(Promulgated on December 13, 2004 by Decree No. 39 of the Shanghai Municipal People’s Government)

Article 1 (Purpose and Basis)

With a view to normalizing the activity of handling administrative license, protecting the legitimate rights and interests of citizens, legal entities and other organizations, safeguarding and supervising administrative organs in performing their functions and duties in accordance with law, these Provisions are formulated in accordance with the“Law of the People’s Republic of China on Administrative Licenses”(hereinafter referred to as“Administrative Licenses Law”) and the provisions of other relevant laws and regulations, and in the light of this Municipality’s actual circumstances.

Article 2 (Application Scope)

These Provisions apply to activities of citizens, legal entities or other organizations in this Municipality’s administrative area in applying for administrative license and to activities of administrative organs and organizations having the functions of administering public affairs empowered by laws and regulations (hereinafter referred to jointly as the administrative organ) in accepting, handling and examining the application for administrative license, making and serving the decisions on administrative license.

Article 3 (Link to Opening Government Affairs to the Public)

The opening of the basis, process and results of the administrative organ’s handling of administrative license shall be combined with the exercise of opening government affairs to the public.

Article 4 (Standard Text of Application Form)

Where administrative license application needs the adoption of a standard text, the administrative organ shall provide applicants with the standard text.

The standard text shall cover the following main contents:

(1) The name or appellation of the applicant;

(2) The name of the administrative license item the application is made for ;

(3) Conditions the applicant must meet and the promise made by the applicant;

(4) A catalogue of materials furnished by the applicant and the guarantee for the truth of materials furnished by the applicant;

(5) The contact mode of the applicant; and

(6) The signature and seal of the applicant and the application date.

The administrative organ shall publish the standard text of application form at its office place and on its website on Internet to render convenience to citizens, legal entities or other organization for them to get access to or download the text.

Article 5 (Application Agent)

An applicant who entrusts an agent to make an administrative license application shall issue to the agent a power of attorney with clear limits of authority. The agent shall submit the power of attorney to the administrative organ that processes the application.

Article 6 (Registering Application)

Where an applicant goes to the office place of an administrative organ to lodge an application for administrative license, the administrative organ shall appoint its functionary to accept and register the application on the spot.

Where an applicant lodges an application for administrative license by letter, telegram, fax, electronic data exchange or e-mail, the administrative organ shall register the application within one workday after receiving it.

Article 7 (One Institution Making Uniform Acceptance, Handling and Service)

Where the administrative organ determines one institution to uniformly accept, handle and serve the applications for administrative license under the provision of Article 26, Clause 1 of the“Administrative Licenses Law”, the administrative organ shall establish the internal circulating procedure and work norm for accepting and examining the administrative license application and for making and serving the decision thereon, and make publication thereof at its office place as well as on its Internet website.

Article 8 (Examining and Verifying, and Processing Application)

With respect to the administrative license application lodged by the applicant, the administrative organ shall examine and verify the following contents:

(1) Whether the application item falls into the administrative license items;

(2) Whether it falls into the limits of its functions and powers; and

(3) Whether the application material is complete and in compliance with the prescribed form.

The administrative organ shall, depending on the examination and verification results, deal with the applications separately in accordance with Article 32 of the“Administrative Licenses Law”.

Article 9 (Making a Decision on the Spot)

Where, upon examination, the application material submitted by the applicant is complete and in compliance with the statutory form, it can be judged by the written material whether the conditions for administrative license are met or not, and the decision and certificate of administrative license may be made immediately, the administrative organ shall make a decision on administrative license on the spot. In respect of compliance with conditions, the administrative organ shall make a written decision of granting administrative license and issue the certificate of administrative license to the applicant; in respect of failure to comply with conditions, it shall make a written decision of denying the administrative license and give explanations.

Article 10 (On-the-spot Check)

Under Article 34 Clause 3 of the“Administrative Licenses Law”, the administrative organ in need of conducting on-the-spot check on the contents of the application material shall notify in advance the applicant of the content, time and mode of the check.

When conducting on-the-spot check, more than two functionaries appointed by the administrative organ shall produce to the applicant the certificate showing their identification and advise the applicant of his or her rights and duties. They shall put down check notes or on-the-spot survey records for check results, and make a check conclusion.

Article 11 (Soliciting Opinions from Interested Persons)

Where an administrative license planned to be decided on has something to do directly with the major interests of other persons, the administrative organ shall notify in writing the interested persons of the content of the administrative license planned to be decided on and of the right, mode and time limit to make a statement and defense.

Where a interested person puts forward opinions, the administrative organ shall put down notes of the statement signed and confirmed by the person who makes the statement.

Where the administrative organ decides to turn down the opinions of the interested person, the administrative organ shall give written explanations to the interested person at the same time when serving the examination decision on the administrative license on the applicant.

Article 12 (Processing Time Limit)

Apart from the administrative license decision that may be made on the spot, the administrative organ shall make a decision on whether to grant the administrative license within the time limit prescribed by the“Administrative Licenses Law”and other laws and regulations.

Where processing is done in a uniform way as provided in Article 26 Clause 2 of the“Administrative Licenses Law”, the administrative organ taking charge of processing and serving in a uniform way shall, within five days from the date of accepting the administrative license application, refer the application form and relevant material to the relevant administrative organ that will process the application in a uniform way. The relevant administrative organ shall, within 20 days from the day on which the organ receives the administrative license application and relevant material, put forward an examination and verification comments and send them to the accepting and handling administrative organ.

