Procedures of Shanghai Municipality on Administration of Sports Contests
(Promulgated by Decree No. 66 of the Shanghai Municipal People's Government
on March 25,1999)
Chapter I General Provisions
Article 1 Objective and Basis
With a view to strengthening the administration of city-wide sports
contests and promoting sports, these Procedures are made under the Physical
Culture Law of the People's Republic of China and other related laws and
regulations, and in line with the actual circumstances of this Municipality.
Article 2 Application Scope
These Procedures apply to the organization and administration of sports
contest in the administrative areas of this Municipality.
The sports contests under the preceding section refer to the contests of
sports events in the forms of selling tickets, collecting entry fees, accepting
sponsorship or securing proceeds from advertisements, and with the sponsors
assuming responsibility for their own profits and losses. The Shanghai Municipal
Physical cultural and Sports Commission (hereinafter called the MPCSC) shall
publish the scope of sports events according to the sports events set by the
State physical cultural administrative department and in line with the
practicalities currently existing in this Municipality.
Article 3 Competent Departments and Assistant Departments
The MPCSC is the administrative department in charge of this Municipality's
sports contests. The district and county physical cultural administrative
departments take charge of the management of sports contests within their
respective jurisdictions.
All the administrative departments of industry and commerce, public
security, taxation and auditing shall join efforts with physical cultural
administrative departments in implementing these Procedures according to their
respective functions.
Article 4 Organizational Guideline
Sports contests must be organized in the interests of the people's physical
and mental health, of the furtherance of physical culture and of the building up
of the ethical and cultural progress under socialism.
Chapter II Registration of Contest(s)
Article 5 Registration
Organizing sports contests, the sponsor of sports contests (hereinafter
referred to as the sponsor) must register with the physical cultural
administrative department .
Article 6 Requirements for Sponsors
The sponsors must meet the following requirements:
1. Being able to bear sole civil responsibility;
2. Having organizing institutions and managerial personnel matched to the
contest scale;
3. Having specific contest regulations, rules and organization and
implementation plans;
4. Having funds matched to the contest scale; and
5. Having places, facilities and apparatus necessary for contests.
The MPCSC shall publish the specific contents of the preceding Section.
Article 7 Registration Procedure
The sponsors shall complete formalities for registration application
according to the following provisions:
1. Organizing a sports contest in the local district or county, the sponsor
must apply for registration 30 days before the start of contest to the district
or county physical cultural administrative department where the sponsor resides,
whereupon and the district or county physical cultural administrative department
must make a decision on approval or disapproval of registration within 15 days
from the date of receiving the registration application.
2. Organizing a cross-district/county or a citywide sports contest, the
sponsor must apply 60 days before the start of contest for registration to the
MPCSC, which must make a decision on approval or disapproval of the registration
within 15 days from the date of receiving the application for registration.
3. Organizing a city, province, or nation-wide sports contest, the sponsor
must apply 90 days before the start of contest for registration to the MPCSC,
which must make a decision on approval or disapproval of the registration within
30 days from the date of receiving the application for registration.
4. Organizing an international sports contest or a sports contest with team
or individual contestants form Hong Kong Special Administrative Region, Macao
and Taiwan regions, the sponsor must apply 6 months before the start of contest
for registration to the MPCSC, which must make a decision on approval or
disapproval of the registration within 30 days from the date of receiving the
application for registration.
Where laws, statutes and regulations provide for the organization of
specific sports contests to be approved by the State physical cultural
administrative department, the sponsor must apply for such approval accordingly.
Article 8 Documentation for Registration Application
Applying for registration of sports contests, the sponsor must submit the
following:
1. Application forms;
2. Credentials relevant to the sponsor's approved establishment and
registration;
3. Regulations, rules, organization and implementation plans and
feasibility analysis of the contests;
4. Certificates defining financial resources of the contest;
5. Letters of intent on using the premises for the contest;
6. Materials about names, types and sources of apparatus and facilities for
contests;
7. Basic information on contestants, coaches and referees, and credentials
issued by sports event associations for approval of appointing referees;
8. Budget statement of contest funds including such matters as revenue and
expenditure budget of contest funds, profit distribution and share of
responsibility for losses;
9. Name of the agency auditing the revenue and expenditure funds.
Apart from the preceding Section, the sponsor must, in organizing boxing,
marathon, rock scaling, parachuting, gliding, hot-air ballooning, car-racing,
motor-cycling and other sports contests with acute antagonism, extreme intensity
or greater danger, also submit medical emergency treatment plans.
The sponsor, authorizing a duly qualified physical cultural institution to
organize a sports contest, must submit the contract and credentials of the
commissioned physical cultural institution’s approved establishment and
registration in addition to the documents prescribed in the Section 1 of this
Article.
