
(5) The measures for distributing insolvent assets.
After a distribution plan of insolvent assets is adopted at the creditors' meeting, the relevant bankruptcy administrator shall submit the plan to the people's court for confirmation.

Article 116 A distribution plan of insolvent assets shall, upon confirmation of the people's court, be executed by the relevant bankruptcy administrator.
Where a bankruptcy administrator implements a distribution in installments according to a distribution plan of insolvent assets, it shall announce the amount of assets and the creditor's right in the distribution. Where a bankruptcy administrator implements a conclusive distribution in a lump sum, it shall be indicated in the announcement, wherein the matters as prescribed in paragraph 2, Article 117 of the present Law shall be indicated as well.

Article 117 As to any creditor's right subject to the requirement for effectiveness or rescission, a bankruptcy administrator shall preserve the distribution share in advance.
As to the distribution share as preserved by the bankruptcy administrator in advance in the preceding paragraph, on the announcement day of the conclusive distribution, where the requirement for effectiveness is not satisfied or the requirement for rescission is satisfied, it shall be distributed to the other creditors; on the announcement day of the conclusive distribution, where the requirement for effectiveness is satisfied or the requirement for rescission is not satisfied, it shall be delivered to the creditors.

Article 118 The distribution shares of the insolvent assets that have not been collected by creditors shall be preserved by the relevant bankruptcy administrator in advance. Where a creditor fails to collect its share within 2 months as of the last day of distribution announcement, it shall be deemed as a waiver of the right to collect the distribution share. The bankruptcy administrator or the people's court shall distribute the preserved distribution share to other creditors.

Article 119 Where the insolvent assets are distributed, as to any creditor's right that has not been settled by action or arbitration, a bankruptcy administrator shall preserve the distribution share in advance. Where any distribution share fails to be collected within 2 years as of the day when the procedures for bankruptcy are concluded, the people's court shall distribute the preserved distribution share to other creditors.

Section III Conclusion of the Procedures for Bankruptcy

Article 120 In the case of no asset for the bankrupt to distribute, the relevant bankruptcy administrator shall request the people's court to terminate the procedures for bankruptcy.
A bankruptcy administrator shall, upon conclusion of a conclusive distribution, report to the people's court a report on the distribution of insolvent assets in a timely manner and request the people's court to terminate the procedures for bankruptcy.
The people's court shall, within 15 days as of the day when a request of a bankruptcy administrator to conclude the procedures for bankruptcy is received, make a decision on whether to conclude the procedures. Any decision on concluding the procedures shall be announced.

Article 121 A bankruptcy administrator shall, within 10 days as of the day when the procedures for bankruptcy are concluded, handle the formalities for write-off in the organ as originally in charge of the registration of the bankrupt upon the strength of the decision of the people's court on concluding the procedures for bankruptcy.

Article122 A bankruptcy administrator shall terminate the performance of its functions and duties on the following day after it completes the formalities for the registration of write-off, unless the relevant action or arbitration has not been concluded.

Article 123 Within 2 years as of the day when the procedures for bankruptcy are concluded according to the provisions of paragraph 4, Article 43 or Article 120 of the present Law, under any of the following circumstances, a creditor may request the people's court to make an additional distribution according to the distribution plan of insolvent assets:
(1) Where the relevant assets shall be recovered according to the provisions of Article 31, 32, 33 or 36 of the present Law; and
(2) Where the bankrupt has any other asset that shall have been distributed.
Under any of the following circumstances as prescribed in the preceding paragraph, yet where the amount of assets are not enough to meet the expenses for distribution, no additional distribution may be held and the relevant assets shall be turned over by the people's court into the state treasury.

Article 124 The guarantor and other joint and several debtors of the bankrupt shall, upon conclusion of the procedures for bankruptcy, bear the joint and several liabilities of repayment of the creditor's right that has not been repaid according to the procedures for bankrupt liquidation and according to law.

Chapter XI Legal Liabilities

Article 125 Where a director, supervisor or senior manager violates his obligations of being honest and diligent and thus leads to enterprise bankruptcy, he shall be subject to the relevant civil liabilities according to law.
No person under any circumstance as prescribed in the preceding paragraph may, within 3 years as of the day when the procedures for bankruptcy are concluded, assume the post of director, supervisor or senior manager of any enterprise.

Article 126 For any staff member of a debtor who is obligated to attend the creditor's meeting yet fails to do so upon summon of the people's court without any justifiable reason, the people's court may summon him by force and impose upon him a fine according to law. Where any staff member of a debtor violates the provisions of the present Law by refusing to illustrate or answer, or producing any false statement or answer, the people's court may impose upon him a fine according to law.

Article 127 Where a debtor violates the provisions of the present Law by refusing to submit any required material to the people's court or submit thereto any fraud statement on financial status, checklist of debts, checklist of the creditor's right, financial statement or payment statement of its employees' wages or social insurance premiums, the people's court may impose a fine upon the directly liable person according to law.
Where any debtor violates the provisions of the present Law by refusing to transfer its assets, seals or such materials as book accounts and documents, or fabricating or destroying the relevant materials of financial evidences, thereby making its financial status ambiguous, the people's court may impose a fine upon the directly liable person according to law.

Article 128 Where a debtor has any act as prescribed in Article 31, 32 or 33 by damaging the interest of its creditors, the legal representative of the debtor or any other directly liable person shall be subject to the liabilities of compensation according to law.

Article 129 Where any staff member of a debtor violates the provisions of the present Law by unlawfully leaving his domicile, the people's court can give an admonition or detainment, and may impose a fine upon him concurrently according to law.

Article 130 Where a bankruptcy administrator fails to perform its functions and duties in a diligent and faithful manner according to the provisions of the present Law, the people's court can impose upon it a fine according to law. Where any loss is incurred to a creditor, a debtor or a third party, the bankruptcy administrator shall be subject to the liabilities of compensation according to law.

Article 131 Any entity that violates the provisions of the present Law and thus constitutes a crime shall be subject to criminal liabilities according to law.

Chapter XII Supplementary Provisions

Article 132 After the present Law is implemented, as to the defaulted wages and subsidies for medical treatment and disability, comfort and compensatory expenses, the fundamental old-age insurance premiums and fundamental medical insurance premiums that shall have transferred into the individual accounts of employees as well as the compensation for the employees as prescribed by the relevant laws and administrative regulations, where the assets are not enough for repayment upon liquidation according to the provisions of Article 113 of the present Law, the particular assets as prescribed in Article 109 of the present Law shall be liquidated prior to the repayment for the owner of the right to guaranty on the particular assets.

Article 133 Any special matter in the bankruptcy of a state-owned enterprise within the term and scope as prescribed by the State Council before the present Law comes into force shall be handled according to the relevant provision of the State Council.

Article 134 Where such financial institutions as a commercial bank, securities company or insurance company is under any of the following circumstances as prescribed in Article 2 of the present Law, the financial supervision organ under the State Council shall file an application with the people's court for rectification or bankruptcy liquidation of the financial institution. Where the financial supervision organ under the State Council adopts, according to law, such measures as take-over and custody to a financial institutions carrying major business risks, it may apply with the people's court for suspending the procedures for civil action or execution, wherein the said financial institution is the defendant or party against whom a judgment or order is being executed.
Where a financial institution is under bankruptcy, the State Council may, according to the present Law and other relevant laws, formulate the corresponding measures for implementation.

