On September 19, 2022, the State-owned Assets Supervision and Administration Commission ("SASAC") of the State Council issued the Measures for the Compliance Management of Central Enterprises (the "Measures"), with effect on October 1, 2022. 

The Measures state that a central enterprise should appoint a chief compliance officer (CCO) based on the actual needs, and the general counsel may serve concurrently as CCO, without creating a new leadership position or adding the number of positions, and the CCO, who is responsible for the person in charge of the enterprise, is tasked with leading the compliance management department on organizing and carrying out relevant work and directing affiliated units to strengthen compliance management. The Measures require that a central enterprise should embed compliance review into the operation and management process as an essential procedure, and the compliance review opinions on major decision-making matters should be signed by the CCO, who needs to make clear recommendations on the compliance of such matters. Business and functional departments as well as compliance management department should, to the extent of their duties, improve review standards, procedures and priorities, and regularly conduct post-assessment on the review results. The Measures also emphasize that central enterprises should hold accountable the entities and individuals who should have found but fails to find violations in performing their duties, intentionally or grossly negligent, or who fail to perform their duties in discovery of violations, thereby causing losses or adverse effects to the enterprises.

(Source: State-owned Assets Supervision and Administration Commission)