
The higher people's court of south China's Guangdong Province on Monday established a bankruptcy division to deal with "zombie companies".
"Zombie companies" are economically inviable businesses, usually in industries with severe overcapacity, kept alive only with support from the government and banks.
The division will focus on bankruptcy and compulsory liquidation cases, offering guidance to other courts in the province and exploring ways to regroup or close down "zombie companies".
At the end of 2015, China's Central Economic Work Conference emphasized the importance of supply-side reform and the clearance of "zombie companies" as a way to cut overcapacity.
Tan Ling, deputy head of the court, said the new division enables better implementation of the Bankruptcy Law and appropriate treatment of different cases.
Guangdong has set a target of closing or regrouping of all its zombie companies within three years.
Li Cheng, director of Guangdong state-owned assets supervision and administration commission, said a total of 3,385 companies in the province were identified as "zombies", 2,333 of which are marked for closure.
Source : XINHUA
GMT 12:28 2018 Friday ,31 August
Algeria, reaffirm support to Sahrawi and Palestinian peoplesGMT 11:54 2018 Friday ,31 August
Second mine explodes in Mghilla 'Four soldiers wounded'GMT 11:30 2018 Friday ,31 August
UNSMIL condemns escalation of Violence in Great Tripoli areaGMT 11:15 2018 Friday ,31 August
Morocco, U.S Committed to Fighting Terrorism 'US Official'GMT 16:27 2018 Thursday ,30 August
PPS Considers Withdrawing from Ruling Coalition amid Tension with PJDGMT 15:34 2018 Thursday ,30 August
3 Bunkers, 4 homemade bombs discovered, destroyed in SkikdaGMT 15:10 2018 Thursday ,30 August
AU's Decision to Support UN-led Process, 'Big Win" for MoroccoGMT 12:47 2018 Thursday ,30 August
Cuba backed Polisario by providing military aid to Algeria
Maintained and developed by Arabs Today Group SAL.
All rights reserved to Arab Today Media Group 2025 ©
Maintained and developed by Arabs Today Group SAL.
All rights reserved to Arab Today Media Group 2025 ©
Send your comments
Your comment as a visitor