Article 135 The liquidation of the organizations other than enterprise legal persons as prescribed by law, which falls within the category of bankrupt liquidation, shall be governed by the procedures as prescribed by the present Law.

Article 136 The present Law shall come into force as of June 1, 2007. The Law of the People's Republic of China on Enterprise Bankruptcy (for Trial Implementation) shall be simultaneously abolished.

 
 
 
 
 
 
 
 
Copyright Notice® All Rights Reserved By Jiangyu Wang

PRC, Enterprise Bankruptcy Law

(Adopted at the 23rd Session of the Standing Committee of the 10th National People's Congress on 27 August 2006, and effective as of 1 June 2007.)

PART ONE: GENERAL PROVISIONS

Article 1: This Law is formulated in order to standardize the procedures of enterprise bankruptcy, settle claims and debts equitably, protect the lawful rights and interests of creditors and debtors and safeguard the economic order of the socialist market.

Article 2: If an enterprise legal person is unable to discharge its debts as they fall due and its assets are insufficient to discharge its debts in full, or if it obviously lacks the ability to discharge its debts, it shall settle the debts in accordance with the provisions hereof.

If an enterprise legal person falls into the circumstance prescribed in the preceding paragraph or is obviously likely to lose the ability to discharge its debts, it may undergo reorganization in accordance with this Law.

Article 3: A bankruptcy case shall be under the jurisdiction of the people's court of the place in which the debtor is domiciled.

Article 4: In relation to the trial procedures of bankruptcy cases, where this Law has not provided, the relevant provisions of the Civil Procedure Law shall apply.

Article 5: Bankruptcy proceedings commenced pursuant to this Law shall have effect on the debtor's property outside the territory of the People's Republic of China.

If a legally binding judgment or ruling made by a foreign court in a bankruptcy case involves the debtor's property within the territory of the People's Republic of China and an application or request is made to a people's court for recognition and enforcement, the people's court shall examine the case in accordance with the international treaties concluded or acceded to by the People's Republic of China or pursuant to the principle of reciprocity and shall rule recognition and enforcement of the judgment or ruling if, in its opinion, the judgment or ruling is not in violation of the fundamental principles of the laws of the People's Republic of China, not detrimental to the national sovereignty and security and the public interest and not prejudicial to the lawful rights and interests of the creditors within the territory of the People's Republic of China.

Article 6: In the trial of a bankruptcy case, the people's court shall protect the lawful rights and interests of the staff and workers of the enterprise in accordance with law and shall pursue the legal liability of the management personnel of the bankrupt enterprise in accordance with the law.

PART TWO: APPLICATION AND ACCEPTANCE

Section One: Application

Article 7: A debtor may file to the people's court a reorganization, conciliation or bankruptcy liquidation application if it is in the circumstance set out in Article 2 hereof.

If a debtor is unable to discharge its debts as they fall due, its creditor(s) may file to the people's court an application for the reorganization or bankruptcy liquidation of the debtor.

If an enterprise legal person has been dissolved but has not been liquidated or has not completed liquidation, and the assets are not sufficient to discharge the debts, the person who is responsible for the liquidation according to law shall apply to the people's court for bankruptcy liquidation.

Article 8: To file a bankruptcy application to the people's court, a bankruptcy application and the relevant proofs shall be submitted.

The bankruptcy application shall set out the following particulars:

  1. the basic details of the applicant and the respondent;
  1. the purpose of the application;
  1. the facts and grounds on which the application is made;
  1. other particulars which the people's court deems necessary to be set out.

If the application is filed by the debtor, the debtor shall also file to the people's court a statement of property status, the list of debts, the list of claims, the relevant accounting reports, the plan for resettlement of staff and workers and the details of payment of wages to staff and workers and social insurance premiums.

Article 9: Before the bankruptcy application is accepted by the people's court, the applicant may request to withdraw the application.

Section Two: Acceptance

Article 10: If the bankruptcy application is filed by a creditor, the people's court shall notify the debtor within five days of receipt of the application. If the debtor has objection to the application, it shall raise the objection to the people's court within seven days of receipt of the notice from the people's court. The people's court shall rule whether to accept the application within 10 days of the expiration of the objection period.

Except in the circumstance prescribed in the preceding paragraph, the people's court shall rule whether to accept the bankruptcy application within 15 days of receipt thereof.

If the period for acceptance ruling needs to be extended as required under a special circumstance, it may be extended for 15 days with the approval of a people's court at one level upwards.

Article 11: If the people's court accepts a bankruptcy application, it shall serve its ruling on the applicant within five days of the making thereof.

If the application is filed by a creditor, the people's court shall serve its ruling on the debtor within five days of the making thereof. The debtor shall, within 15 days of the service of the ruling, file to the people's court a statement of property status, the list of debts, the list of claims, the relevant accounting reports, the plan for resettlement of staff and workers and the details of payment of wages to staff and workers and contribution to social insurance premiums.

Article 12: If the people's court rules not the non-acceptance of the bankruptcy application, it shall serve its ruling on the applicant within five days of the making thereof and state its reasons therein. If the applicant disagrees with the ruling, it may appeal to a people's court at one level upwards within 10 days of the service of the ruling.

After the people's court has accepted the bankruptcy application but before bankruptcy is declared, if the people's court finds upon examination that the debtor is not in the circumstance prescribed in Article 2 hereof, it may rule the non-acceptance of the application. If the applicant disagrees with the ruling, it may appeal to a people's court at one level upwards within 10 days of the service of the ruling.

Article 13: If the people's court rules the acceptance of the bankruptcy application, it shall appoint an administrator concurrently.

Article 14: The people's court shall, within 25 days of the ruling of acceptance of the bankruptcy application, notify the known creditors and make an announcement thereof.

The notice and announcement shall set out the following particulars:

  1. the names of the applicant and the respondent;
  1. the time the people's court accepts the bankruptcy application;
  1. the time limit, place and matters requiring attention in relation to the filing of claims;
  1. the name of the administrator and its address for administration of affairs;
  1. a request that the debtors or property holders of the debtor shall discharge the debts or deliver the property to the administrator;
  1. the time and place for convening the first creditors' meeting; and
  1. other matters which the people's court deems necessary to be notified and announced.

Article 15: From the date on which the ruling of the people's court to accept the bankruptcy application is served on the debtor to the date on which the bankruptcy proceedings terminate, the relevant personnel of the debtor shall undertake the following obligations:

  1. safekeeping the property, seals and information such as accounting books and documents which are under their possession and management;
  1. carrying out work as required by the people's court and the administrator and giving truthful answers to the questions addressed to them;
  1. attendance at the creditors' meeting and giving truthful answers to the questions of the creditors;
  1. not leaving their places of domicile without the permission of the people's court; and
  1. not accepting new appointment as director, supervisor or senior management personnel in other enterprises.

For the purposes of the preceding paragraph, relevant personnel shall mean the legal representative of the enterprise; subject to the decision of the people's court, the relevant personnel may include the financial management personnel and other business management personnel of the enterprise.

