Ministry of Land and Resources

July 12, 2007

I. Special Investigation on Violation of Land Laws and Regulations

Since last year, the Ministry of Supervision and the Ministry of Land and Resources have carried out a special nationwide campaign to investigate violation of land laws and regulations. To date, local authorities have investigated a total of 22,395 cases, involving 32,872.84 hectares of land, and completed 13,059 cases, involving 17,500.70 hectares of land. A total of 927 people received party disciplinary punishment and 561 others got administrative disciplinary penalty. Of those being punished, 2 were at director-general's level position and 105 at division director's level. 879 people were handled under judicial procedures and 168 received criminal penalties.

During the period, an inspection team, jointly dispatched by the Ministry of Supervision and the Ministry of Land and Resources, inspected 15 provinces and municipalities including Beijing for three times, reported and handed in 43 cases to 12 provinces and ordered all suggestions for resolve be consented by both ministries before implementation. A total of 141 people were held responsible for the 30 cases that have been resolved, including 6 director-general-level cadres and 54 division-director-level ones. Typical cases are as follows:

Case 1: Illegal land use by Jiulongshan Resort in Pinghu City of Zhejiang Province

From 2004 to 2006, 1,122.57 mu of collectively owned land were occupied unlawfully by the development leading group of Jiulongshan Holiday Resort in Pinghu city of Zhejiang Province and 1,127.78 mu of land (884.077 mu of which were basic farmland) were occupied illegally by the Jiulongshan Development Company to build a golf court. The Zhejiang Provincial Department of Land and Resources put this on file for investigation and ordered a disciplinary punishment: the illegal and unapproved requisition of 1122.57 mu of collectively owned land by Jiulongshan Resort Development Leading Group was invalid. An administrative degradation was given to Zhao Baoyuan, Director of Jiulongshan Resort Administration Committee and Deputy Leader of Resort Development Group; an administrative demerit recorded was given to Tang Kaijian, Deputy Leader of Land Requisition and Residents Remove for Jiulongshan Resort Development and Team Leader of Resort Land Requisition Policy Group; a disciplinary warning within the Party was given to Sheng Baofa, former director of the Pinghu Municipal Land and Resources Bureau; a grave demerit recorded was given to Pan Chuandi, vice mayor of Pinghu City in charge of Jiulongshan holiday resort administration and executive deputy head and office director of the development leading group of Jiulongshan Industrial City; the Jiulongshan Development Company was ordered to return the illegally-used land, to restore the land to the original state by demolishing new buildings and other facilities and to receive administrative penalty of fines. People held responsible for the case should be given to judicial offices. So far, given the illegal buildings are yet to be removed and the land still needs clearing up, the Ministry of Land and Resources will continue to monitor the implementation of the penalty decisions.

Case 2: Illegal land use for golf court construction by the Huayi Group in Luoyang city of Henan Province

In October 2001, the Huayi Group took a lease on 530 mu collectively owned land at the relic of Sui and Tang Dynasties in Luoyang under the name of building an ecological botanical garden. By the time of investigation, it has finished a 30-mu-plus small golf practicing court and a 405-mu 9-hole golf court. The company carried on its construction despite having been informed to stop illegal actions by Luoyang municipal and Luolong district land and resources departments. So far, the teeing ground of the golf court has been demolished and related constructions have been cleared off. Xu Jinhong, deputy director of the Luolong District was given a disciplinary warning with the Party and Fu Jianxiu, the former director of Luoyang Municipal Construction Bureau, was recorded a grave demerit. Li Changgui, the deputy director of Luoyang Municipal Construction Bureau and Yang Xiaobin, chief of construction material section, were both sacked. The Luoyang Municipal Government has handed in a written self-criticism to the provincial government.

Case 3: Illegal land use by the Shandong Jining Canal Power Generation Co. Ltd.

