Original Title: Notice from the Shandong Provincial Department of Industry and Information Technology on Issuing the "Administrative Measures for Registered Emergency Bridge Loan Institutions in Shandong Province" and the "Operational Rules for Emergency Bridge Loan Services in Shandong Province"
Administrative Measures for Registered Emergency Bridge Loan Institutions in Shandong Province
Article 1: In accordance with the "Shandong Provincial Regulations on the Promotion of Private Economic Development," the "Guiding Opinions on Establishing an Enterprise Emergency Bridge Loan Fund" (Lu Jin Jian Zi [2019] No. 15),the “Notice on Issuing the <Administrative Measures for the Shandong Provincial Enterprise Emergency Bridge Loan Guidance Fund>” (Lu Gongxin Fa [2021] No. 3), and other relevant laws and documents, these Measures are formulated to establish and improve the provincial enterprise emergency bridge loan service system, organize and supervise registered emergency bridge loan institutions to ensure standardized operations, prevent and control risks, and enhance capabilities, thereby supporting small, medium, and micro enterprises in stabilizing production and operations and achieving healthy development.
Article 2 The Provincial Department of Industry and Information Technology shall organize the establishment and improvement of the emergency bridging loan system, construct a province-wide emergency bridging loan service system, formulate development plans for the provincial emergency bridging loan service system, and strengthen supervision and guidance over the operational institutions of the provincial emergency bridging loan guidance fund (hereinafter referred to as “provincial bridging loan operational management institutions”) regarding the filing review of emergency bridging loan institutions and the dynamic management of filed institutions.
Article 3 The Provincial Bridge Loan Management Agency is responsible for accepting applications from emergency bridge loan filing institutions and organizing the filing review process; it shall promptly incorporate bridge loan institutions that comply with the development plan and meet the filing criteria into the service system for management, and shall organize regular supervision and inspections; it shall manage and utilize the Provincial Enterprise Emergency Bridge Loan Guidance Fund, and may establish sub-funds in cooperation with local governments as needed for business development to provide capital matching support to emergency bridge loan filing institutions.
Article 4: Emergency bridging loan registered institutions shall apply to be incorporated into the provincial enterprise emergency bridging loan service system in accordance with the development plan; they shall comply with management regulations, accept operational guidance and supervision, use a unified bridging loan business and fund management system, strictly enforce fund allocation, disbursement, and usage rates, promptly submit business statistical data, participate in collective activities such as work deployments, business training, and credit rating assessments, and pay annual management fees.
Article 5: Emergency bridging loan institutions shall be recommended for filing by the competent departments of industry and information technology (or private economy) at the municipal and county (city, district) levels, respectively. Priority shall be given to the filing of emergency bridging loan institutions established with capital contributions from state-owned enterprises and local governments at all levels, and efforts shall be made to continuously reduce bridging loan rates.
Article 6: Basic requirements for the filing of municipal and county (city, district) emergency bridging loan filing institutions:
(1) Legal entities, partnerships, and service organizations established in accordance with local laws and subject to the guidance and management of competent authorities.
(2) County-level emergency bridging loan filing institutions applying for filing shall have paid-in registered capital or actual funds of no less than 50 million yuan, while municipal-level institutions shall have no less than 100 million yuan.
(3) Possess a standardized management system and sound business and risk management systems for emergency bridging loans, and be staffed with a professional operational team.
(4) Operate legally using their own funds, possess reliable creditworthiness, maintain clear creditor-debtor relationships, have no external guarantees or adverse credit records, and have not engaged in illegal activities such as illegally absorbing public deposits.
(5) Shareholders of a registered institution shall not be natural persons, and the net assets of shareholders shall exceed their paid-in capital.
(6) An institution applying for filing may have equity or substantive affiliations with no more than two already-filed institutions.
(7) The shareholding ratio of a single state-owned capital entity in a filing institution must not be less than 30% (where the state-owned shareholder is ultimately traceable to a local state-owned enterprise), and such entity must dispatch directors, supervisors, or senior management personnel to participate in the management and operations of the filing institution.
Article 7: Materials Required for Filing Application (with official seal affixed):
(1) Registration Application Form for Municipal and County (City, District) Emergency Bridge Loan Filing Institutions.
(2) Filing Application Report (see attachment).
(3) Business license (copy of the duplicate), articles of association (original or a copy printed by the industrial and commercial authority), and capital verification report (original).
