Any companies or individuals that seriously violate laws and
regulations of audio-video business are now to be denied future
access to China's audio-video market for ten years.
In
this new move, exclusion from the market will be for 10 years from
the date of conviction. In addition, China will establish a
national audio-video database -- a "blacklist" of the organizations
and individuals involved. This blacklist will be in the public
domain.
The blacklist will include those who incur a criminal conviction
for illegal activities related to audio-video products together
with those who set up wholesale, retail, chain store or rental
outlets or trade with related e-business without the proper
authorization. Also included will be individuals holding positions
of responsibility in the offending organizations and their legal
representatives together with any other individuals involved in
contravening the relevant laws and regulations.
The Ministry of Culture will establish the national audio-video
database listing the proscribed units and individuals at China
Audio-Visual and Film Network website (http://av.ccnt.com.cn).
Cultural departments within provinces, autonomous regions and
municipalities will provide lists of disqualified companies and
individuals for the database, which will be published online after
scrutiny by the Market Department of the Ministry of Culture.
The new system is based on the Regulations for the Management of
Audio-Video Products. These measures require cultural
administrative departments at all levels to search the database
when processing applications for approval to engage in audio-video
product business. Applicants on the blacklist will not be
approved.
Insiders have hailed this system as a good use of technology to
impose order on the market and crack down on audio-video product
piracy and smuggling.
Much of China's audio-video product market has been downgraded to
distribution outlets for pirated discs. This has seriously damaged
the market and infringed the rights of both the consumer and the
intellectual property holder.
Statistics published by the State Administration for Press and
Publishing show that China has 294 audio-video publishers and 9,526
categories of audio-video products. Total turnover in 2001 was some
800 million yuan (US$96.6 million).
(china.org.cn by Guo Xiaohong July 31, 2002)