Chapter XXI Execution Measures

Article 217 If a person subjected to execution fails to fulfill the obligations, specified in a legal document, in compliance with the notification for execution, he shall report his property situation existing at the moment and one year before he has received the notification. If he refuses to do so or makes a false report, the people’s court may, in light of the seriousness of the case, impose a fine or detention on him, or his legal representative, the principal leading person of the unit concerned or the person directly responsible

Article 218 If the person subjected to execution fails to fulfill according to the execution notice the obligations specified in the legal document, the people's court shall be empowered to make inquiries with banks, credit cooperatives or other units that deal with savings deposit into the deposit accounts of the person subjected to execution, and shall be empowered to freeze or transfer his deposits; however, the inquiries, freezing or transfer of the deposits shall not exceed the scope of the obligations to be fulfilled by the person subjected to execution.

The people's court shall, in deciding to freeze or transfer a deposit, make a written order and issue a notice for assistance in execution. Banks, credit cooperatives or other units that deal with savings deposit must comply with it.

Article 219 If the person subjected to execution fails to fulfill according to the execution notice the obligations specified in the legal document, the people's court shall be empowered to withhold or withdraw part of the income of the person subjected to execution, for the fulfillment of his obligations. However, it shall leave out the necessary living expenses for the person subjected to execution and his dependant family members.

The people's court shall, when withholding or withdrawing the income, make a written order and issue a notice for assistance in execution. The unit in which the person subjected to execution works, banks, credit cooperatives or other units that deal with savings deposit must comply with the notice.

Article 220 If the person subjected to execution fails to fulfill according to the execution notice the obligations specified in the legal document, the people's court shall be empowered to seal up, distrain, freeze, sell by public auction, or sell off part of the property of the person subjected to execution for the fulfillment of his obligations. However, it shall leave out the necessaries of life for the person subjected to execution and his dependant family members.

The people's court shall make an order for the adoption of the measures specified in the preceding paragraph.

Article 221 When the people's court seals up or distrains a property, it shall, if the person subjected to execution is a citizen, notify him or an adult member of his family to appear on the scene; if the party subjected to execution is a legal person or any other organization, it shall notify its legal representatives or its principal heads to be present. Their refusal to appear on the scene shall not hinder the execution. If the person subjected to execution is a citizen, his unit or the grass-roots organization of the place where his property is located shall send a representative to attend the execution.

An inventory of the sealed-up or distrained property must be made by the execution officer and, after the inventory has been signed or sealed by the persons on the scene, a copy of it shall be given to the person subjected to execution. If the person subjected to execution is a citizen, another copy may be given to an adult member of his family.

Article 222 The execution officer may commit the sealed-up property to the person subjected to execution for safekeeping, and the person shall be held responsible for any losses incurred due to his fault.

Article 223 After a property has been sealed up or distrained, the execution officer shall instruct the person subjected to execution to fulfill, within the prescribed period, the obligations specified in the legal document. If the person has not fulfilled his obligations upon expiration of the period, the people's court may, in accordance with the relevant legal provisions, entrust the relevant units with selling by public auction or selling off the sealed-up or distrained property. Articles which are prohibited from free trading by the State shall be delivered to and purchased by the relevant units at the price fixed by the State.

Article 224 If the person subjected to execution fails to fulfill his obligations specified in the legal document and conceals his property, the people's court shall be empowered to issue a search warrant and search him and his domicile or the place where the property was concealed.

In adopting the measure mentioned in the preceding paragraph, the president of the people's court shall sign and issue the search warrant.

Article 225 With respect to the property or negotiable instruments specified for delivery in the legal document, the execution officer shall summon both parties concerned and deliver them in their presence or the execution officer may forward them to the recipient, who shall sign and give a receipt.

Any unit concerned that has in possession the property or negotiable instruments shall turn them over to the recipient in accordance with the notice of the people's court for assistance in execution, and the recipient shall sign and give a receipt.

If any citizen concerned has in possession the property or negotiable instruments, the people's court shall notify him to hand them over. If he refuses to do so, compulsory execution shall be carried out.