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China to publish blacklist for defaults on judgments
China's Supreme People's Court (SPC) will compile and publish the first "blacklist" of those who default on court-ordered payments starting on Tuesday, according to the SPC.
The regulation, which allows courts to publicize names of defaulters, came into effect on Tuesday.
The SPC, in cooperation with state-owned banks, will punish parties in lawsuits who fail to pay damages through measures such as investigating, freezing and transferring bank account funds, according to a memorandum of understanding previously signed between the SPC and state-owned banks.
These state-owned banks include the Industrial and Commercial Bank of China, Agricultural Bank of China, the Bank of China, China Construction Bank, and Bank of Communications.
According to the memorandum of understanding, courts and commercial banks will establish an exclusive channel to share lists of the names of defaulters.
Liu Guixiang, an SPC official, said courts that have already established such channels with commercial banks may directly investigate and freeze defaulters' accounts, simplifying procedures and boosting efficiency.
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