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Good enough, if you weren’t Libyan.Gaddafi ruled Libya for 42 years between 1969 and 2011. He gained power by deposing King Idriss As-Sunusi in a coup at a time when Nasserist Arab Nationalism, Socialism and secularism were surging throughout the Middle East and North Africa. Gaddafi was removed from power during a popular rebellion in 2011.In the first part, I will explain the background of the situation in Libya throughout different times, in order to give the rule of Gaddafi a background. Then I will address the claims of Veljko Radulovic, whose answer fetched 1.3k upvotes. Misinformed individuals like him only serve to spread misinformation and praise a ruler most Libyans would rather have been without.During his 42-year rule, there were many phases that were passed, each of which changed the conditions for the average Libyan. Since this 42-year history was unusually eventful, I will split this into 4 parts: the 1970s, the 1980s, the 1990s and the 2000s.Part 1 - A Historical Background1970sThe 1970s started when Gaddafi was in his first year of power. As a Nasserist himself, he initially wanted to cede power to Gamal Abdelnasser of Egypt, in order to create another Pan-Arab union after the previous one had failed.The Libyan Arab Republic spanned from 1969 to 1977, and immediately re-aligned itself from the USA to the Soviet Union, but also maintained its stance as a member of the Non-Aligned Movement. Due to its deterioration of relations with the West, it started to arm itself rapidly, starting a buying spree that spanned to the 1980s, and buying more equipment than could be theoretically be manned by the entire population of military age.Libya’s relations with its Southern neighbour, Chad, deteriorated as Libya and France sought total dominance over the country. In 1973, Libya took over the Ouzhou Strip, located to the South of Libya. The Libyan-Chadian War, which was fought between Libyans and Chadians, and Americans, French and Chadians, escalated to an all-out war in 1978. The ensuing war had American and French planes pounding the dis-organised Libyan Army, which had a strength of 15,000 men, eventually killing 5,000 of them.Libya also entered another war with Egypt in 1977, after the latter signed the signing of the Camp David Accords, announcing a “March to Cairo” with his military. As soon as his army reached the border with Egypt, they were (obviously) rejected by the border officials, prompting Gaddafi to announce an invasion of a country with ten times his country’s population. They only managed to capture one town before being chewed up and spat out by the Egyptian Army. More than 1,000 Libyans died.The 1970s saw Libya’s increasing involvement in the international arena and negligence towards Libyan internal affairs. Internally, the 1970s was characterised by the gutting of Libyan politics, through the abolition of all parties but the Arab Socialist Union.In the international stage, Gaddafi sought to use the politics of oil to influence world powers. It was the first to embargo the US after Nixon announced a $2.2bn aid package to Israel in 1973. Other Arab countries soon followed, triggering the 1973 Oil Crisis.He also made sure that Libya would nationalise and increase its oil production, which necessitated a seizure of oil-producing assets from BP and other companies and withdrew $550 million in investments from British banks. After rejecting the small compensation offered by the Libyan Government, the British Treasury banned Libya from participation in the Stirling Area.During most of the 1970s, Libya’s economy was diversified, with oil taking up a minority share of the economy. Its GDP per capita was also a lot more than that of other countries, and even with the slow collapse of the industrial sectors, managed to make it through the 1970s with a GDP per capita (PPP) double that of America. In the 1980s, despite some efforts to reinvigorate the industry, its death was finalised. Agriculture, however, boomed in a country where less than 10% of land was arable, due to massive subsidies towards farmers.The rule of Gaddafi during these periods was marked by a sudden transition to “Socialism” in a system that was almost communist in itself. What marked the main difference between the rules of Gaddafi and his predecessor was that Gaddafi focused on the countryside and isolated villages a lot more than on the major cities. King Idriss’s Libya featured a Tripoli that was known to be the cleanest city in the world at the time, and life there was luxurious, while the villages that scattered the mountainous areas and other isolated spots still had high illiteracy rates.This strategy was implemented to such a degree that my grandfather’s village was evacuated to a nearby spot, where they moved to new houses with electricity and landlines. However, to this day, many roads in Tripoli remain unpaved, and it is one of the only capitals in the world with no sewage system. They would drill holes and fill them, then hire a truck to pump out the sewage when it fills up.1980sThe 1980s were characterised by the ongoing Chad War, the building of the Great Manmade River, the Libyan-American conflict over the Gulf of Sidra and the international campaign of sponsoring terrorism.Chadian WarThe Chadian War was going quite well. Libya had captured the Ouzhou Strip, and went on to hold around one third of Chad. The French and Americans thought that Libya would never possess the logistical capability to initiate such a massive deployment, and so, dismissed Gaddafi’s threats of invasion. It was all going fine, with Libya’s enormous amounts of high-tech Soviet-made firepower and numbers.However, Hassiene Habre, the president of Chad at the time, called America and France to intervene. Things quickly went downhill after that.Due to the fact that the Libyan Army was purposely decentralised in order to prevent a coup, joint coordinated combat was rendered impossible between the Army and Air Force. The force could not match French intelligence, aerial and military support, combined with American logistical support.The last phase of this war was the Toyota War, by which France donated many Toyota pickup trucks, fitting them with Milan anti-tank missiles. This gave them a maneuverable tank-killing machine and the biggest innovation in asymmetric warfare, the technical.Using their new-found firepower, they launched a devastating attack on Ouadi Doum Airbase, killing many, many conscripts and capturing a lot of state-of-the-art Soviet equipment. The equipment was shared evenly between France and America for research. The attack also opened the way for a brief Chadian invasion of Libya.Great Manmade RiverIn 1984, plans were made to provide every Libyan with water. In the committees of experts rounded up to do the research, many proposals were made, including the installation of desalination plants and, quite stupidly, to bring water in pipes from the heart of the Sahara desert. Initially, the GMMR project was dismissed for being too expensive, not offering drinkable water, being insecure as a system of transit and because the water reservoirs had no means for replenishment. However, it was chosen as a project and it started. The project was largely a success in the fact that it did technically give us water, a failure in that the water was unfiltered and tasted so awful that