Article 16: After the people's court has accepted the bankruptcy application, the repayment by the debtor of its debts to individual creditors shall be void.

Article 17: After the people's court has accepted the bankruptcy application, the debtors or property holders of the debtor shall discharge the debts or deliver the property to the administrator.

If the debtors or property holders of the debtor discharge the debts or deliver the property to the debtor in deliberate violation of the provisions of the preceding paragraph and cause losses to the creditors, they shall not be released from the obligation to discharge the debts or deliver the property.

Article 18: After the people's court has accepted the bankruptcy application, the administrator shall have the right to decide the dissolution or continued performance of any contract established prior to the acceptance of the bankruptcy application and not fully performed by both the debtor and the counterparty upon notice to the counterparty. If the administrator fails to notify the counterparty within two months of the acceptance of the bankruptcy application or fails to reply within 30 days of receipt of the counterparty's demand, the contract shall be deemed dissolved.

If the administrator decides to continue to perform the contract, the counterparty shall do so but it has the right to demand the administrator to provide security. If the administrator fails to provide security, the contract shall be deemed dissolved.

Article 19: After the people's court has accepted the bankruptcy application, the preservation measures against the debtor's property shall be released and the execution procedure shall be suspended.

Article 20: After the people's court has accepted the bankruptcy application, any commenced but incomplete civil litigation or arbitration in relation to the debtor shall be suspended; such litigation or arbitration may continue to proceed after the administrator has taken possession of the debtor's property.

Article 21: After the people's court has accepted the bankruptcy application, any civil litigation in relation to the debtor may only be initiated at the people's court which has accepted the bankruptcy application.

Part Three: Administrator

Article 22: The administrator shall be appointed by the people's court.

If the creditors' meeting believes that the administrator is not capable of performing its duties in accordance with the law and in an impartial manner or is otherwise in a circumstance where it does not qualify for the position, the creditors' meeting may apply to the people's court for its replacement.

The procedures for appointing the administrator and determining the remunerations of the administrator shall be provided by the Supreme People's Court.

Article 23: The administrator shall perform its duties, report its work to the people's court and accept supervision by the creditors' meeting and creditors committee in accordance with the provisions hereof.

The administrator shall attend at the creditors' meeting to report on the performance of its duties thereto and answer questions.

Article 24: The administrator may be served by the liquidation team consisting of the personnel of the relevant authorities and institutions or by a social intermediary institution such as law firm, accounting firm or bankruptcy liquidation firm established in accordance with the law.

The people's court may, in light of the actual circumstances of the debtor and after consulting the opinion of a relevant social intermediary institution, appoint a personnel in such institution as administrator who has the relevant professional knowledge and has obtained the practising qualifications.

No one may serve as administrator if he:

  1. has been subject to criminal punishment for willful commission of a crime;
  1. has had its relevant professional practising certificate revoked;
  1.  is an interested party in the case; or
  1. is otherwise in a circumstance in which he is deemed unfit by the people's court to serve as administrator.

If an individual serves as administrator, he shall take out practising liability insurance.

Article 25: The administrator shall perform the following duties:

  1. taking possession of the property, seals and information such accounting books and documents of the debtor;
  1. investigating the property status of the debtor and preparing a property status report;
  1. determining the internal management affairs of the debtor;
  1. determining the daily expenses and other necessary expenses of the debtor;
  1. deciding to continue or terminate the business operation of the debtor before the first creditors' meeting;
  1. managing and disposing of the debtor's property;
  1. participating in litigation, arbitration or other legal proceedings on behalf of the debtor;
  1. proposing to convene the creditors' meeting; and
  1. other duties which the people's court deems necessary to be performed by the administrator.

Where this Law has provided otherwise in respect of the duties of the administrator, such provisions shall apply.

Article 26: If, before the first creditors' meeting is convened, the administrator decides to continue or terminate the business operation of the debtor or perform any of the acts set out in Article 69 hereof, it shall obtain the approval of the people's court.

Article 27: The administrator shall perform its duties with due diligence and loyalty.

Article 28: Subject to the approval of the people's court, the administrator may employ necessary working personnel.

The remuneration of the administrator shall be determined by the people's court. If the creditors' meeting has any objection to the remuneration of the administrator, it has the right to raise the objection to the people's court.

Article 29: The administrator may not resign without proper reasons. The resignation of the administrator shall be subject to approval by the people's court.

PART FOUR: DEBTOR'S PROPERTY

Article 30: All property which belongs to the debtor prior to the acceptance of the bankruptcy application and the property obtained by the debtor after the acceptance of the bankruptcy application but before the termination of the bankruptcy proceedings shall be the debtor's property.

Article 31: The administrator has the right to request the people's court to rescind any of the following acts involving the debtor's property within one year before the bankruptcy application is accepted by the people's court:

  1. transfer of property without compensation;
  1. conduct transactions at an obviously unreasonable price;
  1. provision of property security for any unsecured debt;
  1. prepayment of any debt that has not fallen due;
  1. waiver of any claim.

Article 32: If, within six months before the bankruptcy application is accepted by the people's court, the debtor continues to repay its debts to individual creditors although the debtor is already in the circumstance set out in Paragraph One of Article 2 hereof, the administrator has the right to request the people's court to rescind such repayment unless such repayment benefits the debtor's property.

Article 33: Any of the acts involving the debtor's property shall be void:

  1. concealment or transfer of property for the purposes of avoiding debts; or
  1. fabrication of debts or recognition of untrue debts.

Article 34: The administrator has the right to recover the debtor's property acquired as a result of an act set out in Article 31, Article 32 or Article 33.

Article 35: After the people's court has accepted the bankruptcy application, if a capital contributor of the debtor has not fully performed the capital contribution obligation, the administrator shall demand such capital contributor to pay the capital subscribed by it notwithstanding any time limit for capital contribution.

Article 36: Any irregular income obtained from the enterprise and any property of the enterprise embezzled by the directors, supervisors and senior management personnel of the debtor by taking advantage of their authority shall be recovered by the administrator.

Article 37: After the people's court has accepted the bankruptcy application, the administrator shall repossess any pledge or lien through debt repayment or provision of security acceptable to the creditor.

For the purposes of the preceding paragraph, "debt repayment or substitute security" shall be limited to the current market value of such pledge or lien if the value of such pledge or lien is less than the amount of the claim secured by it.

Article 38: After the people's court has accepted the bankruptcy application, the property which is possessed by but does not belong to the debtor may be repossessed by the owner of such property through the administrator, unless otherwise provided in this Law.

Article 39: If, at the time when the people's court accepts the bankruptcy application, the subject matter of a sale and purchase transaction has been consigned by the seller to the debtor who is also the purchaser but has not been received and fully paid by the debtor, the seller may repossess the subject matter in transit. However, the administrator may by payment of the full price request the seller to deliver the subject matter.