In December 2003, the Shandong Jining Canal Power Generation Co. Ltd. rented more than 430 mu of collectively owned arable land from four villages in Changgou Town , Rencheng District and illegally built 2×300 MW thermal power generation unit. The company continued unlawful actions regardless of order of ceasing construction by local land and resources authorities. By the time of investigation, the two power generation units have begun testing operation. Departments concerned have imposed administrative penalty in accordance with laws by ordering the company to return the illegally occupied land, confiscating the illegal constructions and ordering the company to pay fines. Li Peiran, ex-general manager of the company was placed on probation with the Party for two years and Meng Li, the company's general manager, was given a grave warning within the Party and dismissed from the position. Besides, related officials who failed to supervise in the Jining government and at the Rencheng District government as well as people concerning illegally leasing out collective land in 4 villages have received proper punishment.

II. Investigation on commercial bribery cases

Since the Central Government planned a crackdown on commercial bribery, the Ministry of Land and Resources has been conducting related inspections within the ministry and inviting public reports, dealing with clues of cases and helping investigations conducted by law-enforcement agencies and judicial offices. By June 30, 2007, the ministry has received altogether 360 public reports relating to commercial bribery, all of which were then sorted out and transferred promptly to related departments. The ministry has also been actively working with related departments for investigation. According to statistics, from August 2005 to May 2007, a total of 98 commercial bribery cases relating to land and resources were investigated and solved, involving 43.3 million yuan and 81 people from 84 companies/organizations. 66 people received criminal penalties, 37 received disciplinary punishments and 17 received administrative punishment. Typical cases are as follows:

Case 1: Li Huiyang, head of property assessment institute under Guangzhou Municipal Land and Resources Bureau, accepting bribes.

From 1996 to 2004, Li Huiyang accepted bribes worth 2.44 million yuan, 10,000 U.S. dollars and 50,000 HK dollars from 13 property developers and agents during his taking charge of reviewing the assessment of the fee for granting the right of using state-owned land by related real estate projects in Guangzhou . On February 24, 2006, the People's Intermediate Court in Guangzhou sentenced Li to life imprisonment in the crime of accepting bribes, deprived him of life-long political rights and confiscated all his personal property.

Case 2: Zhao Caishui, former director of land development center in Maanshan , Anhui Province, accepting bribes.

From 1999 to 2005, the defendant Zhao Caishui, alone or together with other people, accepted bribes worth more than 2.7 million yuan for over 70 times from 25 property developers, owners of private enterprises and his subordinates during his position as director of comprehensive land development department in Maanshan, director of land development center in Maanshan and general manager of Real Estate Development Company in Maanshan. In July 2006, the People's Intermediate Court in Maanshan sentenced Zhao to imprisonment of 13 years.

Case 3: Yu Shui, director of mine resource management office of Land and Resources Bureau in Wulong County in Chongqing , accepting bribes.

From the end of 2001 to the end of 2005, Yu Shui accepted 64,000 yuan from geological exploration team during his contact with local mine enterprises for assessment reports on geological hazards and development plan as well as report on occupation of mineral reserve. From 2003 to March 2006, Yu Shui accepted and demanded 239,600 yuan during his taking charge of managing mining license of mining companies. The combined bribes reached 303,600 yuan. On October 27 of 2006, the People's Court in Wulong County in Chongqing sentenced him to 8 years imprisonment.

III. Special Land Inspection

Since its establishment, the State Land Inspection Institution has carried out 4 special inspections to address the outstanding problems at present. Typical cases are as follows:

1. Special inspection was conducted to tackle the problem of “replacing land requisition with leasing” in the district of Shunyi in Beijing .

