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Private schools must set aside funds in case they close

LOCAL private schools and training centers will have to set aside special funds starting tomorrow to ensure students get refunds in case they suddenly shut down, the city government said today.

All local private training centers have to set up a special bank account to deposit the students' tuition before carrying out any training courses, said Yuan Wen, deputy director of the Shanghai Municipal Education Commission. Yuan spoke at a news conference as the city government issued a new regulation effective tomorrow on the management of private training centers.

The city has over 1,600 private training centers registered under either the city's educational commission or the administration of industry and commerce, but also has some 3,000 unregistered training institutes, said an official surnamed Yu with the commission.


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