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In brief

The Supervisors Law of the People’s Republic of China (“Supervisors Law“) was recently promulgated by the Standing Committee of the National People’s Congress on 20 August 2021. Together with other legislation and enforcement activities, the Supervisors Law aims to strengthen President Xi’s anti-corruption campaign and is scheduled to take effect on 1 January 2022.

Key takeaways

  • Supervisors are anti-corruption officials in China’s supervisory commissions (established by the Supervision Law in 2018 to streamline anti-corruption functions and personnel previously scattered across various judicial, governmental and administrative organs). The commissions investigate misconduct of public officials and impose sanctions on anti-bribery offences, among others.
  • The Supervisors Law aims to standardize the appointment, removal, functions and duties of supervisors.
  • Supervisors are elected, appointed and dismissed by People’s Congresses of corresponding levels. Their election involves open examinations, review and equal competition, and adopts the basis of competitive selection, which is the general principle for electing public servants in China.
  • Compared with judges and procurators, supervisors will have relatively loose requirements in legal technical skills, e.g., they do not need to obtain a major in law or pass the national unified legal professional qualification exam, but they may be subject to stricter moral standards.
  • Meanwhile, the supervisory commissions are encouraged and required to establish a proper internal supervision system to build a “loyal, clean and responsible” supervisory team.


The impact of this latest reform on the day-to-day operations of government and state-owned companies is unknown for the time being. That being said, companies doing business in China should remain vigilant and prepare for this change, especially when dealing with government officials and business partners from the public sector.

Chinese version


Simon Hui is a partner and leads Baker McKenzie’s Dispute Resolution Group in Shanghai. Mr. Hui is ranked among the leading lawyers for dispute resolution/regulatory and compliance in China by Chambers Asia Pacific, Chambers Global and Legal 500 Asia Pacific. He has conducted complex internal investigations for a large number of multinational companies across a range of industries. He is also a skilled investigator and has experience in dealing with PRC government authorities and regulators such as PSB, SAMR, NSB and SPP. He has been interviewed by leading business media, such as the Financial Times, for his work on assisting the SOE in the establishment of compliance system as the country pushes for its SOEs to participate in the Belt & Road Initiatives.


Henry Chen has more than 17 years of experience in handling cross-border compliance and investigation matters. As a US- and PRC-trained lawyer, he has advised many multinational corporations on navigating and managing compliance risks in a variety of areas, including anti-bribery and corruption, anti-money laundering, anti-unfair competition, customs, data protection and cybersecurity, employee misconduct, ESG, financial crime, fraud, and whistleblower allegations.

Prior to joining the Firm, Henry acted as the Asia Pacific Director for Investigations at a Fortune 500 pharmaceutical company and led its regional compliance investigations. Besides Shanghai, he had also worked in Washington, DC, Hong Kong and Beijing as a compliance professional.


Zhengwei Yang is a Counsel in Baker McKenzie Shanghai office.

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