Where the processing time limit promised in writing by the administrative organ is shorter than the prescribed time limit, the decision shall be made within the processing time limit promised.

Article 13 (Issuing Certificate)

The administrative organ, when making the decision on granting administrative license, shall issue a certificate of administrative license to the applicant in accordance with Article 39 of the“Administrative Licenses Law”. The certificate of administrative license shall state the following main items:

(1) The name and serial number of the certificate;

(2) The name of the issuing organ;

(3) The name or appellation of the holder of the certificate;

(4) The name and application scope of the administrative license item;

(5) The certificate’s term of validity;

(6) The issuing date;

(7) The seal of issuing organ; and

(8) Other contents provided by laws, rules and regulations.

Article 14 (Service)

Apart from making the administrative license decision on the spot, the administrative organ, when making a decision on whether to grant the administrative license, shall, within 10 days after the date of decision, serve the administration license decision on the applicant in the prescribed mode. In case of decision on granting administrative license, the decision and certificate of administrative license shall be served on the applicant. In case of a denial of administrative license, a written decision of a denial of administrative license together with statement of reasons shall be served on the applicant.

Where the serving mode and time limit are otherwise agreed on by the applicant and the administrative organ, or where the administrative organ has made a promise, the administrative organ shall have the service done in the mode and time limit as agreed on or promised.

Article 15 (Altering Application and Decision)

The licensee who requests the alteration of an administrative license item shall apply to the administrative organ that has made the administrative license. The alteration application may be lodged in reference to the mode of administrative license application. The application content shall cover the alteration item asked for, the reason for alteration, and the material related to the alteration item applied for shall be furnished.

The administrative organ shall, in accordance with relevant provisions in the“Administrative Licenses Law”and these Provisions respecting the examination of administrative license application, examine the alteration application lodged by the licensee. With regard to compliance with statutory conditions and standards, the administrative organ shall process the alteration formalities in accordance with law; with regard to failure to comply with statutory conditions and standards, it shall make a written decision on denying the alteration and give reasons.

Article 16 (Renewing Application and Decision)

The licensee who needs to extend the term of validity of the administrative license obtained in accordance with law shall lodge an application in accordance with the procedure provided by the“Administrative Licenses Law”and other laws, rules and regulations.

The administrative organ shall, in accordance with relevant provisions in the“Administrative Licenses Law”and these Provisions respecting the examination of administrative license application, examine the renewal application lodged by the licensee, and make a decision on whether to grant a renewal. With regard to compliance with prescribed conditions and standards, the administrative organ shall process the formalities for granting a renewal in accordance with law; the administrative organ, in case of making a decision on denying a renewal, shall notify in writing the applicant and give reasons.

Where the administrative organ does not make a decision before the deadline, and a renewal is construed as granted in accordance with law, and the administrative organ shall, after the event, make timely retroactive formalities for granting a renewal.

Article 17 (Re-application)

Where the licensee does not lodge a renewal application before the expiry date of the administrative license, the administrative license shall be invalid naturally after the expiry date. The licensee, who has need of going on with the activity of the administrative license item, shall make a fresh application for the administrative license.

Article 18 (Alteration and Withdrawal by Administrative Organ)

The administrative organ, when, for the need of public interests, intending in accordance with law to alter or withdraw the administrative license already effective, shall notify in writing the licensee in advance and give reasons, informing the licensee of the rights he or she legally enjoys to make a statement and argument. Where the licensee requests to make a statement and argument, the administrative organ shall hear conscientiously and put down the notes of statement; if necessary, the administrative organ may hold a hearing.

Where the alteration or withdrawal of the already effective administrative license made by the administrative organ in accordance with law causes losses of property to the licensee, the administrative organ shall, in accordance with law, make compensation in the principle of fairness and rationality.

Article 19 (Notification of Remedy Rights)

The administrative organ, when making a decision on a denial of administrative license, or on a refusal of alteration or a renewal of administration license, or when altering or withdrawing on its own initiative an administrative license, shall notify in writing the applicant of the rights he or she enjoys to apply for administrative reconsideration or bring an administrative lawsuit in accordance with law.

Article 20 (Electronic Government)

The administrative organ shall, through its Internet website, publish administrative license items, establish and perfect the on-line internal circulating procedure; where conditions permit, it shall carry out on-line accepting of administrative license application, on-line inquiry of handling process and on-line release of handling results.

The administrative organ, which exercises the uniform handling of administrative license, shall create conditions, share information on administrative license through Internet and carry out the uniform handling on line.

Article 21 (Sending Copies)

Where copies of administrative license decision shall be sent to relevant administrative organs as provided by laws, rules and regulations, the administrative organ which has responsibility for sending copies shall, upon making a decision on granting, altering or renewing administrative license, send copies thereof to relevant administrative organs.

Article 22 (Files of Bad Records)

The applicant for administrative license who conceals relevant matters or furnishes false material to apply for administrative license shall not apply again for that administrative license within a year; the administrative organ shall, upon finding out the fact, place the applicant’s bad records on file, carry out information sharing through Internet for future reference by relevant administrative organs.

Article 23 (Detailed Rules for Implementation)

This Municipality’s administrative organs shall, based on the“Administrative Licenses Law”and relevant laws, rules and regulations respecting the processing of administrative license, draw up operational rules for processing administrative license, and publish the rules to the general public.

Article 24 (Effective Date)

These Provisions shall become effective on February 1, 2005.