it was undrinkable.Libyan-American ConflictIn August 1981, the US shot down two Libyan jets in a dogfight, after “freedom of navigation exercises” held by the US in the Gulf of Sidra were regarded by Libya to be a violation of its sovereignty. That December, America issued an importation ban on Libyan oil.On the 23rd of March, the US carried out airstrikes that destroyed some ships of the Libyan Navy, killing 35 Libyan sailors, and targeted SAM sites and bases within Libya. The retaliation was in the form of the West Berlin “La Belle” nightclub bombing, which killed three US servicemen and injured 229.On the 15th of April 1986, in retaliation to the bombing of the West Berlin Discotheque, the US attacked Libyan forces in the Gulf of Sidra and in Libya, destroying air defences, three army bases and two airfields, killing dozens of officers and Gaddafi’s adopted daughter.In response to that, Gaddafi intensified support for anti-American Government entities, funding Jeff Forte’s Al-Rukn faction of the Black P. Stones gang in Chicago. Forte was later convicted of preparing strikes on US Government buildings, assassinations and airplane hijackings on behalf of the Libyan Government.Gaddafi’s campaign in sponsoring terrorismDue to the length of this section should I have written it, I will mention, in bullet points, the various armed groups and operations Gaddafi had been funding and supporting, or has personally endorsed, throughout his tenure:North-Chad’s InsurgencyJapanese Red Army (Lod Airport Massacre)Black September Movement (Munich Massacre)Irish Republican ArmyMoro Islamic Liberation FrontNew People’s ArmyCommunist Party in the PhilippinesEgyptian President Anwar Sadat’s assassinationSandinistas in NicaraguaLibyan diplomats instructed to shoot 11 protesters, killing Yvonne FletcherLa Belle Nightclub bombingsWorkers Revolutionary PartyAttempted radicalisation of Maoris in New ZealandAttempted radicalisation of Aborigines in AustraliaThe Free Aceh MovementPan Am Flight 103 Bombing (Lockerbie)Revolutionary Armed Forces of ColombiaAs can be seen here, the number of groups supported by Gaddafi is huge. This ensured that sanctions were put in place in order to limit Gaddafi’s spending. However, this just made him even more inclined to spend abroad, and also to buy huge amounts of weapons. During the 80s, Gaddafi bought six Foxtrot-class submarines, but they only made a grand total of three patrols before being put to storage due to high costs of operation.1990sThe 1990s were characterised by the imposition of international sanctions after the Lockerbie bombing and the support of Gaddafi for Islamists in Algeria. This time was the most uneventful and peaceful in the history of Gaddafi’s rule, but witnessed a steady decline in Libya’s GDP. There was also a rise in dissent and repression after a failed attempt to assassinate Gaddafi by elements of the Libyan Army.2000sIn the 2000s, under many sanctions, Gaddafi agreed to hand over his nuclear and chemical weapons programmes and pay reparations for the bombings of Lockerbie and the Discotheque. This time was characterised by the improvement in Libya’s relations with the West, Gaddafi & Sons’ massive spending sprees and worst of all, international cooperation across intelligence agencies to provide information of and to deport Libyan dissidents and activists, meanwhile using Libya as a “black site” for many intelligence agencies’ dirty work.Part 2 - Addressing claims made by some Quorans on rights given to Libyan citizensIn this section, I will address many popular myths surrounding the rule of Gaddafi.In Libya, a home is considered a natural human rightIn Libya, it was true that having a home was a right, but it came at the cost of utterly destroying the housing market. There were stories of people who had worked for their entire lives to buy two houses in different cities, and were only allowed to have one.There was also the issue with robbers and squatters. If you were to go to another city with your family, or to go on holiday somewhere, or ever so much as leave your house unattended, a squatter may break into your house and claim it and everything inside to be his.There was no property register to prove that the house was yours, and there was a massive risk in housing fraud. If you paid for a flat, the owner could easily claim that the buyers tried to push him to homelessness, and he would keep the money and the flat.The only people it was good for was Gaddafi’s supporters, who often received confiscated houses. The law turned a blind eye on many squatters who supported Gaddafi.Education was freeThis notion is often why many people seem to like Gaddafi. It is because education was free. However, Libya as a whole had free education since independence, and so, it was not an achievement itself.However, the quality of education in Libya deteriorated to the point that in Tripoli, private schools outnumber public ones. Having been a student of this school system myself, I can attest to the scale of the infusion of propaganda into every subject. The curriculum went from being accepted by most Western universities to one that is not accepted by any. The politics of Gaddafi also changed the foreign language taught in schools from English to French to Russian and back to English.Gaddafi also abolished entrance requirements in many universities. He once said that if somebody wanted to become a doctor, they can. With this, universities had to cope with massive numbers of entrants and vet them while being in University, making it a lot less efficient and lowering the universities’ standards.Medical treatment was freeThis was the case before Gaddafi’s time, and it still is the case in modern Libya. It is also the case with most of the countries around the world. However, in Libya, the hospitals which treated Libyans were often neglected, with poor work conditions for the doctors and a salary of only $1,200. I can attest to this because two of my relatives are surgeons.Libya’s chronically underfunded hospital system also had very outdated equipment. Even now, when I go to an NHS hospital in Scotland, I would likely receive treatment with state-of-the-art equipment that has been properly sterilised and used by experienced professionals. In Libya, we only had experienced professionals.There were no electricity bills in Libya, electricity was freeThis bothers me a lot. If anybody has been to Libya, they would know that we face power cuts that sometimes last for weeks at a time. Common power cuts often last for three to six hours per day.This is not only because people may misuse this “right” of free electricity. It is also because when Libya had a research nuclear reactor and made breakthroughs in nuclear technology, Gaddafi hadn’t thought for one time to build a nuclear power station to ease the pressure on the current generators. He built a nuclear bomb, he built many chemical weapons, but not once did he think about a power station.If anything, this shows how detached from the populace Gaddafi had been.Gaddafi carried out the world’s largest irrigation project, known as the Great Manmade River project, to make water readily available throughout the desert country.The GMMR project, although a success in bringing water to households, was both late and unnecessarily expensive. Gaddafi could have chosen some other projects which were both faster, cheaper and more efficient. But