A local court in Hangzhou has released the personal information
of 20 debtors who consistently refuse to respond to court orders
relating to debt repayment, according to a China Youth
Daily report on Tuesday.
Detailed information about the debtors included their names,
ages, addresses, Identity Card numbers, amount owed and pictures.
This move came after the People's Court of Jianggan District in
Hangzhou, capital of east China's Zhejiang Province, found it difficult to
enforce rulings requiring debtors to repay debts.
It is not the first time defaulters have been given this kind of
publicity as some southern cities have already experimented with
the practice. But the data disclosed by the Hangzhou court is the
most complete to date. The director of the court's executive
tribunal said the move will impose moral pressure by disgracing
them, and the record will have a good chance of deterring potential
future violators.
While revealing private information in this manner will
certainly raise many eyebrows over possible infringement of
privacy, the practice is in line with current laws, which stipulate
that courts have the mandate to disclose such information if they
deem it necessary.
Courts in China are always plagued by the process of enforcing
such rulings and the Hangzhou court is no exception. According to
the report, about 800 cases require immediate attention and
resolution, but only 10 percent of the judgments are being
responded to. Well-known enterprises like the Zhejiang Kingsea
Group and some lawyers are also among the 20 defaulters publicized
by the court. The total amount of arrears owed stands at about 2
million yuan (US$250,991). Kingsea Group is the biggest debtor with
three debts of 677,600 yuan total (US$85,017). The longest period
of arrears came from a company in Shaoxing, another city in
Zhejiang, where five years have past since the court ruling came
into effect. The smallest amount of arrears is 950 yuan (US$119),
payment having not been received for three years.
Many defaulters were reported to have made payments to creditors
soon after their misdeeds were made known to the general public.
One of the 20 defaulters, only giving his surname as Wei, paid back
14,000 yuan (US$1,756.6) the day after his information appeared in
the local paper. Meantime, the court received 30 calls on the
second day, providing clues on defaulters' whereabouts and their
financial situation.
Kingsea Group Board Chairman Chen Jinyi immediately went to the
court as he got the news. He promised to fulfill the obligation set
by the court rulings and agreed to use the company's vehicles as a
mortgage.
For those defaulters who continue to delay after their
information has been disclosed, the Hangzhou court is considering
stronger moves to enforce the judgments.
(China.org.cn by Zhang Yunxing, August 24, 2006)