Article 40: If a creditor owes a debt to the debtor before the bankruptcy application is accepted, it may request the administrator to offset it. However, no offsetting may be made in any of the following circumstances:

  1. the debtor of the debtor acquires a claim of another party against the debtor after the bankruptcy application has been accepted;
  1. the creditor becomes indebted to the debtor when it already knows the fact of the inability of the debtor to discharge debts as they fall due or the bankruptcy application, unless the creditor becomes indebted by operation of law or for a reason that occurred more than one year prior to the bankruptcy application; or
  1. the debtor of the debtor becomes indebted to the debtor when it already knows the fact of the inability of the debtor to discharge debts as they fall due or the bankruptcy application, unless the debtor of the debtor becomes indebted by operation of law or for a reason that occurred more than one year prior to the bankruptcy application.

PART FIVE: BANKRUPTCY EXPENSES AND DEBTS FOR COMMON BENEFITS

Article 41: The following expenses incurred after the people's court has accepted the bankruptcy application are bankruptcy expenses:

  1. the litigation costs of the bankruptcy case;
  1. the costs of managing, realizing and distributing the debtor's property; and
  1. the costs of the administrator to perform its duties and its remuneration and the costs of employing working personnel.

Article 42: The following debts incurred after the people's court has accepted the bankruptcy application are debts for common benefits:

  1. debts incurred as a result of the administrator or the debtor requesting the counterparty to perform a contract which both parties have not fully performed;
  1. debts incurred as a result of the debtor's property being placed under negotiorum gestio;
  1. debts incurred as a result of the improper gains of the debtor;
  1. the labour remunerations and social insurance premiums payable for the continuation of business operation by the debtor and other debts incurred in connection therewith;
  1. debts incurred as a result of injury to other parties in connection with the performance of duties by the administrator or relevant personnel; and
  1. Debts incurred as a result of injury to other parties by the debtor's property.

Article 43: Bankruptcy expenses and debts for common benefits shall be paid out of the debtor's property at any time.

If the debtor's property is not sufficient to pay off all bankruptcy expenses and debts for common benefits, the bankruptcy expenses shall be paid off first.

If the debtor's property is not sufficient to pay off all bankruptcy expenses or all debts for common benefits, they shall be paid on a pro-rata basis.

If the debtor's property is not sufficient to pay off the bankruptcy expenses, the administrator shall request the people's court to terminate the bankruptcy proceedings. The people's court shall rule to terminate the bankruptcy proceedings within 15 days of receipt of the request and shall make an announcement thereof.

PART SIX: FILING OF CLAIMS

Article 44: A creditor who has a claim against the debtor at the time when the bankruptcy application is accepted by the people's court shall exercise its rights in accordance with the procedure set out in this Law.

Article 45: After accepting the bankruptcy application, the people's court shall determine the period for the creditors to file their claims. The claim filing period may not be shorter than 30 days and longer than three months from the date on which the people's court announces its acceptance of the bankruptcy application.

Article 46: An immature claim shall be deemed matured upon the acceptance of the bankruptcy application.

The interest on an interest accruing claim shall cease to accrue upon the acceptance of the bankruptcy application.

Article 47: Claims subject to conditions or having a term and claims subject to outstanding litigation or arbitration may be filed by the creditors.

Article 48: A creditor shall file its claims with the administrator within the claim filing period determined by the people's court.

No filing is required for the wages, medical expenses, disability assistance and compassionate payment owed by the debtor to the staff and workers, the premiums of basic old age insurance and basic medical insurance which are owed and shall be credited to the personal accounts of the staff and workers, and the compensations payable to the staff and workers according to laws and administrative regulations, and the administrator shall make a list thereof and display it to the public after investigation. If the staff and workers disagree with the list, they may request the administrator to make corrections; if the administrator fails to do so, the staff and workers may initiate litigations at the people's court.

Article 49: When filing claims, a creditor shall state in writing the amount of the claim and whether it is a secured claim and shall provide the relevant proof thereof. If the claim being filed is a joint claim, it shall be stated.

Article 50: One of the joint creditors may represent all the joint creditors to file the claim and may jointly file the claim.

Article 51: If the guarantor of the debtor or other joint debtor has discharged the debt for the debtor, it may file a claim on the basis of its right of indemnification against the debtor.

If the guarantor of the debtor or other joint debtor has not discharged the debt for the debtor, it may file a claim on the basis of its right of future indemnification against the debtor, unless the creditor has already filed all claims with the administrator.

Article 52: If several of the joint debtors are adjudged to be subject to the proceedings provided herein, their creditors have the right to file claims in each bankruptcy case in respect of all the claims.

Article 53: If the administrator or debtor dissolves a contract pursuant to the provisions hereof, the counterparty may file a claim on the basis of the right to damages arising from the dissolution of the contract.

Article 54: If the debtor, being the mandator of a mandate contract, is adjudged to be subject to the proceedings provided herein and the mandatary is not aware of this fact and continues to handle the entrusted matters, the mandatary may file a claim on the basis of the right of claim arising thereby.

Article 55: If the debtor, being the drawer of an instrument, is adjudged to be subject to the proceedings provided herein and the payer of the instrument continues to make payment or acceptance, the payer may file a claim on the basis of the right of claim arising thereby.

Article 56: If a creditor fails to file its claim within the claim filing period determined by the people's court, it may file a supplementary claim before the final distribution of the bankruptcy property; however, no supplementary distribution will be made to such creditor in respect of the prior distributions. The expenses in connection with the examination and confirmation of such supplementary claim shall be borne by the supplementary claimant.

If a creditor fails to file its claim pursuant to the provisions hereof, it may not exercise the rights pursuant to the proceedings provided herein.

Article 57: Upon receipt of the claim filing materials, the administrator shall enter them into a registry, carry out examination on the filed claims and prepare a schedule of claims.

The schedule of claims and claim filing materials shall be kept by the administrator and made available for inspection by interested parties.

Article 58: A schedule of claims prepared pursuant to the provisions of Article 57 hereof shall be submitted to the first creditors' meeting for verification.

If the debtor and creditors do not have objection to the claims set out in the schedule of claims, the people's court shall rule the confirmation thereof.

If the debtor or creditor has objection to any claim set out in the schedule of claims, it may initiate litigation at the people's court which has accepted the bankruptcy application.

PART SEVEN: CREDITORS' MEETING

Section One: General Provisions

Article 59: A creditor who has filed a claim according to law shall be a member of the creditors' meeting and has the right to attend the creditors' meeting with voting rights.

A creditor whose claim is not ascertained may not exercise voting rights unless the people's court tentatively determines a claim amount for it in order to enable it to exercise its voting rights.

A creditor who has a security right over a specific property of the debtor and who has not waived its right of priority of compensation does not have voting rights in respect of the matters provided in Items (7) and (10) of Paragraph One of Article 61 hereof.

A creditor may attend the creditors' meeting and exercise its voting rights by proxy. The proxy holder attending the creditors' meeting shall submit the proxy of the creditor to the people's court or the chairman of the creditors' meeting.

The creditors' meeting shall be attended by a representative of the staff and workers and the labour union of the debtor who may express opinion on the relevant matters.

Article 60: The creditors' meeting shall have one chairman, who shall be appointed by the people's court among the creditors who have voting rights.

The chairman of the creditors' meeting shall preside over the creditors' meeting.