instead, he spent many hundreds of times more of Libya’s money to build a series of pipes to extract water from the desert.All newlyweds in Libya would receive 60,000 Dinar ($50,000 USD) by the government to buy their first apartment to help start a family.Firstly, 60,000 dinars aren’t $50,000. They aren’t and never were.Secondly, this almost never happened. Gaddafi didn’t even like the idea of having a housing market, and when I asked my parents about this, I was told that there was no such payment.A portion of Libyan oil sales is or was credited directly to the bank accounts of all Libyan citizens.This never happened either. I have a close relative who was working back-to-back with a Frenchman and a Canadian. Yet, those two people earned twenty times as much as he did for the same work.Taxes utterly crushed any semblance of hope in Libyans with ambition for prosperity. After taxes, a car buyer must pay the ten times the car’s value, in taxes, because it was considered a luxury. If anybody here has been to Libya, they will know how large the area is, and how necessary it is to have a car.Libya had it’s own state bank:Libya had its own State bank, which provided loans to citizens at zero percent interest by law and they had no external debt.Libya still has many state banks and private ones. It also had them before Gaddafi took power. It is not really something special to Libya, as every Muslim country has a bank that charges zero interest for loans. Otherwise, there would be an outrage.A bursary was given to mothers with new-born babies:When a Libyan woman gave birth she was given the equivalent to $5000 USD for herself and the child.This “bursary” was also non-existent.If Libyans cannot find the education or medical facilities they need in Libya, the government would fund them to go abroad for it – not only free but they get US $2,300/month accommodation and car allowance.… if you can dare to criticise the institutions.Virtually nobody claimed this allowance for medical care, as it would require criticism towards the healthcare system, and therefore, the regime. That could very easily get you killed.The only real way to be allowed to go abroad was to have your company give you a contract in a foreign city, and to have an offer for a place in a foreign university.This also required extreme vetting measures, which meant that many who weren’t allowed to travel abroad were also arrested at home. And even when abroad, you can’t criticise the regime, as Gaddafi was fond of spending money on assassinating critics abroad.Libya had a semi-Communist system which gave every person work. This was, however, not the work that you would get in other Communist countries like the USSR, where they actually did something. Many were simply employed in the public sector and paid or doing absolutely nothing, no questions asked.This is not to mention the taxes held on every single thing one could buy. A close relative’s first mobile phone was bought in 2001, and it cost him around 1500 LYD, an equivalent to 750 USD. Not to mention the extraordinarily high costs of making a phone call. The only thing that taxes did not touch was the heavily subsidised food, which was the only way of keeping us Libyans alive throughout this misery. Sometimes, there would be no food in the first place. I know a closer relative whose family hunted a wolf to eat it. Some people were that famished.Meanwhile, Gaddafi was spending ungodly amounts of money on gold-lined silk robes, the best cars and luxury planes, his sons were spending on football clubs, throwing parties, buying the many lamborghinis, Paganis and the best cars, and even spending several billions of dollars of Libyan money to form their own militias.Gaddafi is said to have hidden around $200 billion in offshore accounts, and a lot more hidden completely. The Libyan GDP, by contrast, didn’t budge past the $40 billion range. There are many beneficiaries who benefit from these accounts today, sucking out the money the we Libyans deserve. Libya’s foreign reserves have plunged, from $125 billion in 2012 to $34 billion now. The thieves who take this money are both individuals and governments alike.Many people like to claim that Libyans aren’t ready for democracy, and that they don’t care. Libya’s civil society was destroyed in the 70s, and rendered non-existent ever since. Gaddafi had employed informants on every corner, and somewhere between 10% and 20% of the entire population was employed as informants.People could not go to the same mosque for too many consecutive prayers, as they risk enforced disappearance. Even in prisons, nobody documented who was in these prisons, and why they were there. Some prisons were bloody and brutal. The infamous Bousleem prison tortured inmates so regularly that it was well-known to the entire country.With the Libyan people’s money, Gaddafi decided to buy many weapons of all calibres, including 20 million small arms. Libya’s population is six million. If you decided to give every man, woman and child in Libya three weapons, you’d still be able to arm a fighting force of two million. This is what is causing the instability that is plaguing Libya and preventing it from building up again.So when the Libyan people rose against him, with absolutely nothing to lose, he did nothing but kill many and threaten to kill many more.After all, these people have been humiliated for forty two years. Could they not be humiliated more?Thanks Ahmed Abdelhaq for the A2A.

Why Tamilnadu Accepting Only Dravida Parties ?The Public Sector:On 17.7.99, it was announced 17th of July, the birthday of Perunthalaivar Kamaraj, will be celebrated as the martyrs’ day.The DMK government on Independence Day in 15.8.1997 declared an increase in pension for all freedom fighters and defenders of language from Rs. 1,500 to Rs. 3,000. Since 1.8.1990 they are also being provided with a medical allowance of Rs. 15.Since 15.8.1997 the family pension for legal heirs of these patriots has been increased from Rs. 750 to Rs. 1,500.Since 1.4.1997, for those who receive the freedom fighters’ pension, the DMK has increased the State contribution from Rs. 250 to Rs. 500.A Government order under the DMK period was issued on 4.5.1999 to provide jobs through employment exchanges to the legal heirs of freedom fighters on a priority basis.The quota of engineering seats for legal heirs of freedom fighters was increased from one to five in 1999-2000. In 2000-2001, revised orders were issued to increase the number of engineering seats from five to ten.The DMK government in 1989 had announced to provide Rs. 1,000 for the funeral expenses of freedom fighters. Currently, the government has increased it to Rs. 2,000. In addition, it has also ordered that an official not less than the rank of Taluk officer should attend the funeral and pay the last respects on behalf of the government.The heirs of Marudhupandi brothers and the heirs of Veerapandiya Kattabomman have been provided with financial aid of Rs. 150 and Rs. 300 respectively. The DMK government increased the aid to Rs. 500 since 30.8.1996.The aide of the former chief minister Bakthavathsalam Mr. Balu was provided with a free house at an expense of Rs. 3.5 lakhs.The DMK government provided free bus passes to freedom fighters and defenders of language since 1990, and extended the free passes to their heirs since 1996.The state human rights commission was set