NFRA Seeks Comments on Interim Provisions on the Management of the Serious Defaulter List

The National Financial Regulatory Administration (NFRA) has recently drafted the Interim Provisions on the Management of the Serious Defaulter List (Draft for Comment) (the "Draft"), which is now open for public consultation until July 5, 2025.

The Draft consists of 31 articles and covers the following key points: (1) prudently defining the scope of entities for inclusion in the list; (2) clarifying the management measures imposed on serious defaulters; (3) standardizing the procedures for managing the list; and (4) establishing a credit repair mechanism. The Draft sets out specific procedures for the inclusion in and removal of entities from the list. Entities will be removed from the list and management measures lifted after three years. The Draft also specifies procedures for prior notification and objection handling, to fully safeguard the rights of the affected parties to be informed and to defend themselves. Additionally, the Draft encourages entities on the serious defaulter list to correct their defaults and eliminate adverse impacts. Entities that have remained on the list for at least one year may apply for early removal under specified conditions. The Draft clearly outlines the eligibility requirements and review timelines for such applications.



(Source: https://www.nfra.gov.cn/cn/view/pages/ItemDetail.html?docId=1212652&itemId=951&generaltype=2)

Note: The link to the Chinese official website of the document is for your reference.