(4) Resolution of the shareholders’ meeting or decision by the shareholders approving the filing application.
(5) Enterprise credit report issued by the People’s Bank of China (issued within the past two weeks), credit report of the legal representative or enterprise head (issued within the past two weeks), and a copy of their ID card.
(6) Documents regarding internal controls, business operations, and risk management systems.
(7) Bank transaction records for business operations from the past six months (including counterparty account information); newly established institutions shall provide their own transaction records up to the date of application.
(8) The previous fiscal year’s audited financial report and current financial statements (excluding newly established institutions); newly established institutions must provide corresponding information regarding their shareholders.
(9) Supporting documents regarding the registered institution’s receivables and payables.
(10) A commitment letter regarding the authenticity of the application materials, a pledge to focus exclusively on loan refinancing operations, and a commitment to conduct business within the declared (registered) region.
(11) Other required materials.
Article 8: The Provincial Emergency Loan Refinancing Operations Management Agency shall, in accordance with the provincial development plan for the emergency loan refinancing service system, accept filing applications from municipal and county (city, district) emergency loan refinancing filing agencies. Under the guidance of the Provincial Department of Industry and Information Technology, it shall organize preliminary reviews of materials and expert evaluations. If the evaluation results are published and no objections are raised, the agency shall be filed and announced, with copies sent to relevant provincial departments and the competent authorities for industry and information technology (or the private economy) in the relevant municipalities.
Article 9: Emergency bridging loan filing institutions shall adhere to their mission of serving local enterprises and, in principle, conduct emergency bridging loan business within the region where they are registered. Institutions with strong financial strength, effective risk control, high bridging loan efficiency, and low daily usage rates may, upon review and approval by the Provincial Bridging Loan Operation and Management Agency, conduct emergency bridging loan business across regions within a limited scope. The Provincial Bridging Loan Operation and Management Agency shall formulate management measures for cross-regional operations, strengthen risk prevention and control, and ensure effective daily management.
Article 10: Registered emergency bridging loan institutions shall enter into agreements with the Provincial Bridging Loan Operations Management Agency, committing that bridging loan funds (funds) shall be used exclusively for emergency bridging loan operations and shall not be used for any other business activities. The Provincial Bridging Loan Operations Management Agency shall enter into bridging loan cooperation agreements with registered emergency bridging loan institutions and notify all cooperating banks in writing.
Article 11 The provincial bridge loan operation and management agency shall implement dynamic management of registered institutions, conducting quarterly business performance evaluations and biannual qualification reviews. Registered institutions that fail the evaluation or do not meet the qualification requirements shall be given a three-month deadline for rectification; those failing the rectification inspection shall have their registration revoked. Institutions suspected of illegal fundraising or other violations of laws and regulations, or those that violate the provisions of these Measures and cause significant losses or adverse effects, shall have their registration revoked immediately, and their registration applications shall not be accepted for two years.
Article 12 These Measures shall take effect on October 9, 2022, and remain valid until October 8, 2025.
Attachment: Filing Application Report.docx
Detailed Rules for Enterprise Emergency Bridge Loan Operations in Shandong Province
Chapter I General Provisions
Article 1 These Operational Rules are formulated in accordance with the “Guiding Opinions on Establishing an Enterprise Emergency Bridge Loan Fund” (Lu Jin Jian Zi [2019] No. 15) and the “Notice on Issuing the <Interim Measures for the Administration of the Shandong Provincial Enterprise Emergency Bridge Loan Guidance Fund>” (Lu Gong Xin Fa [2021] No. 3) (hereinafter referred to as the “Measures”), to standardize the operation and management of enterprise emergency bridge loans, improve service quality and efficiency, and prevent operational risks.
Chapter II: Conditions for Bridge Loans
Article 2: Bridge loan services refer to short-term financing services provided to enterprises (including individual business operators) that meet bank credit criteria but face temporary difficulties in fully repaying loans due to imminent maturity, to enable them to repay or renew loans on schedule. Loan categories are limited to working capital loans (including personal business loans) and do not include project loans or off-balance-sheet financing loans.
Article 3 Enterprises that meet the requirements of Article 17 of the Administrative Measures may apply for emergency loan bridging services prior to the maturity of their working capital loans at cooperating banks. The bank shall issue a “Bank Loan Bridging Work Coordination Form” (hereinafter referred to as the “Loan Bridging Coordination Form”) (Appendix 1) in accordance with the “Enterprise Emergency Loan Bridging Fund Cooperation Agreement.”