up on 17.4.1997 to speed up and simplify the procedures in providing relief for the victims.On 15.5.1997 an all party meeting was organized by the government to resolve and prevent caste-related riots. The outcome of the meeting resulted in a resolution to organize peace meetings at the district, zonal and union levels to achieve harmony and peace in the society. Orders were issued to the district collectors to organize peace meetings.On 22.5.98, the government issued orders to provide a sum of Rs. 2 lakhs to the families of victims of caste-based riots since 1.1.1997.In Tamil Nadu, especially in the southern districts, there were communal clashes. A committee was formed to examine the causes leading to communal riots and to ensure that the anti-untouchability law was being followed in those areas. The committee was headed by former Supreme Court judge Mr. S. Mohan. The committee‘s recommendations were accepted by the government and implemented.The government convened an all-party meeting in Chennai twice on 22.10.1998 and on 26.10.1998 with the objective of abolishing communal riots.A separate department for social reforms was established in order to bring about a renaissance in the society and for the cause of social equality.On 16.6.2000 the government issued orders to create a medal symbolizing religious harmony in the name of Kottai Ameer. Kottai Ameer was a martyr who died in the hands of terrorists during Hindu- Muslim conflicts. The first Kottai Ameer religious harmony medal was awarded to Sultan Mydeen of Thanjavur district on 26.1.2001.The DMK government created the Kargil Soldiers’ fund for the welfare of the families of Tamil army service personnel who were killed during the war. The public donated a sum of Rs. 59,02,57,164.09 to this fund. A sum of Rs. 50 crores has been donated for the National security fund to the Prime Minister. For the families of every soldier that laid down his/her life in the Kargil war, the government provided a mercy fund of Rs. 5 lakhs, a house in the high income group sector, and employment for one member of the family. For the children of these soldiers a quota provision was created in all professional colleges. A total of 19 families of the Kargil war victims have been provided with these welfare measures.The Tamil Nadu government also provided a sum of Rs. 50 lakhs to assist the people of Orissa that were affected by a storm. Apart from the financial assistance, the government also provided saris and dhotis worth Rs. 3 crores, milk powder worth Rs. 1 crore, life saving medicines worth Rs. 44 lakhs, and Rs. 2 lakh worth puffed rice and jaggery.A sum of Rs. 41.89 crores has been distributed as relief fund from the Chief Minister’s Relief fund since 13.5.96 to 19.10.2000.The committee formed to conduct research on the growth of southern districts and the ways to increase employment opportunities submitted its report to the government. The committee was headed by Justice Mr. Rathnavel Pandian and other members include Mr. R. A. Seetharamadoss as deputy chief and Mr. A. Venkatraman. The government implemented several projects based on the recommendations by the committee in the southern districts.Transport Department:Tamil Nadu transport department has received 7 out of the 10 awards issued by the National production efficiency committee in 1997 and three awards in 1997-98.For improving the transport infrastructure, 9,477 new buses were purchased and 1,468 new bus routes were formed.By ensuring strict due diligence and eliminating corruption in the bus body building and spare parts procurement, a sum of Rs. 141.44 crores was saved by the government.Mini bus service was introduced to enhance the transport facilities in the rural areas. Until now about 2,334 buses are in operation and permissions were granted for 2,112 mini buses.During the DMK period, the Tamil Nadu State offered the lowest bus prices per kilometer for Mofussil buses as compared to all other states in India.The registration fee for the vehicles and the fees to obtain special numbers was drastically reduced. For bikes that did not exceed 50cc the fee was reduced from Rs. 5,000 to Rs. 500. For bikes and auto rickshaws that exceeded 50cc the fee was reduced from Rs. 5,000 to Rs. 1,000. Moreover, for vehicles that cost less than 4 lakhs the fee was reduced from Rs. 5,000 to Rs. 3,000.During the DMK period, the currently active legislative assembly members were exempted from paying the registration fee for their vehicles. Additionally, they were also exempted from the fee for obtaining special numbers that they purchased in their names.The DMK government also accepted the long term demand made by the transportation employees with regards to the pension scheme.Youth welfare and sports department:It was the DMK government that established a separate department for the welfare of the youth.5,000 gyms and sports centers for youth were constructed during the DMK tenure. So far, 6,998 centers have been established for the same.The government has provided a sum of Rs. 12 crores for establishing gyms and sports centers at the rate of Rs. 25,000 each for 5,000 gyms and sports centers.The Tamil Nadu sports development authority convened a meeting under the chairmanship of Kalaignar on 8.2.97 to encourage extraordinary sports personnel through incentives and giftsOrders were issued to provide Tamil sports persons that win international tournaments with Chief Minister’s State Sports Award and cash price of Rs. 1 lakh. 12 sports people have been awarded a sum of Rs. 12 lakhs.The government awarded cash prizes to a tune of Rs. 24.15 lakhs to 118 sports persons that won medals representing Tamil Nadu in the 4th National Games held in Manipur.The government provided a high class residence worth Rs. 40 lakhs in the South Asian games village to Viswanathan Anand who won the world chess championship.The government also has ordered a monthly pension of Rs. 500 each to 13 former sports people that are in a miserable state.A sum of Rs. 2,25,000 was provided for flight charges to nine athletes who participated in the international sports meet in 1999-2000.Forestry and environment department:A giant project worth Rs. 499 crores named “Tamil Nadu forest development project” has been implemented since 1997-98 with financial aid from Japan. Until 1999, the project was completed in 5.60 lakh acres of land at a cost of Rs. 236. In 2000-2001 the project is being implemented in 200 villages on 1.89 lakh acres of land at a cost of Rs. 109 crores.In order to safeguard the wild animals, about 9 new animal sanctuaries were proposed to the central government. All of the proposals were approved by the central government and orders have been issued to establish sanctuaries in Trichy Karivetti, Erode, Velledu and Vadamugam Lake.The compensation for the victims of wild animal attacks was raised. Since 4.10.1996 for those who get killed or permanently disabled, the compensation was raised from Rs. 5,000 to 50,000. On 12.9.2000 it was again increased to Rs. 1 lakh. Additionally, for those who are seriously injured the compensation was raised from Rs. 3,000 to Rs. 10,000 on 4.10.1996 and again to Rs. 20,000 on 12.9.2000.An order was issued on 13.7.2000 to computerize the forest department at a cost of Rs. 3, 28, 98,000 through the government owned ELCOT institution.The government procured 21 new jeeps to replace the 21 older vehicles at a cost of