Article 61: The creditors' meeting shall exercise the following functions:

  1. verifying the claims;
  1. applying to the people's court for replacement of the administrator and examining the expenses and remuneration of the administrator;
  1. supervising the administrator;
  1. appointing and replacing the members of the creditors' committee;
  1. deciding to continue or terminate the operations of the debtor;
  1. adopting the reorganization plan;
  1. adopting the conciliation agreement;
  1. adopting the plan for the management of the debtor's property;
  1. adopting the plan for the realization of the bankruptcy property;
  1. adopting the plan for the distribution of the bankruptcy property; and
  1. other functions which the people's court deems necessary to be exercised by the creditors' meeting.

The creditors' meeting shall produce minutes of meeting for the resolutions on matters under its deliberation.

Article 62: The first creditors' meeting shall be convened by the people's court within 15 days upon expiration of the claim filing period.

Subsequent creditors' meeting shall be convened when the people's court considers necessary or when it is proposed to the chairman of the creditors' meeting by the administrator, the creditors' committee and the creditors whose claims account for more than one-fourth of the total amount of the claims.

Article 63: When the creditors' meeting is to be convened, the administrator shall give 15 days' notice to the known creditors.

Article 64: A resolution of the creditors' meeting shall be adopted by a majority of the attending creditors who have voting rights and who represent more than one half of the total amount of the unsecured claims, unless otherwise provided herein.

If a creditor believes that a resolution of the creditors' meeting is in violation of laws and prejudices its interests, it may, within 15 days of the making of the resolution by the creditors' meeting, request the people's court to rule the revocation of such resolution and order to the creditors' meeting to make a resolution anew in accordance with the law.

A resolution of the creditors' meeting shall be binding on all creditors.

Article 65: Matters under Items (8) and (9) of Paragraph One of Article 61 hereof shall be ruled by the people's court if they are not adopted by vote at the creditors' meeting.

Matters under Item (10) of Paragraph One of Article 61 hereof shall be ruled by the people's court if they are not adopted by the second vote at the creditors' meeting.

Adjudication provided in the preceding two paragraphs may be announced at the creditors' meeting or otherwise notified to the creditors by the people's court.

Article 66: If a creditor is dissatisfied with the ruling made by the people's court pursuant to Paragraph One of Article 65 hereof, or if the creditors whose amount of claims accounts for more than one half of the total amount of unsecured claims are dissatisfied with the ruling made by the people's court pursuant to Paragraph Two of Article 65 hereof, it or they may apply to the people's court for review within 15 days of the date of the announcement of the ruling or the date of receipt of the notice. The execution of the ruling shall not cease during the review period.

Section Two: Creditors' Committee

Article 67: The creditors' meeting may decide to form a creditors' committee. The creditors' committee shall consist of the representative of the creditors appointed by the creditors' meeting and one representative of the staff and workers or the labour union of the debtor. The creditors' committee shall not have more than nine members.

The members of the creditors' committee shall be subject to written confirmation by the people's court.

Article 68: The creditors' committee shall exercise the following functions:

  1. supervising the management and disposal of the debtor's property;
  1. supervising the distribution of the bankruptcy property;
  1. proposing to convene the creditors' meeting; and
  1. other functions entrusted by the creditors' meeting.

When performing its functions, the creditors' committee has the authority to request the administrator and the relevant personnel of the debtor to give account of the affairs within their scope of functions or provide the relevant documents.

If the administrator or the relevant personnel of the debtor refuses to accept supervision in violation of the provisions hereof, the creditors' committee has the right to request the people's court to make a decision on the matters under its supervision; and the people's court shall make a decision within five days.

Article 69: The administrator shall timely report to the creditors' committee when it performs the following acts:

  1. transfer of immovable rights and interests such as land and buildings;
  1. transfer of property rights such as mineral exploration rights, mining rights and intellectual property rights;
  1. transfer of the whole of inventory or business;
  1. borrowing of money;
  1. creation of property security;
  1. transfer of claims and negotiable securities;
  1. performance of contracts which both the debtor and the counterparty have not fully performed;
  1. waiver of rights;
  1. recovery of security; and
  1. other act of property disposal which has a material effect on the interests of the creditors.

Where no creditors' committee is formed, the administrator shall report to the people's court when performing the acts set out in the preceding paragraph.

PART EIGHT: REORGANIZATION

Section One: Reorganization Application and Reorganization Period

Article 70: A debtor or a creditor may directly apply to the people's court for reorganization of the debtor pursuant to the provisions hereof.

If the creditor applies for bankruptcy liquidation of the debtor, the debtor or the capital contributor whose amount of capital contribution accounts for more than one-tenth of the registered capital of the debtor may apply to the people's court for reorganization after the people's court has accepted the bankruptcy application and before the people's court declares the debtor bankrupt.

Article 71: If the people's court believes upon examination that the reorganization application is in conformity with the provisions hereof, it shall rule the reorganization of the debtor and make an announcement thereof.

Article 72: The period from the date on which the people's court rules the reorganization of the debtor to the termination of the reorganization proceedings shall be the reorganization period.

Article 73: During the reorganization period, upon application by the debtor and subject to approval by the people's court, the debtor may manage its property and business affairs by itself under the supervision of the administrator.

In the circumstance prescribed in the preceding paragraph, the administrator who has taken possession of the debtor's property and business affairs pursuant to the provisions hereof shall hand over to the debtor the property and business affairs, and the functions of the administrator provided herein shall be exercised by the debtor.

Article 74: If the administrator is responsible for the management of the property and business affairs, it may engage the business management personnel of the debtor to take charge of the business affairs.

Article 75: During the reorganization period, exercise of security rights over specific property of the debtor shall be suspended. However, if there is a possibility for the security to be damaged or significantly reduced in value to the extent that the rights of the security right holder may be prejudiced, the holder of the security right may request the people's court for resumption of the exercise of the security rights.

During the reorganization period, if the debtor or the administrator borrows money for the purposes of continuing the business operation, it may create security for such borrowing.

Article 76: Where the debtor has lawful possession of a third party's property, if the owner of such property requests repossession of the property during the reorganization period, the pre-agreed conditions shall be met.

Article 77: During the reorganization period, the capital contributors of the debtor may not request distribution of returns on investment.

During the reorganization period, the directors, supervisors and senior management personnel of the debtor may not transfer the equity interests held by them in the debtor to any third party unless with the consent of the people's court.

Article 78: During the reorganization period, if any of the following circumstances occurs, the people's court shall rule to terminate the reorganization proceedings and declare the debtor bankrupt upon the request of the administrator or the interested parties:

  1. business conditions and property conditions of the debtor continue to deteriorate without the possibility of being remedied;
  1. the debtor acts to defraud or maliciously reduce the debtor's property or otherwise in a manner obviously detrimental to the creditors; or
  1. the debtor's conduct makes it impossible for the administrator to perform its duties.

Section Two: Formulation and Approval of Reorganization Plan

Article 79: The debtor or the administrator shall submit a draft reorganization plan to the people's court and the creditors' meeting at the same time within six months of the date on which the people's court rules the reorganization of the debtor.

Upon the expiration of the period provided in the preceding paragraph and the request of the debtor or the administrator, the people's court may rule the extension of the period for three months where there are proper reasons.

If the debtor or the administrator fails to submit a draft reorganization plan on time, the people's court shall rule the termination of the reorganization proceedings and declare the debtor bankrupt.

