What are the restrictions on the appointment of directors, supervisors and senior managers of a company in the Hainan FTP?
Any who is under any of the following circumstances shall not serve as directors, supervisors or senior managers of the company:
(1) being without or with limited capacity of civil conduct;
(2) been sentenced to any criminal penalty due to an offense of corruption, bribery, encroachment of property, misappropriation of property or disrupting the economic order of the socialist market economy and 5 years have not passed since the completion date of the execution of the penalty; or has ever been deprived of his/her political rights due to any crime and 3 years have not passed since the completion date of the execution of the penalty;
(3) was a former director, factory director or manager of a company or enterprise which was bankrupt and liquidated, and was personally liable for the bankruptcy of such company or enterprise, 3 years have not passed since the date of completion of the bankruptcy and liquidation of the company or enterprise;
(4) was the legal representative of a company or enterprise, and the business license of this company or enterprise was revoked and this company or enterprise was ordered to close due to violation of the law, and he/she is personally liable for the revocation, 3 years have not passed since the date of the revocation of the business license thereof;
(5) has a relatively large amount of debt which is due but uncleared. In case a company elects or appoints any director or supervisor, or hires any senior manager by violating the provisions in the preceding paragraph, the election, appointment or hiring shall be invalidated. In case any director, supervisor or senior manager, during his/her term of office, is under any of the circumstances as mentioned in the preceding paragraph, the company shall dismiss him/her from his/her post.
Related article: Hainan FTP Q&A
Tropicalhainan.com launched it’s official mini programme and WeChat account, scan the Qr code to keep up to date with news, sports, entertainment, travel, opinion and more.