A total of 44 government bodies, including the National Development and Reform Commission and the Supreme People’s Court, released a memorandum of understanding on punishing people subject to judgment execution on Jan 21.

Judgment debtors will be subject to restrictions on establishing a financial institution or engaging in civil and commercial affairs, denied access to preferential policies, and prohibited from holding important positions.

The 55 punishments can be divided into eight categories.

The first category restricts establishment of financial institutions such as companies involving securities, funds, futures, insurance and financing guarantees, as well as commercial banks.

The second restricts engagement in civil and commercial affairs, such as involvement in government procurement processes as a supplier, issuing bonds on interbank markets, purchasing commercial banks, and financing credit.

The third restricts entry to some industries, such as drugs, food, mining, and security evaluation, and prohibits being recruited by governmental departments and public institutions.

The fourth category restricts judgment debtors from holding important position, such as a director, supervisor or other senior executive in financial institutions, and specifically forbids being a State-owned enterprises’ legal representative.

The fifth limits their access to preferential policies, such as subsidies and social security funds, and forbids their holding honorable titles.

The sixth restricts their consumption behaviors. They are not allowed to buy insurance products with a high premium, and are barred from purchasing air or railway tickets that include soft sleepers. They may not consume services at high star-level hotels, night clubs, and golf courses, or purchase luxury tourism products.

The eighth provides that the government bodies will cooperate in sharing the parties’ information, including their personal identities, and data related to their passports, marriages and vehicles. Shared information will also include any customs certifications or safe production licenses.

Statistics provided by the SPC show that in recent years, the court system handled more than 3 million cases involving judgment enforcement every year. About 70 percent of the debtors willfully and even violently fail to comply with the judgments against them.