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¡¡Transfer
of Management Right
For overseas investors
who set up overseas-funded enterprises by purchasing
as sets or ownership of shares from Chinese enterprises
, entire payment should be made within 3 months from
the date when license is issued to the overseas funded
enterprises. Those who need to delay for special reasons,
with endorsement from the approval authorities, should
pay a minimum of 60% of the total payment within 6 months
from the date when license is issued, and should complete
the payment within 1 year, and to share the profit in
accordance with the ratio of investment each party actually
made. The shareholding investor has no right in decision-making
until full payment is made.
Investors in the Sino-overseas joint venture should
make simultaneous payment of the subscription quota
according to the proportion and the time limit as per
agreement. The party unable to make simultaneous payment
for special reasons should obtain endorsement from the
approval authorities of the project and profit will
be distributed according to the ratio of actual investment
of each party. The controlling party of the joint venture
(including relative controlling party) shall not have
the right in decision-making of the enterprise until
its subscribed capital is fully contributed.
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