For small and medium-sized enterprises (SMEs) that play a prominent leading role in upgrading traditional industries, breaking through in emerging industries, strengthening advanced manufacturing, and expanding digital momentum—and that possess strong innovation capabilities and sound operational performance—the provincial loan bridging guidance fund shall give priority to providing full support upon application for funding by municipal or county (city, district) emergency loan bridging institutions that have filed the necessary documentation.
Chapter 3: Business Process
Article 4: Enterprise Application. Enterprises in need of loan rollover generally shall complete the “Shandong Province Enterprise Loan Rollover Application Form (Enterprise)” (Attachment 2) or the “Shandong Province Enterprise Loan Rollover Application Form (Individual)” (Attachment 3) at least 15 working days prior to the loan maturity date and submit the application to the municipal or county (city, district) emergency loan rollover agency or the lending bank. Upon receiving the enterprise’s application, the municipal or county (city, district) emergency loan rollover agency shall promptly contact the cooperating bank.
Article 5: Bank Review. Upon receiving an enterprise’s refinancing application, the bank shall complete internal review and approval procedures to determine whether to continue providing the loan. For eligible cases, the bank shall issue a refinancing notification form in accordance with the “Enterprise Emergency Refinancing Fund Cooperation Agreement” and submit the refinancing application form, refinancing notification form, and the enterprise’s People’s Bank of China credit report to the municipal or county (city, district) emergency refinancing agency.The bank’s review may be conducted concurrently with the investigation by the municipal or county (city, district) emergency loan bridging agencies, or it may be conducted independently.
Article 6: Obtaining the Bank’s Loan Rollover Notice. Staff members of the municipal and county (city, district) emergency loan rollover agencies shall coordinate with the cooperating bank. Both parties shall obtain two original copies of the Bank’s Loan Rollover Notice in person to ensure its authenticity and validity.Municipal and county (city, district) emergency loan bridging agencies shall designate a dedicated staff member to manage the documents. On the same day, they shall upload scanned copies of the loan bridging contact forms to the provincial loan bridging guidance fund operating agency via the “Loan Bridging Business Management System.” Municipal and county (city, district) emergency loan bridging agencies must properly safeguard the originals for verification purposes.
Article 7: Investigation by the Operating Institution. Upon receiving an enterprise’s application, municipal and county (city, district) emergency bridging loan institutions must thoroughly investigate the enterprise’s relevant circumstances. Referring to the “Shandong Province Enterprise Bridging Loan Application Documentation Checklist” (Appendix 4), they shall collect and verify enterprise materials and prepare a “Due Diligence Report” (Appendix 5).If the loan rollover is approved, the investigation results shall be entered into the “Loan Rollover Business Management System” to initiate the internal approval process. After review and approval by the responsible person or authorized representative, the application shall be submitted to the loan rollover operating agency at the corresponding level.
Article 8: Approval by the Operating Agency. Risk review personnel at the municipal and county (city, district) emergency bridging loan agencies shall verify the authenticity of the business materials, contact the bank via telephone to confirm the details on the “Bridging Loan Coordination Form,” and enter their review comments in the “Bridging Loan Business Management System.” Upon approval by the municipal and county (city, district) emergency bridging loan agencies, they shall reply to the cooperating bank with the “Bridging Loan Fund Usage Coordination Form” (Annex 6) to notify them.
Article 9: Fund Allocation. Upon receiving the bank’s bridge loan liaison form, the municipal and county (city, district) emergency bridge loan institutions shall submit it to the fund management personnel to secure funds at their respective levels. Business staff of the municipal and county (city, district) emergency bridge loan institutions shall log in to the “Bridge Loan Business Management System,” complete the relevant procedures in accordance with regulations, and prepare the “Single-Transaction Loan (Funding) Application Form” (Appendix 7),the Loan Transfer Coordination Form, and the due diligence report of the municipal or county (city, district) emergency loan transfer agency. After these documents are signed by the head of the municipal or county (city, district) emergency loan transfer agency and affixed with the official seal, they shall be submitted through the “Loan Transfer Business Management System” to the provincial loan transfer guidance fund operating agency to apply for matching funds.To expand the scope of enterprises served by emergency bridging loan funds and better promote the development of small and medium-sized enterprises within the province, emergency bridging loan institutions with high transaction volumes and significant funding needs may be granted advance funding quotas for the next quarter based on their bridging loan transaction volume and funding status from the previous quarter, thereby enhancing the efficiency of emergency bridging loan fund utilization.