Rs. 84 lakhs and handed them over to the forest department on 19.6.2000.A project proposal worth Rs. 1,700 crores for cleaning the city’s waterways, such as Coovum, Adayar, Buckingham canal, Otteri Lake, Mambalam outlet, and Captain Cotton canal have been sent to the center’s ministry of environment under the National River Conservation Project for financial aid. Moreover, under the National River Conservation Project other cities such as Trichy, Karur, Madurai, Nellai, Thanjavur, Kumbakonam, and Myiladuthurai will be greatly benefited. Under environment protection project cities such as Thiruchendur and Rameswaram will reap the benefits. The central government’s ministry for environment was consented to the project and has sanctioned a sum of Rs. 491.52 crores for the project on 29.9.2000. The project was started in Chennai on 1.1.2001.Cattle health:It was the DMK government which established a veterinary science university in 1990. It was a first of its kind and dedicated to the education and research on cattle.About 120 new veterinary hospitals and about 50 pharmacies have been established. Four veterinary hospitals in Karur, Tiruvarur, Ooty, and Mekirimangalam have been upgraded to first grade hospitals. During the ADMK regime from 91-96 only 60 new clinics were established, while under the DMK 2,126 new diagnostic clinics for cattle was established.The fee of Rs. 5 for pet checkup in the veterinary hospitals was abolished by the DMK government in 1996.The DMK government also abolished the fee of Re. 1 for deworming of cattle in veterinary hospitals in 1996. This move benefited 3, 62, 37,000 cattle.New buildings worth Rs. 2.56 crores have been constructed for the veterinary science university.174 veterinary doctors were appointed.Of the 1,185 employees that worked as daily wage laborers in cattle farms, a total of 887 personnel with ten years of experience were regularized in 1997-98.The heirs of 181 employees that died while in job in cattle protection department were provided jobs on passionate grounds.A sum of Rs. 1.05 crores was issued to poor farmers who had lost their cattle to the Blue tongue disease in the southern districts in 1997-98.Fishermen welfare schemes:During the DMK rule, under the “Singaravelar Housing Scheme” 20,000 houses was to be built for fishermen. So far, 12,665 housed have been completed. During the rule of the erstwhile ADMK rule only 4,824 houses were built. Furthermore, the expense for each house was increased from Rs. 32,000 to Rs. 37,000. In 1998-99 for the proposed maintenance of 2,000 houses of fishermen at a cost of Rs. 1 crore. The remaining maintenance works for 1,841 houses have been completed.A sum of Rs. 95, 40,270 was spent in installing 1,188 street lights in 323 colonies of fishermen. Connecting roads have been laid to 36 fishermen colonies at a cost of Rs. 1 crores. The government provided about 25 motorized vehicles worth Rs. 31.80 lakhs to the fisherwomen’s cooperative unions.The fishermen insurance amount was raised from Rs. 35,000 to Rs. 50,000 on 10.12.2000. Apart from this increase, the government also provides a sum of Rs. 15,000 via its insurance scheme.So far about 201 families of fishermen have been provided with a sum of Rs. 60, 62,500 under the fishermen group insurance scheme. Under the fishermen accident insurance scheme a sum of Rs. 2.45 crores has been provided to 902 families of fishermen.Under the savings and relief scheme, a sum of Rs. 58,68,39,780 has been disbursed to about 8,32,259 fishermen at the rate of Rs.270/month for four months, during which the fishing is prohibited, every year since 1996.During the DMK tenure, a subsidy worth Rs. 8, 34, 81,437 for about 6,675 engines and 1,521 fishing nets have been distributed. In order to motorize the traditional fishing boats, a sum of Rs. 12,000 for fixing internal engines and Rs. 10,000 for fixing external engines was provided as subsidy.The DMK government has also increased the diesel subsidy for fishermen from 35 paise per liter to 45 per liter since 1997-98. So far, 7000 beneficiaries have obtained a diesel subsidy of Rs. 5.21 crores. During the erstwhile ADMK government there were only 2,498 beneficiaries and the total amount spent on subsidy for diesel was just Rs. 62 lakhs.Five patrol boats, namely, Neelam, Kayal, Pavalam, Muthu, and Valampuri, at a cost of Rs. 4.5 crores, were deployed on 16.11.1999 in order to protect the fishermen of Tamil Nadu.A sum of Rs. 15,000 was provided to fisherwomen’s families, in cases of loss of their lives due to an accident and a sum of Rs. 7,500 to those who were being injured was provided from 2000-2001.If a fisherman goes missing and doesn’t return home from sea, the government provides a sum of Rs. 50/day to his family until he returns home. In case of loss of fisherman’s life is due to Sri Lanka firing. A compensation of Rs. 1 lakh is provided to the family of the victim. These benefits are being provided for the first time by the DMK government.Development of Small industries:During the DMK tenure a record sales worth Rs. 1,630 crores has been achieved through the 335 cooperative unions of small industries such as tea, sago, rope, matchbox, and handicrafts. During the rule of the erstwhile ADMK government from 1991 to 1995-96 the value of total sales was only 1,062 crores.During the DMK rule, a sum of Rs. 93.54 crores has been provided as capital subsidy for about 4,715 small scale industries. Whereas the erstwhile ADMK government had provided only a sum of Rs. 43.76 crores to 3,367 small scale industries during its five-year rule.During the DMK rule, about 14,779 small scale industries benefited to a tune of Rs. 32 crores as subsidy for the Low Tension Electricity. The erstwhile ADMK government during its five-year tenure provided electricity subsidy only to a tune of Rs. 8.94 crores.The DMK government provided a sum of Rs. 3.45 crores to 851 small industries as subsidy for generator. On the other hand the erstwhile ADMK government in its five-year tenure had provided only Rs. 1.3 crores as subsidy for generator.During the DMK rule postponing of sales tax without having to pay interest was provided to small scale industries to a tune of Rs. 214.36 crores. On the other hand the ADMK government had provided this concession only to a tune of Rs. 137 crores.About 1, 43,562 new small scale industries were established and a sum of Rs. 2,813.38 crores was invested in them. These industries provided job opportunities to about 12, 66,021 people.Housing Sector:The achievements of the DMK government in the housing sector as follows: about 12,946 plots at a cost of Rs. 5.67 crores were provided to the economically weaker section, about 9,345 plots and 5,952 at a cost of Rs. 21,71 crores were provided to the low income group, about 9,960 plots 8,600 houses and 493 apartments were provided to the middle income group at a cost of Rs. 126.08 crores, about 7,924 plots, 4,190 houses, and 2,907 apartments were provided for the high income group at a cost of Rs. 234.74 crores.Under the housing scheme for the Tamil Nadu government employees about 2,790 apartments were built at a cost of Rs. 115.31 crores and allotted to them.During DMK rule between the years 1996-2000 the board has generated a sum of Rs. 982.82 crores as income. On the other hand, during the erstwhile ADMK government’s five-year term, the board’s revenue was only Rs. 491.62 crores.The housing board