Article 9 Grant of Registration Certificates
The MPCSC or district or county physical cultural administrative department
must allow the sponsor who meets the requirements set by these Procedures to go
through the registration of sports contest and grant the sponsor a registration
certificate of sports contest. The MPCSC or district or county physical cultural
administrative department must not allow the sponsor who fails to meet the
requirements hereunder to go through the registration of sports contest and must
notify in writing the sponsor.
The registration certificate of sports contest is valid for 1 year.
Article 10 Guarantee and Deposit
Applying to the physical cultural administrative department for
registration of a sports contest, the sponsor must supply a guarantee; failing
which, the sponsor must give a deposit to the physical cultural administrative
department. The deposit is payable in cash or by a draft or a cashier’s check.
The specific standard of deposit shall be prescribed separately by the MPCSC
according to the scale of sports contest and the degree of danger of contest
events.
After the conclusion of a sports contest, the physical cultural
administrative department must refund the deposit within 10 days from the date
of receiving the contest summary and results submitted by the sponsor and the
auditing report on balance of contest funds made by the agency with auditing
qualification.
The physical cultural administrative department must not refund the deposit
to the sponsor involved in any of the following:
1. Unauthorized alteration of time or venue of sports contest which causes
financial losses to contestants or consumers;
2. Arbitrary alteration of the contents of a sports contest or cancellation
of a sports contest without alteration or cancellation registration; or
3. Improper organization and management which causes heavy casualties of
contestants or consumers.
The non-refundable deposit is to be exclusively used for damage
compensation to contestants and consumers or as payment for fines.
Article 11 Other Formalities
Where laws, statutes and regulations provide that the examination and
approval formalities of public security, industry and commerce, public health,
taxation and others must be completed for conducting sports contests, the
sponsor must comply therewith as required.
Article 12 Registration of Alteration and Cancellation
The sponsor who needs to alter the sponsorship or the name and contents of
a contest after the sports contest is approved for registration, must file the
alteration registration with the original contest registering department. The
sponsor must not transfer the sponsoring right of sports contest that has been
registered.
The sponsor, who needs to cancel the contest approved for registration,
must go through the cancellation registration with the original contest registry
after legally clearing up related credits and debts, and must publish an
announcement thereof.
Chapter III Contest Management
Article 13 Contracts of Sponsorship and Ad Operations
Involved in sponsored sports contests or with proceeds from ad operations,
the parties concerned must conclude contracts.
Article 14 Contest-centered Advertising Publicity, Ticket Sales and Entry
Fee Collection
Only after the approval of its registration, a sports contest can be
allowed to start advertising, selling tickets, accepting sponsorship and
collecting entry fees.
Article 15 Implementation of Contest Regulations, Rules and Plans
The sponsor must organize the sports contest and examine the qualification
of entrants according to the registered regulations, rules and implementation
plans of the sports contests.
Article 16 Contest Order and Security Precaution
The sponsor, contestants, coaches and referees must observe physical
cultural ethics and ensure fair contest. No fraud or malpractice is allowed. It
is forbidden to make use of sports contests for gambling activities.
The sponsor must take safety and security measures to maintain normal order
of sports contests.
Article 17 Change of Contest Time and Venue
After the time and venue of a sports contest being made public, the sponsor
must not make any change thereof at random. If a change is badly needed for
special reasons, the sponsor must report to the original contest registry for
approval, whereon an announcement in advance.
Article 18 Provision of Name Precedence to Contests and Contestants
Having the name of Shanghai municipal administrative area precede the names
of sports contests or contestants must be reported to the MPCSC for approval.
Having the names of district or county administrative areas precede the
names of sports contests or contestants must be reported to the district or
county physical cultural administrative department for approval.
Article 19 Management of Advertisements
The contents of advertisements for sports contests must be truthful and
healthy. It is forbidden to mislead or deceive contestants and consumers.
When commissioning the design, production and release of advertisements for
sports contests, the sponsor must commission the advertisers and releasers of
advertisements with legal operational qualification.
Article 20 Personal Insurance
When conducting boxing, marathon, rock scaling, parachuting, gliding,
hot-air ballooning, car-racing, motor-cycling and other sports contests with
acute antagonism, extreme intensity or greater danger, the sponsor must take out
personal insurance for contestants.
Article 21 Notarization of Lottery Draw and Tax Payment According to Law
Lottery draws held in sports contests must be notarized.
Taxes on proceeds from sports contests must be paid according to law.
Article 22 Donation Management
When conducting donative sports contests, the sponsor must report the
revenue and expenditure budget of contest funds to the MPCSC for approval.
All of the revenue from donative sports contests, excluding the payment of
necessary cost expenditure according to the approved revenue and expenditure
budget of contest funds, must be handed over to the donee. Any other unit or
individual must not draw any remuneration from the revenue. Conducting
social-welfare donative sports contests must be approved by the civil affairs
department.
Article 23 Report on Contests
The sponsor must submit a overall contest summary, report a record of
results and an auditing report on the revenue and expenditure of contest funds
made by an agency with auditing qualification to the physical cultural
administrative department within 30 days from the closing date of sports
contest.
