汇发[1999]380号
颁布日期：19991213 推行日期：19991213 颁布单位：国家外汇管理局
To each branch of the State Administration of Foreign Exchange, the Beijing and Chongqing foreign exchange administration offices of the State Administration of Foreign Exchange and the Dalian, Qingdao, Ningbo, Xiamen and Shenzhen branches of the State Administration of Foreign Exchange:
In order to improve the control of foreign exchange relating to B-share offerings inside China and share offerings outside China and to simplify the relevant examination and approval procedures, the State Administration of Foreign Exchange has decided1 to adjust the limits of authority to examine and approve the opening of dedicated2 foreign exchange accounts and the settlement of foreign exchange revenue from share offerings by enterprises that issue B-shares inside China or issue shares outside China, and hereby issues the following Circular:
1. When an enterprise that issues B-shares inside China wishes to open a dedicated account in respect of B-shares, it shall apply to the foreign exchange administration of the place where it is located on the strength of the prescribed materials. The application shall be examined and approved by the SAFE branch to which the foreign exchange administration belongs.
2. When an enterprise that issues shares outside China wishes to open a foreign exchange account outside China, it shall apply to the foreign exchange administration of the place where it is located on the strength of the prescribed materials. After the SAFE branch to which the foreign exchange administration belongs has made a preliminary examination, the application shall be examined and approved by SAFE.
3. When an enterprise that issues shares outside China wishes to open inside China a dedicated account for foreign exchange in respect of shares, it shall apply to the foreign exchange administration of the place where it is located on the strength of the prescribed materials. The application shall be examined and approved by the SAFE branch to which the foreign exchange administration belongs.
4. If an enterprise that issues B-shares inside China or issues shares outside China wishes to settle the foreign exchange proceeds of the share offering, it shall apply to the foreign exchange administration of the place where it is located on the strength of the prescribed materials. The application shall be examined and approved by the SAFE branch to which the foreign exchange administration belongs.
5. Article 4 of the Issues Relating to the Opening and Use of Foreign Exchange Accounts of Enterprises Listed Outside China Circular, document Hui Zi Han Zi No. 139, issued by the State Administration of Foreign Exchange on, and effective as of, 8 May 1997 shall be amended3 to read as follows:
If, when an enterprise repatriates4 the proceeds of a share offering, it is necessary to open a foreign exchange account inside China, the enterprise must apply to the foreign exchange administration of the place where it is located. only after the application has been approved by the State Administration of Foreign Exchange branch to which the foreign exchange administration belongs may a dedicated foreign exchange account be opened and deposits made. When applying, the enterprise shall furnish a written application to open the account signed by the enterprise's legal representative or a person authorized5 by the board of directors and impressed with the official seal, together with the document in which the foreign exchange administration mentioned in Article 1 hereof approved the opening of the account outside China. The application shall include the relevant contents such as the reason for opening the account, the currency, amount, scope of receipts and payments and period of use of the account, and the bank with which the account is to be opened.
6. Item of the third paragraph of Article 3 of the Several Questions on Strengthening the Administration of Foreign Exchange for Capital Account Items Circular, document Hui Fa No.21, issued by the State Administration of Foreign Exchange on, and effective as of, 15 September 1998 shall be amended to read as follows:
The settlement of foreign exchange funds raised from share offerings outside China and B-share offerings inside China shall be subject to examination and approval by the branches of the State Administration of Foreign Exchange.
7. Each SAFE branch shall handle the relevant business strictly6 in accordance with the Opening of Dedicated Foreign Exchange Accounts by Enterprises That Issue B-shares Inside China or Issue Shares Outside China Operating Rules and the Administrating the Settlement of Foreign Exchange Funds Raised by Enterprises That Issue B-shares Inside China or Issue Shares Outside China Operating Rules .
8. Within the first eight days of each month, each SAFE branch shall report to SAFE for the record the details of the accounts opened and foreign exchange settled during the preceding month for enterprises that issue B-shares inside China and enterprises that issue shares outside China.
9. This Circular shall be implemented8 as of the date on which it is issued.
Upon receipt of this Circular, each branch is requested to forward it to its subordinate sub-branches as soon as possible. Any problems encountered during the implementation9 hereof should be reported to the Capital Account Administration Department of the State Administration of Foreign Exchange in a timely manner.