has sold plots and houses to a tune of Rs. 785.67 crores. The sales during the five-year tenure of ADMK government were only Rs. 517.7 crores.About 948 housing apartments for government employees were built and allotted at a cost of Rs. 30.38 crores in district headquarters such as Tiruvallur, Villupuram, Theni, Perambalur, Karur, Toothukudi, Namakkal, and Nagapattinam.Additionally, 636 houses were built at the cost of Rs. 24.70 crores in Villupuram mega project campus, Tiruppur, Mettur, Salem, Nagercoil, Palayamkottai and Erode. These houses are being provided at concessional rents to government servants.About 240 fully furnished apartments for State legislative assembly members was built in the Omandurar government garden at a cost of Rs. 44.72 crores and was allotted to the members.Until 1995-1996 financial aid was provided to build 40,000 to 45,000 homes per year. DMK provided financial aid to build 70,000 to 80,000 houses is being provided via cooperative housing associations.Prior to 1996 housing loans were provided only to a tune of Rs. 150 to Rs. 200 crores per annum. DMK increased to Rs. 650 crores per annum.The ceiling on housing loan for the low income group was increased from Rs. 55,000 to Rs. 1 lakh and for the middle class it was raised from Rs. 80,000 to Rs. 2 lakhs. For the urban areas the housing loan provided for the cooperative housing associations was increased from Rs. 3 lakhs to Rs. 7 lakhs.Prior to 1996, financial aid was provided to build 30,000 homes for the poor in the rural areas. After 1996, financial aid was provided to build 50,000 houses.Of the 2, 68,654 houses built in the past 4.5 years about 1, 84,774 houses have been built in the rural areas. For the economically weaker section 1, 64,808 houses have been built. During the DMK tenure 68% of the rural population have benefited through housing sector.It was decided to reduce the registration value of the houses and apartments to the allotted land area during the sale.It was decided to abolish some of the rules such as producing house tax receipts before getting the deed.It was decided to include others apart from the selected section. These include employees of public sector/ private institutions, central government staff, employees of government aided institutions, journalists, employees of nationalized banks, and employees of nationalized insurance companies.It was also decided that the houses built by the housing board can be converted to either government employees’ quarters or police quarters in the areas necessary.It was decided to collect the prescribed registration fee for those who were allotted houses under the low cost employees’ housing scheme as per their allotment order.Tamil Nadu slum clearance board:The board was established by the DMK government in 1972 for the benefit of the poor and the middle class. During the five-year tenure of the ADMK government from 1991 to 1996 a total of 6,666 apartments at a cost of Rs. 47.82 crores were constructed. During the DMK reign, a total of 13,001 apartments were completed at a cost of Rs. 138.39 crores.During the budget session of 1996-97, an order by the DMK government was issued which enabled people living slum clearance board houses to own property deed for their houses. As per the announcement, about 41,000 houses have become the properties of the poor.In order to enhance the environment in the slum areas of the cities, the basic facilities such as roads, streetlights, creating rain water harvesting infrastructure, drainage, building bathrooms and toilets was built by the board in the urban areas. The scheme intends to convert the slums into pleasant living areas and thus enhance the environment.Under this scheme during the ADMK rule from 1991 to 1996 about 65,007 families benefited and a sum of Rs. 9.93 crores was spent on the project. On the other hand, during DMK rule, 1, 04,903 families have benefited and a sum of Rs. 20.10 crores was spent for the scheme.In cities like Chennai, fire accidents occur often in slums due to which there is heavy loss of property and life. During 1998-99 budget session, with the aim of preventing such incidents, Kalaignar had announced 50,025 houses in slums to be provided with asbestos roofs. 28,018 families have been provided with stone walls and asbestos roofing at a cost of Rs. 37.70 crores.With financial aid from the world bank, under the Tamil Nadu city enhancement scheme, houses with all basic facilities was provided to cities Chennai, Madurai, Erode, Coimbatore, Salem, Trichy, Vellore, Tirupur, Tirunelveli, and Thoothukudi. Enhancement works worth Rs. 4.22 crores was done in the slum areas under the scheme in 1996-98 and about 3,293 families have benefited from the scheme.The Tamil Nadu slum clearance board during the period from 1996-99 has spent Rs. 14.5 crores toward the maintenance of the apartments allotted for the slum dwellers. The maintenance works included repairing stairs, floors, and sealing leaks, laying tiles on ceilings, and plastering walls of 47,500 houses across various cities in Tamil Nadu including Chennai.The government held a discussion on the unsold houses and flats built by the housing board and urban development department on 8.1.2001. It was found that the board followed a procedure which included the interest of cost of completed buildings while selling them. There were houses that were completed before 30.6.2000 and which had not been sold until 31.12.2000. The government issued an order to shun the old procedure of including the interest during the sale.The government also issued orders to keep the registration cost of the houses and apartments according to the prices determined during allotment.Orders were also issued abolishing certain rules producing house tax receipts before obtaining the sale deed.It was also decided to include the “others” apart from the selected section. These included employees of public sector/ private institutions, central government staff, employees of government aided institutions, journalists, employees of nationalized banks, and employees of nationalized insurance companies. Government orders were issued in this regard.Orders were issued to collect the registration fee only according to the allotment order for those who were allotted houses under the low cost employees’ housing scheme as per their allotment order.The construction of the mofussil bus stand at Koyambedu was commissioned.The erstwhile ADMK government had only spent Rs. 213.82 crores on drinking water projects in 1995-96. On the other hand the DMK government had spent about Rs. 842 crores in 2000-2001 on drinking water projects.The total number of overhead tanks built in Tamil Nadu until 1996 right from the year of independence was 17,501. During the DMK government tenure 24,793 overhead tanks was built.The number of bore well hand pumps installed in Tamil Nadu in the 50 years after independence was 1,44,102. On the other hand, the number of pumps installed in the four and half year tenure of the DMK government is 33,576.The erstwhile ADMK government had allocated a sum of Rs. 69.93 crores for the rural drinking water projects. On the other hand, in 2000-2001, the DMK government allocated a seven-fold increase of Rs. 500 crores for the rural drinking water projects.A total of Rs. 307.43 crores was allocated for the rural drinking water projects during the erstwhile ADMK government from 1992-93 to 1995-96. The