Article 24 Commission for Sports Contests
The sponsor may conduct sports contests either in person or by proxy
through a duly qualified physical cultural institution.
In the proxy situation above mentioned, the parties concerned must conclude
a contract to define each other’s rights and obligations.
Article 25 Inspection
The sponsor must observe all kinds of legal norms enacted by the State or
this Municipality, subject to inspection by physical cultural administrative
departments. Making an inspection, the law enforcers of the said departments
must produce administrative law enforcement certificates .
Chapter IV Legal Liability
Article 26 Penalties Enforced by Physical Cultural Administrative
Departments
The MPCSC or district or county physical cultural administrative department
shall punish the units or individual persons who are in violation of relevant
provisions of these Procedures as follows:
1. Those who fail to apply for registration accordingly and organize sports
contests without authority shall be ordered to stop illegal activities and be
fined between 2,000 yuan and 10,000 yuan, or, in serious cases, between RMB
10,000 yuan and 30,000 yuan.
2. Those who fail legally to cancel a registration, or alter the name,
contents or the sponsor of a sports contest or cancel a sports contest without
authority shall be ordered to comply within a time limit and be fined between
RMB 2,000 yuan and 10,000 yuan, or, in serious cases, shall carry fines of
between RMB 10,000 yuan and 30,000 yuan.
3. Those who fail to organize sports contests according to the registered
regulations, rules and implementation schemes of sports contests shall be
ordered to comply within a time limit and may be fined between RMB 500 yuan and
2,000 yuan, or, in serious cases, between RMB 5,000 yuan and 10,000 yuan.
4. Those who alter without authorization the time or venue of sports
contest already made public shall be given warnings and may be fined between RMB
500 yuan and 2,000 yuan, or, in serious cases, between RMB 5,000 yuan and 30,000
yuan.
5. Sponsors or participants of sports contests preceded by the name of the
municipality or the district or county administrative area without approval or
those contestants whose names are preceded by the above-mentioned name without
approval shall be ordered to make correction within a time limit and may be
fined between RMB 500 yuan and 10,000 yuan.
6. Those who divert the proceeds in donation from sports contests to any
other purposes shall be ordered to make correction within a time limit and be
fined between RMB 2,000 yuan and 10,000 yuan, or, in serious cases, between RMB
10,000 yuan and 30,000 yuan.
7. Those who fail to submit a contest summary, contest results and an
auditing report on the revenue and expenditure of contest funds made by an
agency with auditing qualification to the physical cultural administrative
department according to provisions shall be given warnings and may be fined
between RMB 500 yuan and 10,000 yuan.
8. Those whose improper organization-management causes heavy casualties to
contestants and consumers shall be fined between RMB 10,000 yuan and 30,000
yuan.
Article 27 Penalties Enforced by Other Administrative Departments
The administrative departments of industry and commerce, public security
and public health shall punish the violations of relevant provisions hereunder
as authorized and prescribed.
Article 28 Punishment Procedure
When administering administrative punishments, the physical cultural
administrative departments shall make decisions on administrative punishments. A
receipt for the collected forfeit printed exclusively by the municipal finance
department shall be issued for the collected fines.
Fines shall be turned over to the State Treasury according to provisions.
Article 29 Civil Liability
If more than two persons jointly sponsor sports contests, the sponsors
shall bear joint and several responsibility.
Commissioning physical cultural institutions to conduct sports contests,
the sponsors shall, together with the commissioned physical cultural
institutions, legally bear civil responsibilities as commissioned.
Article 30 Administrative Review and Lawsuit
The party taking exception to the specific administrative act of a physical
cultural administrative department may apply for an administrative review or
file an administrative litigation according to the provisions of the Regulations
on Administrative Review and the Administrative Litigation Law of the People’s
Republic of China.
If the party concerned neither applies for review, nor files a lawsuit, nor
complies with the specific administrative act within a legal time limit, the
department that performs the specific administrative act may apply to the
people’s court for enforcement according to the Administrative Litigation Law of
the People’s Republic of China.
Article 31 Investigation of Law Enforcers’ Illegal Acts
The managerial personnel of physical cultural administrative departments
must abide by law and discipline, and enforce the law impartially. Those found
guilty of dereliction, power abuse, malpractice, bribe-extorting and/or taking,
and distortion of the law must be sanctioned administratively by the unit they
work for or its competent superior department. If the irregularities constitute
a crime, the offender shall be investigated for their criminal liability
accordingly.
Chapter V Supplementary Provisions
Article 32 Inapplicability
These Procedures do not apply to the sports contests organized by
government agencies, enterprises, institutions, or social organizations
The administration of sports contests organized by the State administrative
agencies is to be prescribed separately.
Article 33 Department for Interpretation of Application
The MPCSC may interpret these Procedures for their specific applications.
Article 34 Date of Implementation
These Procedures shall become effective on July 1, 1999.
