Xinhua News Agency

Lanzhou revokes contracts

PUBLISHED : Saturday, 13 July, 1996, 12:00am
UPDATED : Saturday, 13 July, 1996, 12:00am

Letters of approval for 17 overseas-funded enterprises in Lanzhou, capital of Gansu province, have been revoked by the municipal authorities.

Xinhua (the New China News Agency) said the decisions were made after the authorities inspected the overseas-funded enterprises, all set up before the end of 1994.

The enterprises failed to channel the agreed funds into the operations in line with the contracts, were engaged in illegal businesses, cheated with illegal incomes or 'disappeared' after being registered.

There are 1,061 overseas-funded enterprises in the city, involving an investment of US$1.3 billion and providing more than 200,000 jobs.