Article 80: If the debtor manages its property and business affairs on its own, the draft reorganization plan shall be prepared by the debtor.

If the administrator is responsible for the management of the property and business affairs, the draft reorganization plan shall be prepared by the administrator.

Article 81: The draft reorganization plan shall include the following contents:

  1. the business plan of the debtor;
  1. the classification of claims;
  1. the plan of claim adjustment;
  1. the plan of claim repayment;
  1. the execution period of the reorganization plan;
  1. the supervision period of the execution of the reorganization plan; and
  1. other plans conducive to the reorganization of the debtor.

Article 82: The creditors of the following classes of claims shall attend the creditors' meeting for discussion of the draft reorganization plan and shall be grouped in accordance with the following claim classes to vote on the draft reorganization plan:

  1. claims that have security rights over specific property of the debtor;
  1. the wages and the medical expenses, disability assistance and compassionate payment owed by the debtor to the staff and workers, the premiums of basic old age insurance and basic medical insurance which are owed and shall be credited to the personal accounts of the staff and workers, and the compensations payable to the staff and workers according to laws and administrative regulations;
  1. taxes owed by the debtor; and
  1. ordinary claims.

If necessary, the people's court may decide to set up a small claims group within the ordinary claims group to vote on the draft reorganization plan.

Article 83: A reorganization plan shall not provide for reduction or exemption of the social insurance premiums payable and unpaid by the debtor other than those specified in Item (2) of Paragraph One of Article 82 hereof; the creditors of such premiums shall not participate in the voting on the draft reorganization plan.

Article 84: Within 30 days of receipt of the draft reorganization plan, the people's court shall convene the creditors' meeting to vote on the draft reorganization plan.

If the draft reorganization plan is agreed by a majority of the creditors of the same voting group attending the meeting and the amount of claims represented by such creditors accounts for more than two-thirds of the total amount of claims of the group, the draft reorganization plan shall be deemed to have been adopted by that group.

The debtor or the administrator shall explain the draft reorganization plan to the creditors' meeting and answer questions.

Article 85: The representative of the capital contributors of the debtor may attend at the creditors' meeting for discussion of the draft reorganization plan.

If the draft reorganization plan involves the matter of adjustment to the interests of the capital contributors, a group of capital contributors shall be set up to vote on such matter.

Article 86: The reorganization plan shall be deemed to have been adopted when all voting groups have adopted the draft reorganization plan.

Within 10 days of the adoption of the reorganization plan, the debtor or the administrator shall submit an application to the people's court for approval of the reorganization plan. If the people's court believes upon examination that the reorganization plan is in conformity with the provisions hereof, it shall rule the approval thereof within 30 days of receipt of the application, terminate the reorganization proceedings and make an announcement thereof.

Article 87: If any of the voting groups does not adopt the draft reorganization plan, the debtor or the administrator may consult the voting group that does not adopt the draft reorganization plan. Such voting group may vote once again after the consultation. The result of the consultation shall not prejudice the interests of other voting groups.

If the voting group that does not adopt the draft reorganization plan refuses to vote once again or if it votes once again but still does not adopt the draft reorganization plan, the debtor or the administrator may apply to the people's court for approval of the draft reorganization plan provided that the draft reorganization plan meets the following conditions:

  1. pursuant to the draft reorganization plan, the claims under Item (1) of Paragraph One of Article 82 hereof will be fully repaid by the specific property and the losses arising from delay of repayment will be equitably compensated and its security right has not been materially prejudiced, or the voting group has adopted the draft reorganization plan;
  1. pursuant to the draft reorganization plan, the claims under Items (2) and (3) of Paragraph One of Article 82 hereof will be fully repaid, or the corresponding voting group has adopted the draft reorganization plan;
  1. the repayment percentage entitled by the ordinary claims pursuant to the draft reorganization plan is not lower than the repayment percentage entitled by such claims pursuant to the bankruptcy liquidation proceedings atthe time when the draft reorganization plan is submitted for approval, or the corresponding voting group has adopted the draft reorganization plan;
  1. the adjustment to the interests of the capital contributors under the draft reorganization plan is fair and equitable, or the group of capital contributors has adopted the draft reorganization plan;
  1. the draft reorganization plan treats the members of the same voting group fairly, and the order of repayment provided therein does not violate the provisions of Article 113 hereof; and
  1. the business plan of the debtor is feasible.

If the people's court believes upon examination that the draft reorganization plan is in conformity with the provision of the preceding paragraph, it shall rule the approval thereof within 30 days of receipt of the application, terminate the reorganization proceedings and make an announcement thereof.

Article 88: If the draft reorganization plan fails to be adopted, nor is it approved pursuant to the provisions of Article 87 hereof, or if the adopted reorganization plan fails to be approved, the people's court shall rule the termination of the reorganization proceedings and declare the debtor bankrupt.

Section Three: Execution of Reorganization Plan

Article 89: The debtor shall be in charge of executing the reorganization plan.

After the people's court rules the approval of the reorganization plan, the administrator who has taken possession of the property and business affairs shall hand over the property and business affairs to the debtor.

Article 90: Beginning from the date of approval of the reorganization plan by the people's court and during the supervision period provided in the reorganization plan, the administrator shall supervise the execution of the reorganization plan.

During the supervision period, the debtor shall report to the administrator on the execution of the reorganization and the financial conditions of the debtor.

Article 91: Upon the expiration of the supervision period, the administrator shall submit a supervision report the people's court. The supervision duty of the administrator shall terminate as of the date of submission of the supervision report.

The interested parties to the reorganization plan shall have the right to inspect the supervision report submitted by the administrator to the people's court.

Upon request of the administrator, the people's court may rule the extension of the period of supervision over the execution of the reorganization plan.

Article 92: A reorganization plan approved by the people's court shall be binding on the debtor and all creditors.

If a creditor fails to file its claims pursuant to the provisions hereof, it may not exercise its rights during the period of the execution of the reorganization plan; it may exercise its rights on the terms of repayment available to the same class of claims provided in the reorganization plan after the reorganization plan has been completely executed.

The rights of a creditor against the guarantors of the debtor and other joint debtors are not affected by the reorganization plan.

Article 93: If the debtor cannot or fails to execute the reorganization plan, the people's court shall, upon the request of the administrator or interested parties, rule the termination of the execution of the reorganization plan and declare the debtor bankrupt.

If the people's court rules the termination of the execution of the reorganization plan, the undertaking made by the creditor in the reorganization plan to adjust the claims shall be void. The repayment already received by a creditor as a result of the execution of the reorganization plan shall still be effective and any part of its claim which has not been discharged shall be a bankruptcy claim.

For the purposes of the preceding paragraph, creditors may continue to receive distributions only when the repayment received by the other creditors ranking pari passu with it has reached the same percentage.

In the circumstance prescribed in Paragraph One of this article, the security provided for the execution of the reorganization plan shall continue to be effective.

Article 94: Upon completion of the execution of the reorganization plan, the debtor shall not be liable to discharge the debts which have been reduced or exempted pursuant to the reorganization plan.

