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the law was intended to encourage competition by allowing enterprises to succeed or to be eliminated, and was a further step in smashing the 'iron rice bowl' which had protected inefficient enterprises. Many had suffered losses for many years causing problems "inappropriate for the present economic reforms". The amendments to the Security Administration Punishment Regulations were introduced by Shen Hong a Vice Chairman of the NPC Legislative Commission. These regulations cover the punishment of petty crime (in a way comparable to misdemeanour) which do not fall under the scope of the criminal law. The maximum fines levyable under the regulations was increased from 30 Yuan to 200 Yuan. Proposals to increase the maximum fine to Yuan 3,000 and the maximum imprisonment (remaining at 15 days) to 30 days were rejected on the grounds that offences that serious should be dealt with by the Criminal Law. It was proposed to add an article dealing with mistakes by the Public Security authorities. They should make restitution of any fine or confiscated goods and should provide compensation for violations of someone's legal rights.
6.
The regulations on privileges and immunities were introduced by Vice Foreign Minister Qian Qichen. He said that they would be based on the Vienna Convention to which China had acceded in 1975. But some 15 countries with which China had diplomatic relations were not parties to the Convention so their diplomatic privileges and immunities
needed to be modified. The regulations would also supplement those areas where the Convention was not speficic enough to suit China's special circumstances. The regulations would
cover:
(a) treatment of Embassies and of diplomatic affairs representatives;
(b) treatment of the families of diplomatic representatives and of technical and service (administrative) personnel and their families;
(c) treatment of temporary visitors to China;
(d) the responsibilities of those enjoying diplomatic privileges and immunities;
(e) an explanation of mutual reciprocity in the light of international practice. Vice-Minister Qian was also reported to have spoken on privileges and immunities for consulates.
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