The Chinese government on Sunday promulgated a revised decree to
strike at any activities that drive up prices through hoarding or
cheating.
The revision was made on the basis of regulations passed in 1999
and amended in February 2006 by the State Council.
The new decree, effective as of Sunday, raises the maximum fine
to one million yuan (US$137,000), almost triple the sum in the old
regulations, for those who manipulate market prices and ignore the
prices advised by the government under emergencies.
Commercial associations, which deliberately spread rumors
regarding price information, can be fined?a maximum of 500,000
yuan. Those who severely violate the decree may have their legal
certificates revoked.
The State Council and local governments can set profit ratios or
price ceilings for key goods and services when prices rise too
sharply, according to the decree.
(Xinhua News Agency January 14, 2008)