PART NINE: CONCILIATION

Article 95: A debtor may directly apply to the people's court for conciliation pursuant to the provisions hereof; it may also apply to the people's court for conciliation after the people's court has accepted the bankruptcy application and before it declares the debtor bankrupt.

The debtor shall propose a draft conciliation agreement when applying for conciliation.

Article 96: If the people's court believes upon examination that the conciliation application is in conformity with the provisions hereof, it shall gives a conciliation ruling and make an announcement thereof and shall convene the creditors' meeting to discuss the draft conciliation agreement.

A holder of security rights over a specific property of the debtor may exercise its rights beginning from the date on which the people's court gives a conciliation ruling.

Article 97: The resolution of the creditors' meeting to adopt the conciliation agreement shall be agreed by a majority of the attending creditors who have voting rights and who represent more than two-thirds of the total amount of the unsecured claims.

Article 98: If the creditors' meeting adopts the conciliation agreement, the people's court shall rule the confirmation thereof, terminate the conciliation proceedings and make an announcement thereof. The administrator shall hand over the property and business affairs to the debtor, and shall submit a report to the people's court on its performance of duties.

Article 99: If the draft conciliation agreement is voted on but fails to be adopted at the creditors' meeting, or if the conciliation agreement adopted at the creditors' meeting fails to have the confirmation of the people's court, the people's court shall rule the termination of the conciliation proceedings and declare the debtor bankrupt.

Article 100: The conciliation agreement which the people's court has ruled the confirmation shall be binding on the debtor and all conciliating creditors.

Conciliating creditors are persons who hold unsecured claims against the debtor at the time when the people's court accepts the bankruptcy application.

If a conciliating creditor fails to file its claims pursuant to the provisions hereof, it may not exercise its rights during the period of the execution of the conciliation agreement; it may exercise its rights on the terms of repayment provided in the conciliation agreement after the conciliation agreement has been completely executed.

Article 101: The rights of a conciliating creditor against the guarantors of the debtor and other joint debtors are not affected by the conciliation agreement.

Article 102: The debtor shall discharge debts on the terms provided in the conciliation agreement.

Article 103: If the conciliation agreement is concluded as a result of fraud or other illegal acts on the part of the debtor, the people's court shall rule it void and shall declare the debtor bankrupt.

In the circumstance prescribed in the preceding paragraph, the repayment received by a conciliating creditor as a result of the execution of the conciliation agreement will not be returned to the extent that it is within the same percentage as the repayment received by other creditors.

Article 104: If the debtor cannot or fails to execute the conciliation agreement, the people's court shall, upon the request of the conciliating creditors, rule the termination of the execution of the conciliation agreement and declare the debtor bankrupt.

If the people's court rules the termination of the execution of the conciliation agreement, the undertaking made by the debtor in the conciliation agreement to adjust the claims shall be void. The repayment already received by a conciliating creditor as a result of the execution of the conciliation agreement shall still be effective and any part of its claim which has not been discharged shall be a bankruptcy claim.

For the purposes of the preceding paragraph, creditors may continue to receive distributions only when the repayment received by the other creditors has reached the same percentage.

In the circumstance prescribed in Paragraph One of this article, the security provided for the execution of the conciliation agreement shall continue to be effective.

Article 105: If, after the people's court has accepted the bankruptcy application, the debtor and all creditors reach an agreement by themselves for the settlement of the claims and debts, they may request the people's court to issue a confirmation ruling and to terminate the bankruptcy proceedings.

Article 106: Upon completion of the execution of the conciliation agreement, the debtor shall not be liable to discharge the debts which have been reduced or exempted pursuant to the conciliation agreement.

PART TEN: BANKRUPTCY LIQUIDATION

Section One: Declaration of Bankruptcy

Article 107: If the people's court declares the debtor bankrupt pursuant to the provisions hereof, it shall serve the ruling on the debtor and the administrator within five days of the date of the ruling and shall notify the known creditors within 10 days of the date of the ruling and make an announcement thereof.

The debtor shall be called a bankrupt after it is declared bankrupt, the debtor's property shall be called bankruptcy property and the claims against the debtor at the time when the people's court accepts the bankruptcy application shall be called bankruptcy claims.

Article 108: If any of the following circumstances occurs before declaration of bankruptcy, the people's court shall rule to terminate the bankruptcy proceedings and make an announcement thereof:

  1. a third person has provided security in full amount for the debtor or has discharged all matured debts for the debtor; or
  1. the debtor has discharged all matured debts.

Article 109: A holder of security right over a specific property of the debtor has the right of priority of compensation against such specific property.

Article 110: If a creditor who has the right provided in Article 109 hereof cannot be fully repaid by exercising the right of priority of compensation, its unpaid claims will be considered ordinary claims; if the creditor waives its right of priority of compensation, its claims will be considered ordinary claims.

Section Two: Realization and Distribution

Article 111: The administrator shall prepare in a timely manner a bankruptcy property realization plan and submit it to the creditors' meeting for discussion.

The administrator shall realize and sell the bankruptcy property at such time as appropriate in accordance with the bankruptcy property realization plan adopted by the creditors' meeting or decided on by the people's court pursuant to the provision of Paragraph One of Article 65 hereof.

Article 112: Realization and sale of bankruptcy property shall be conducted through auction, unless otherwise resolved by the creditors' meeting.

A bankrupt enterprise may be realized and sold in whole or in part. When an enterprise is realized and sold, its intangible assets and other property may be realized and sold separately.

Property which, according to the regulations of the State, may not be auctioned or is restricted in transfer shall be handled in such manner as provided by the State.

Article 113: After payment of bankruptcy expenses and debts for common benefits in priority, the bankruptcy property shall be used to discharge debts in the following order of priority:

  1. the wages, medical allowance, disability assistance and compassionate payment owed by the bankrupt to the staff and workers, the premiums of basic old age insurance and basic medical insurance which are owed and shall be credited to the personal accounts of the staff and workers, and the compensations payable to the staff and workers according to laws and administrative regulations;
  1. the social insurance premiums owed and unpaid by the bankrupt other than those specified in the preceding paragraph and the taxes owed by the bankrupt; and
  1. the ordinary bankruptcy claims.

If the bankruptcy property is not sufficient to pay off the payment demands on the same level in the order of priority, it shall be distributed on a pro-rata basis.

The salaries of the directors, supervisors and senior management personnel of the bankrupt enterprise shall be calculated on the basis of the average wages of the staff and workers of the enterprise.

Article 114: The distribution of the bankruptcy property shall be made in the form of monetary distribution, unless otherwise resolved by the creditors' meeting.

Article 115: The administrator shall prepare in a timely manner a bankruptcy property distribution plan and submit it to the creditors' meeting for discussion.

The bankruptcy property distribution plan shall set out the following particulars:

  1. the names and places of domicile of the creditors who participate in the distribution of the bankruptcy property;
  1. the amount of claims that participates in the distribution of the bankruptcy property;
  1. the amount of the bankruptcy property available for distribution;
  1. the order of priority, percentages and amounts in the distribution of the bankruptcy property; and
  1. the method for carrying out the distribution of the bankruptcy property.

After the creditors' meeting has adopted the bankruptcy property distribution plan, the plan shall be submitted by the administrator to the people's court for confirmation ruling.