Article 10: Processing Relevant Procedures. After municipal and county (city, district) emergency bridging loan institutions have reviewed and approved the application and secured the bridging loan funds, they shall sign an “Emergency Bridging Loan Service Contract” with the enterprise applying for the loan and negotiate and determine relevant risk control measures regarding payment tools such as online banking accounts, official seals, and checks.
Article 11: Collection of Fees. Municipal and county (city, district) emergency bridging loan institutions shall collect bridging loan fees from enterprises in advance in accordance with the terms and prescribed standards specified in the bank’s bridging loan notification. Upon completion of the bridging loan, settlement with the enterprise shall be conducted based on actual usage.
Article 12: Enterprise Repayment. After business staff of the municipal and county (city, district) emergency bridging loan agencies verify and confirm that the enterprise’s account is in good standing, they shall notify accounting personnel to transfer funds to the enterprise’s repayment account or a dedicated internal repayment account opened by the bank, and notify the bank to process the repayment procedures.
Article 13: Bank Disbursement. Bank disbursement staff shall check the enterprise’s account status for litigation or judicial freezing and, after confirming the account is in good standing, disburse the renewal loan funds to repay the bridging loan funds. These funds shall be paid on a trust basis into the special account for bridging loan operations to complete the procedures. If, due to special circumstances, the bank cannot disburse the renewal loan funds by the scheduled time, it must issue a “Letter Regarding Loan Disbursement Extension” (Annex 8) prior to the originally committed disbursement date.
Article 14: Recovery of Funds. Upon the entrustment or authorization of the refinancing enterprise, the cooperating bank shall, immediately after disbursing the renewal loan funds, make a trustee payment of the corresponding funds to the dedicated refinancing business account of the municipal or county (city, district) emergency refinancing agency. After the municipal or county (city, district) emergency refinancing agency recovers the refinancing funds, it shall settle fees with the refinancing enterprise based on the actual usage period;simultaneously transferring the principal of the provincial bridging loan fund and the cost of funds used through the “Provincial Bridging Loan Fund Fund Usage Management System” back to the special account for bridging loan operations of the provincial bridging loan guidance fund operating institution. Staff members of municipal and county (city, district) emergency bridging loan institutions shall closely monitor bank disbursements and bridging loan status at all times. For cases where disbursements are not made in a timely manner or where funds are not transferred promptly after the renewal loan is disbursed, they shall take measures to follow up and address the situation as soon as possible, and report to the competent authorities at the next higher level in a timely manner.
Article 15: Document Archiving. Upon repayment of the loan, re-lending operational institutions at all levels shall file and archive all electronic or paper documents generated throughout the entire process of fund utilization and recovery for future reference.
Chapter IV: Risk Prevention and Control
Article 16. In the operation of emergency bridging loan services for enterprises, a strong awareness of risk prevention and control must be maintained. Risk prevention and control systems shall be continuously improved, adhering to the principles of dedicated use of funds and closed-loop operation. All types of risks, including moral hazards and operational risks, shall be effectively prevented to ensure the security of emergency bridging loan funds.
Article 17. Municipal and county (city, district) emergency bridging loan institutions and cooperating banks shall closely collaborate to strengthen risk prevention at critical stages. They shall proactively research and formulate effective preventive measures targeting key risk factors, including the authenticity of bridging loan documentation (such as bank bridging loan liaison forms), enterprise repayment status, whether loan accounts are subject to judicial seizure or freezing, and the possibility of fund misappropriation.
(1) Preventing the risk of enterprise misappropriation. Throughout the entire bridging loan process, enterprises shall not participate in the actual transfer of funds; during the handling of business, the specific staff members of the municipal and county (city, district) emergency bridging loan institutions shall manage the enterprise’s online banking, official seals, and other payment tools.
1. After staff members of the municipal and county (city, district) emergency loan renewal agencies verify that the enterprise’s account is in good standing, they shall notify accounting personnel to transfer funds into the enterprise’s repayment account or a dedicated internal repayment account opened by the bank. They shall also notify the bank to process the repayment procedures and obtain proof that the loan has been fully repaid.