DMK government, on the other hand, had allotted a total of Rs. 1,503.79 crores for rural drinking water projects from 1996-97 to 2000-2001.A total of Rs. 307.43 crores was allocated for the rural drinking water projects during the erstwhile ADMK government from 1992-93 to 1995-96. The DMK government, on the other hand, had allotted a total of Rs. 1,503.79 crores for rural drinking water projects from 1996-97 to 2000-2001.During the DMK tenure for the rural housing projects, 6,300 households were provided with safe drinking water in 1999-2000 at an expense of Rs. 378.5 crores.The government issued a GO on 9.12.98 extending the power of village Panchayat to provide drinking water supply to houses, if the owners were ready to pay a deposit or Rs. 1,000 and a monthly fee of Rs. 30.Apart from Tamil Nadu, no other state in India, has achieved as many as 4,06,000 connections of drinking water pipes in rural areas as it had under the DMK tenure.The facility of availing drinking water supply connection at homes was only available to urban dwellers. For the first time, under the DMK tenure the facility was extended to the rural dwellers as well.24,720 out of 32,203 habitations were provided with safe drinking water.For the first time in the Indian sub-continent, Tamil Nadu is the only state to increase the supply of safe drinking water from 40 liters to 55 liters in the rural areas.3,555 habitations in 1,288 Panchayats were affected by the presence of Fluoride. A plan costing Rs. 132 crores was initiated and implemented to provide the people in these habitations with safe drinking water.Under the scheme to provide at least 1000 liters safe drinking water to 18,511 government schools comprising of primary, middle, high and higher secondary schools, about 4,417 schools have been provided with the drinking water facility at a cost of Rs. 2.58 crores.In the district of Ramanathapuram, 11 projects (cells) for converting brackish water into potable water were implemented at a cost of Rs. 72.2 crores.Asia’s largest seawater-based desalination plant at Narippaiyur in the district of Ramanathapuram was implemented on 27.6.1999 at a cost of Rs. 51 crores.The combined drinking water project at Palayamkottai in Tirunelveli district was completed at an expense of Rs. 6.63 crores.Drinking water project in Vasudevanallur Town Panchayat was completed at a cost of Rs. 1.3 crores.Sayarpuram combined drinking water project in the Thoothukudi district was completed at a cost of Rs. 95 lakhs.The drinking water project in Perungulam Panchayat was completed at a cost of Rs. 1.11 crores.The combined drinking water project in Kadambur Panchayat was completed at a cost of 1.32 crores.The combined drinking water project at Rosalpatti and 11 other habitations in Virudhunagar district was completed at a cost of 3.25 crores.The drinking water project at Palani municipality in Dindigul district was completed at an expense of Rs. 9.98 crores.The drinking water project at Mettupalayam municipality in the Coimbatore was completed at a cost of Rs. 9.51 crores.The combined drinking water project for three habitations at Kunnur Panchayat Union in district of Nilgiris was completed at a cost of Rs. 1.45 crores.The combined drinking water project for 127 habitations at Vellakoil and Kangayam Panchayat Unions in Erode district was completed at a cost of Rs. 4 crores.The combined drinking water project at Kangayam Panchayat was completed at an expense of Rs. 6.55 crores.The drinking water project at Komarapalayam municipality in Namakkal district was completed at an expense of Rs. 9.44 crores.The combined drinking water project for 49 habitations in Magudanchavadi and Konganapuram Panchayat unions in Salem district was completed at a cost of Rs. 2.44 crores.The drinking water project at Polur Panchayat in Tiruvannamalai district was completed at a cost of Rs. 65 lakhs.The drinking water project at Sevilimedu Panchayat in Kanchipuram district was completed at a cost of Rs. 1.64 crores.The drinking water project at Sembakkam Panchayat was completed at an expense of Rs. 3.29 crores. The combined drinking water project at Puzhal Panchayat and 10 other rural habitations in Tiruvallur district was completed at a cost of Rs. 3.98 crores.The drinking water project in Thirunidravur Panchayat was completed at a cost of Rs. 3.25 crores. The combined drinking water project at Kallakurichi Panchayat in Villupuram district was completed at a cost of Rs. 5.26 crores.The combined drinking water project at Chinnasalem Panchayat in Villupuram district was completed at an expense of Rs. 5.84 crores.The drinking water project at Thanthoni Panchayat in Karur district was completed at a cost of Rs. 4.96 crores.A sum of Rs. 14.23 crores was spent on enhancement and development of the drinking water projects in the corporation limits of Trichy city in Trichy district.A total of 48 drinking water projects including the above mentioned important ones were completed at an expense of Rs. 129 crores. These drinking water projects will be beneficial to 21-lakh people. Apart from this, 119 new drinking water projects will be undertaken this year. These drinking water projects will benefit about 30-lakh people.During the DMK tenure, it had launched the Hogenekkal Combined Water Supply Scheme at a cost of Rs.1929 crores with the assistance of Japan Bank for International Cooperation. · The DMK tenure had launched the Ramanathapuram – Paramakudi Combined Water Supply Scheme at a cost of Rs.630 crores.The government announced that the Tamil Nadu laborers (work regularization and work terms) Act was promulgated by DMK 15.6.1997.Tamil Nadu stood first in Industrial peace : During our tenure, there was no major strike, shut down or long term closure in any of the industries in Tamil Nadu. This is the witness for the government’s interest in the welfare of the employees.The Confederation of Indian Industry after a research on all India level submitted its report. It stated the Tamil Nadu ranks first in Industrial peace and employees welfare. Gujarat and Andhra Pradesh were listed in the second and third places respectively.About 2,500 load-men who worked as casual laborers in Consumer Goods Commerce Corporation were regularized during our regime.About 7,651 contract workers in the thermal power station and in the gas turbine power station were regularized since 1.1.1999.Newly registered industries : The number of industries registered in the beginning of 1996 was 23,053. During the past 4 years an additional of 4,938 industries were newly registered and they were brought under the Industrial act. In the beginning of the year 2000, the total number of registered industries was 27,991.Providing permanent jobs for the employees : According to the 1981 law that makes the employees permanent, about 87,580 workers from various industries were made permanent employees.Solution for bonus issues : It has been customary for the various government and private sector units to provide bonuses to the workers. At times, there may be issues regarding the bonus and if these issues were not sorted out on time, it may develop into a protest and affect the entire state. The officials in the employees welfare department have been very cautious and have solved several issues meticulously.Reopening of closed units : The Dunlop India Industry, Kongarar cotton mills, Thanjavur textiles, Quality spinners, Palaniandavar