Provisions concerning Prohibiting the Acceptance of “Kickbacks” in the Supply Work of Imported Books, Newspapers and Periodicals
23 May 1990, Central Propaganda Department, Administration of Press and Publications, Ministry of Finance, State Administration of Taxation
Since some time, the method of receiving kickbacks for the supply work of imported books, newspapers and periodicals has emerged. Some importing work units have paid a part of the business volume of imported books, newspapers and periodicals as “labour fees”, “consulting fees” or under other names to ordering work units or individuals as “remuneration”; some have adopted “red envelopes”, material and other methods to secretly give cash or goods to relevant work units and individuals, up to the point where some purchasing work units have developed into openly demanding “kickbacks: from supply work units of imported books, newspapers and periodicals, whoever gives the highest kickback, is the person whose goods are ordered. Under that sort of harmful influence, some work units who persist in regular business have also been forced to give their customers “kickbacks”, resulting in chaos having emerged to some extent in book, newspaper and periodical supply work.
Giving and receiving “kickbacks” in supply work of imported books, newspapers and periodicals is a grave unhealthy tendency in the sector, it not only corrupts cadres and staff teams, damages the atmosphere in the book sector, and hampers the healthy development of book, newspaper and periodical import supply work, but it also violates financial law and discipline, and must be firmly prevented. To this end, the following provisions are hereby made:
I, In the supply work of imported books, newspapers and periodicals, no importing work unit or individual may under any name or method give “kickbacks” to any book purchasing work unit or individuals (including cash or goods); no work unit or individual may demand or receive “kickbacks” under any name or method, otherwise, it will be strictly punished as offering and accepting bribes. All purchasing work units that reward relevant professional personnel, shall handle this according to presently-provided State rules on rewards.
II, In the supply work of imported books, newspapers and periodicals, if preferential treatment given to purchasing work units, only the method of adjusting a discount on books, newspapers and periodicals can be adopted (being sale at reduced profit), both sides must truthfully enter this into books and may not pay in cash or material methods, otherwise, it shall be punished as a grave violation of financial discipline.
III, All book, newspaper and periodical importing work units must strengthen financial management, strictly implement relevant State laws and regulations, financial discipline and financial affairs matters. They may not conceal or withhold profits, or evade taxes; they may not impinge on or messily account for costs, write matters inside the budget outside of the budget; they may not indiscriminately issue bonuses, goods or subsidies, broaden the payment scope without authorization, raise payment standards, etc., in case of violations, matters will be handled according to the relevant provisions of the State Council “Provisional Regulations concerning Punishing Violations of Financial Laws and Regulations” and the Ministry of Finance and Accounting Administration “Implementation Rules of the Provisional Regulations concerning Punishing Violations of Financial Laws and Regulations”.
IV, Finance, press and publications, accounting, taxation and other departments conduct supervision and inspection over book, newspaper and periodical import work units on the basis of their scope of power.
V, After these Provisions are transmitted, all book, newspaper and periodical import work units’ controlling departments must conduct a one-time clean-up and examination of their subordinate book, newspaper and periodical import work unit, if the above problems exist, they shall be strictly dealt with according to the above provisions. The result of clean-up and inspection shall be reported to the Administration of Press and Publications before the end of June 1990.