2. Bank loan officers are responsible for checking the enterprise’s account status for any litigation or judicial freezes. After confirming the account is in good standing, they disburse the renewal loan funds and complete the relevant procedures.
3. After municipal and county (city, district) emergency bridging loan institutions recover the bridging loan funds, they shall promptly transfer the principal of the provincial bridging loan fund and the fund usage fees back to the special account for bridging loan operations of the provincial bridging loan guidance fund operating institution via the “Provincial Bridging Loan Fund Fund Usage Management System.”
(II) Preventing Judicial Account Seizures. Repayment Phase: Check the enterprise’s litigation and judicial enforcement status via the China Enforcement Information Disclosure Network or the China Judgment Documents Network, and test the enterprise’s repayment account through a trial payment. Conduct on-site due diligence to determine whether the enterprise has any legal disputes or criminal cases, and carefully assess whether the account is subject to seizure; if judicial seizure is confirmed, promptly establish a separate internal repayment account through the bank.Disbursement Phase: After the cooperating bank confirms that the loan-to-deposit account is in good standing, and in accordance with the agreement signed with the provincial bridging loan guidance fund operating agency, the bank shall execute entrusted payments to ensure that the renewal loan funds are transferred into the dedicated bridging loan accounts of municipal and county (city, district) emergency bridging loan agencies to repay the bridging loan funds.
Article 18: Emergency loan bridging agencies at all levels shall strengthen the prevention and control of moral hazards. For key positions and critical processes, they shall implement regular job rotation, dual-person operation, mutual supervision, and mutual checks and balances. They shall establish specialized teams, conduct ongoing risk training, and effectively enhance the overall competence and risk identification and prevention capabilities of operational staff.
Article 19: Emergency bridging loan institutions at all levels shall use the “Bridging Loan Business Management System” and the “Provincial Bridging Loan Fund Fund Usage Management System” designated by the provincial bridging loan guidance fund operating agency in accordance with regulations. They shall implement full-process tracking and management of the use of emergency bridging loan funds, strictly follow relevant procedures when processing the use of such funds, and promptly transfer, disburse, collect, and pursue repayment to ensure the safe use of funds.
Chapter V: Management and Supervision
Article 20. All cities, counties (cities, districts) shall establish corresponding leadership and coordination mechanisms for enterprise emergency bridging loans, modeled after the provincial joint conference mechanism for enterprise emergency bridging loans. They shall fully leverage the guiding and leveraging role of the provincial emergency bridging loan fund to ensure that the emergency bridging loan funds and service systems established at the city and county (city, district) levels are integrated into the unified management of the provincial emergency bridging loan service system.
Article 21: The “Bridge Loan Business Management System” and the “Provincial Bridge Loan Fund Usage Management System” shall be equipped with operational passwords. All operators, reviewers, and managers must promptly update and set their own operational passwords, maintain strict confidentiality, and must not disclose passwords to others or privately authorize others to perform operations.
Article 22: The operating entity of the provincial bridging loan guidance fund shall conduct business spot checks every six months using a combination of on-site and off-site inspections, with a sampling rate of no less than 10%. If any issues are discovered, timely measures shall be taken to address them.
Article 23. Re-lending operational institutions at all levels shall strengthen records management. All relevant materials generated at each stage, including both online and offline documents, shall be promptly archived. They shall also establish records management systems and designate specific personnel to oversee such management.
Article 24. The provincial-level loan-to-loan guidance fund operating agency shall establish a unified consultation and complaint hotline (4006510531) and email address (xdnph@xdnphjr.com) to receive business inquiries and complaints from loan-to-loan enterprises, partner banks, and other entities.
Chapter VI Supplementary Provisions
Article 25 These Detailed Rules shall take effect on October 9, 2022, and remain valid until October 8, 2025.
Attachments: 1. Bank Loan Refinancing Work Contact Form.docx
2. Shandong Province Enterprise Loan Refinancing Application Form (Enterprise).docx
3. Shandong Province Enterprise Loan Refinancing Application Form (Individual).docx
4. List of Required Documents for Shandong Provincial Enterprise Loan Refinancing (Reference).docx
5. Due Diligence Report.docx
6. Loan Refinancing Fund Usage Coordination Form.docx
7. Single-Transaction Loan (Leveraged Financing) Application Form.docx
8. Letter Regarding Loan Disbursement Extension.docx
9. Loan Rollover Service Operating Procedures.docx