In light of a report on Beijing Times in February this year about the local government of Mulin town in Shunyi district leasing thousands of mu of land for hippodrome, the State Land Inspection Beijing Bureau sent a rectification opinion letter to Beijing municipal government to investigate this matter, while conducting an overall examination and rectification program throughout Beijing on problem of “replacing land requisition with leasing”. The Beijing municipal government attaches great importance to the special inspection. So far, the case has been investigated, the project suspended, the walls and wires removed, and the land use approval document revoked. The rectification throughout the city has been completed, finding out 442 cases of “replacing land requisition with leasing”, involving 15801 mu of land, including 7995 mu of arable land. So far, 273 of the cases have been registered, involving 9959 mu of land; 26 have been dealt with through clearing up, removal or rectification, involving 252 mu of land; and suggestions have been proposed to each of the rest 143 cases which are being dealt with in the abovementioned manner. Beijing Municipal government has ordered related districts and counties to deal with the problems seriously. The government of Fangshan District investigated and dealt with the case of illegal villa construction in Qinglongtou Village of Qinglonghu Town. The case also features “replacing land requisition with leasing”, involving 318 mu of land. 85 villas were removed, and 59 villas confiscated.

2. The special inspection was conducted to tackle the problem of Henan Provincial government's arbitrary changing of basic farmland location in Jiaozuo city by adjusting the land use masterplan.

Earlier this year, a reporting letter exposed that the Henan Provincial Government arbitrarily permitted the adjustment of basic farmland location to introduce non-agricultural construction project of Henan Fengshen tyre company in Jiaozuo city. In response to it, the the State Land Inspection Jinan Bureau sent a rectification opinion letter to Henan Provincial government to correct and seriously investigate on the matter of occupying basic farmland without permission of the State Council, while conducting special inspection throughout the province. Henan Provincial government attaches great importance to the matter, and has not only withdrawn the original document, but also ordered Jiaozuo Municipal Government to restore the over 400 mu of land occupied to the original state. So far, all the farmland occupied has been returned to farmers for cultivation. Three similar projects of violation were also found out and corrected in the province.

3. The special inspection was conducted in Qujing city of Yunnan province to tackle the problem of illegal use of basic farmland for non-agricultural construction without local government's checking and punishment.

In April this year, CCTV's “focus interview” program reported the illegal use of basic farmland for non-agricultural construction in Qujing city without local government's checking and punishment. In response, the State Land Inspection Chengdu Bureau sent a rectification opinion letter to Yunnan Provincial government to seriously investigate the case, conduct special rectification program throughout the province, establish and improve related systems, and implement the accountability system. Yunnan Provincial government attaches great importance to the matter, promptly came up with suggestions to correct and deal with it, stopped all projects in the vocational education center, and had Qujing government summit a written review to the provincial government. So far, the 65.38 mu of arable land illegally occupied has all been returned to cultivation. The Yunnan Provincial government fined the three schools concerned, applied administrative sanctions of demerit record and warning to their principals, and circulated a notice of criticism about related officials in Qujing city. In this special inspection, a total of 2034 cases of violation of land laws and regulations since 2005 have been found out, involving 9832 mu of land; among which 1023 cases have been rectified, 1011 filed, and 925 completed, 130976 square meters of illegal constructions were removed, and 5081 square meters confiscated, 260.43 mu of land was returned, 6 people responsible for it received administrative penalty, 4 others were sent to judiciary organs for investigation. Meanwhile, the Notice of the Yunnan Provincial Government on Earnestly Strengthening Land Administration and Seriously Implementing Arable Land Protection Responsibility was issued.

4. The special inspection was conducted in Dalian to tackle the illegal occupation of farmland for non-agricultural construction without permission.

In March 2007, the State Land Inspection Shenyang Bureau learned from research that since 2005 some construction land in Dalian is illegally taken from farmland for non-agricultural construction without permission. In response, the Shenyang Bureau sent a rectification opinion letter to Dalian Municipal government to conduct overall rectification throughout the city. Dalian Municipal government attaches great importance to the rectification opinion and put forward requirements to district and county governments. The initial examination has exposed 210 cases of illegal land use, involving 13188 mu of land, including 3544 mu of arable land. Rectification is being carried out by Dalian Municipal government, and 12 cases have been disclosed in Dalian Daily and Dalian TV and other media.

(China Development Gateway July 12, 2007)