Article 116: The bankruptcy property distribution plan shall be executed by the administrator after the people's court has ruled the confirmation thereof.

If the administrator carries out multiple distributions pursuant to the bankruptcy property distribution plan, it shall announce the amount of property and the amount of claims to be distributed in the current distribution. If the administrator carries out the final distribution, it shall state it in the announcement and shall set out therein the matter provided in Paragraph Two of Article 117 hereof.

Article 117: Where a claim is attached with conditions of effectiveness or conditions of discharge, the administrator shall withdraw its distribution amount.

The distribution amount withdrawn by the administrator pursuant to the provision of the preceding paragraph shall be distributed to the other creditors if the conditions of effectiveness are not met or the conditions of discharge are met on the date of the announcement of final distribution; such amount shall be paid to the creditor if the conditions of effectiveness are met or the conditions of discharge are not met on the date of the announcement of final distribution.

Article 118: Any distribution amount of the bankruptcy property not collected by a creditor shall be withdrawn by the administrator. If the creditor does not collect it within two months after the date of the announcement of final distribution, the creditor shall be deemed to have waived the right to collect the distribution and the administrator or the people's court shall distribute the distribution withdrawn to other creditors.

Article 119: When distributing the bankruptcy property, the administrator shall withdraw the distribution amount of any claim which is subject to outstanding litigation or arbitration. If the distribution amount withdrawn is not collected within two years after the termination of the bankruptcy proceedings, the people's court shall distribute it to the other creditors.

Section Three: Termination of Bankruptcy Proceedings

Article 120: If the bankrupt has no property for distribution, the administrator shall request the people's court to rule the termination of the bankruptcy proceedings.

Upon completion of the final distribution, the administrator shall promptly submit a bankruptcy property distribution report to the people's court and request the people's court to rule the termination of the bankruptcy proceedings.

The people's court shall make a ruling as to whether to terminate the bankruptcy proceedings within 15 days of receipt of the request of the administrator to terminate the bankruptcy proceedings. If it rules the termination of the proceedings, it shall make an announcement thereof.

Article 121: Within 10 days of the termination of the bankruptcy proceedings, the administrator shall, on the strength of the people's court's ruling of termination of bankruptcy proceedings, complete the cancellation registration with the original registration authority of the bankrupt.

Article 122: The administrator shall cease to perform its duties on the date following the completion of the cancellation registration, unless there is any outstanding litigation or arbitration.

Article 123: Within two years of the date on which the bankruptcy proceedings are terminated pursuant to the provisions of Paragraph Four of Article 43 hereof or of Article 120, a creditor may request the people's court to make an additional distribution in accordance with the bankruptcy property distribution plan in any of the following circumstances:

  1. it is found that there is property which shall be recovered pursuant to the provisions of Article 31, Article 32, Article 33 and Article 36 hereof; or
  1. it is found that the bankrupt has other property which shall be made available for distribution.

Notwithstanding any circumstance prescribed in the preceding paragraph, if the amount of the property is not sufficient to pay off the expenses of distribution, no additional distribution will be made and the people's court shall turn over such property to the State treasury.

Article 124: After the termination of the bankruptcy proceedings, the guarantors and other joint debtors of the bankrupt shall continue to be liable in accordance with the law to discharge the claims of the creditors which remain unpaid pursuant to the bankruptcy liquidation proceedings.

PART ELEVEN: LEGAL LIABILITY

Article 125: If any director, supervisor or senior management personnel of an enterprise violates his obligation of loyalty and due diligence and causes the enterprise to bankrupt, he shall bear civil liability in accordance with the law.

For the purposes of the preceding paragraph, a personnel may not serve as director, supervisor or senior management personnel of any enterprise within three years of the termination of the bankruptcy proceedings.

Article 126: If the relevant personnel of the debtor who have the obligation to attend at the creditors' meeting refuse without proper reasons to attend at the creditors' meeting as summoned by the people's court, the people's court may summon them by force and impose a fine in accordance with the law. If the relevant personnel of the debtor violate the provisions hereof and refuse to make statements or answer questions or make false statements or answers, the people's court may impose fines in accordance with the law.

Article 127: If, in violation of the provisions hereof, the debtor refuses to submit to the people's court a statement of property status, the list of debts, the list of claims and the details of payment of wages of staff and workers and social insurance premiums, or if it makes false submissions, the people's court may impose fines against the directly responsible persons in accordance with the law.

If, in violation of the provisions hereof, the debtor refuses to hand over the property, seals and information such as accounting books and documents to the administrator, or if the debtor falsifies or destroys the evidencing documents of the relevant property thereby making the status of such property unclear, the people's court may impose fines against the directly responsible persons in accordance with the law.

Article 128: If the debtor commits acts prescribed in Article 31, Article 32 and Article 33 hereof to the prejudice of the interests of the creditors, the legal representative and other directly responsible persons shall be liable for compensation in accordance with the law.

Article 129: If the relevant personnel of the debtor leave their places of domicile without permission in violation of the provisions hereof, the people's court may reprimand and detain them and may also impose fines in accordance with the law.

Article 130: If the administrator fails to perform its duties with due diligence and loyalty in accordance with the provisions hereof, the people's court may impose a fine in accordance with the law; if the administrator causes losses to the creditors, debtor or third parties, it shall be liable for compensation in accordance with the law.

Article 131: If a violation of the provisions hereof constitutes a crime, criminal liability shall be pursued in accordance with the law.

PART TWELVE: SUPPLEMENTARY PROVISIONS

Article 132: After this Law is implemented, with respect to the wages, medical allowance, disability assistance and compassionate payment owed by the bankrupt to the staff and workers before the date of promulgation of this Law, the premiums of basic old age insurance and basic medical insurance which are owed and shall be credited to the personal accounts of the staff and workers, and the compensations payable to the staff and workers according to laws and administrative regulations, if the payment pursuant to the provisions of Article 113 hereof is not sufficient to pay any part of such amounts, it shall be paid with the specific property specified in Article 109 in priority to the holder of security rights over such specific property.

Article 133: Special matters relating to the bankruptcy of State-owned enterprises within the time limit and scope provided by the State Council before the implementation of this Law shall be handled in accordance with the relevant provisions of the State Council.

Article 134: If a financial institution such as commercial bank, securities company and insurance company is in the circumstances prescribed in Article 2 hereof, the financial regulatory authority of the State Council may apply to the people's court for the reorganization or bankruptcy liquidation of such financial institution. If, in respect of a financial institution having material business risks, the financial regulatory authority of the State Council takes action such as taking possession of it or placing it in trust in accordance with the law, the authority may request the people's court to suspend the civil litigation proceedings or execution procedures in which the financial institution is the defendant or the party subject to execution.

If a financial institution implements bankruptcy, the State Council may formulate the implementing procedures in accordance with the provisions of this Law and other relevant laws.

Article 135: If the liquidation of an organization other than an enterprise legal person pursuant to other laws is bankruptcy liquidation, reference shall be made to the procedures provided herein.

Article 136: This Law shall be implemented as of 1 June 2007, and the PRC, Enterprise Bankruptcy Law (Trial Implementation) shall be repealed simultaneously.
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