cotton and synthetic textiles, KaKa Shoes, and Annamalaiyar textiles among the 27 that were locked out. Due to the efforts of the DMK government these industries were reopened after the DMK formed the government in 1996.Compensation for the employees of locked out industries : The government announced a financial aid of Rs. 250 in the month of May 1999 for the employees of industries which were locked for a long duration. Efforts were made to compensate affected workers of 87 industries.Reduction in number of accidents : Although a number of new industries were established every year, due to the efforts of industrial inspectors and due to the safety awareness programs and due to the continuous enhancement programs, the number of accidents has been drastically reduced.Welfare scheme for physical laborers (construction workers) : The welfare scheme which was functional only in Chennai, Madurai, and Coimbatore was extended throughout Tamil Nadu since 15.6.97. This effort of the government increased the registered members of the board to a dramatic number of 2 lakh 70 thousand and 170 when compared with the meager 25,000 during the erstwhile government. In order to implement the welfare schemes for the construction works the physical laborers general welfare fund was created.Welfare schemes implemented by the welfare board of construction laborers : All of the registered members of the welfare board have been insured under the group insurance scheme. The premium required for the insurance is being paid by the welfare board. If a registered member dies in an accident a sum of Rs. 1 lakh will be provided and if the member is injured, then the sum is decided according to the nature of injury up to Rs. 1 lakh. Until 9.5.98 the sum provided for the death of an employee was Rs. 50,000 and it has been increased to Rs. 1,00,000 since 10.5.1998. A financial aid of Rs. 5,000 was provided if the worker attains natural death.Welfare boards for non-organizational employees : Keeping in mind that the non-organized workers often do not get the benefits of employees welfare schemes, the DMK government appointed a committee in 1997 and established a welfare board for the non-organized workers based on their recommendations. The board offers several benefits to the non-organized workers. A few of the various occupations under this board that contained 61 sectors were separated welfare boards were set up for each one of them. The newly formed welfare boards were as follows: Tamil Nadu auto-rickshaw and rented vehicles drivers welfare board, Tamil Nadu laundry workers welfare board, Tamil Nadu barbers welfare board, Tamil Nadu tailors’ welfare board, Palm Tree workers welfare board, Handicraft workers welfare board, Agricultural workers welfare board, and seven more welfare boards were established this year in the DMK rule for the welfare of workers.The demand of the cartoonists and wall artists were accepted and a separate welfare board was formed for the artists that have drawing as their profession.Apart from this a welfare board was formed for footwear and tannery workers. A separate welfare board for handloom and handloom silk weavers was established.Compensation for accidents scheme - Families of workers who died in the accidents were provided with a compensation of Rs. 1 lakh. Those who are injured in the accidents were provided with compensation according to the level of the injury up to a sum of Rs. 1 lakh. A sum of Rs. 10,000 will was awarded to workers that die a natural death.Maternity welfare scheme - A sum of Rs. 1,000 per child for two children was announced to women workers as maternity aid. If a worker undergoes abortion a sum of Rs. 500 was announced as assistance.Hosing board for garden workers : The administration of the garden workers housing board built about 43,694 houses for the garden workers. Of the total number of garden workers about 98% of the garden workers have been provided with housing facility. Tamil Nadu stood number one in this achievement.Medical facilities : For the institutions that do not have hospital facilitates, the workers can obtain the treatment from the nearby private hospitals and get the amount reimbursed from the management.Electricity : In order to monitor the process of providing electricity to the homes of garden workers, a monitoring committee has been formed under the district collectors with members from the administration and workers.Permanent job : Due to the efforts of the DMK government, about 4,391 garden workers who weren’t made permanent employees were made permanent.Abolishing child labor : Although the evil of child labor exists across the globe, In India, especially in Tamil Nadu, the government is aggressive, when it comes to abolishing the child labor. Whatever the reason be, for employing children, the government is keen to put an end to the evil. A lawsuit has been filed against the owners of the organizations that employed children.Special schools : About 327 special schools were formed in Virudhunagar, Pudukkottai, Thoothukudi, Trichy, Salem, Coimbatore, Vellore and Dharmapuri districts and about 15,405 children were being educated.Awareness on child labor : The UNICEF had allotted a sum of Rs. 24,31,500 in 1998 for child labor awareness program. Utilizing the fund, several awareness programs on child labor, such as processions, debates, and cultural programs, and human chains among others were conducted. Advertisements on All India Radio on child labor were broadcast for sixty days by the employee welfare department. Advertisements on child labor in 20 lakh post cards at the cost of Rs. 2 lakhs were utilized for the awareness program.Minimum wages : After the DMK formed the government in 1996, about 17 non-organizational industrial sectors were included in the chart of minimum wage law.Beedi workers : Photo identity cards for family members of the beedi workers was provided. The government also streamlined the procedure to provide housing facilities for the beedi workers.Employment exchange : An order was issued on 2.2.2000 to provide an age relaxation of one year for every three years from the date of registration up to a maximum of five years for candidates who registered in the employment exchange with a qualification lesser than 10th standard. Employment exchange offices were established in the newly formed districts such as Thiruvallur, Namakkal, Theni, and Thiruvarur on 7.2.1997 and In Perambalur and Karur districts on 4.11.1997.In 1969, the Mayday became a paid holiday. For the first time in the history of India, a law on rights of long term residents was implemented and the agricultural laborers were provided the houses in which they stayed for a long time. A total of 1,73,748 agricultural laborers were provided with patta for the plots.It was the DMK government that renamed the Napier Park as Mayday Park and installed the Mayday memorial symbol.The Page Not Enough to Say Sorry !

The New Regulations apply to the transfer of technology from overseas to China or vice versa. Technology transfer may take one of the following forms, no matter whether the transfer is effected by way of trade, investment or technological cooperation.Transfer of patent rightTransfer of the right to apply for a patentLicence to implement Patent licensingTransfer of know-howTechnical services; orTransfer of technology through other means, e.g. through import and export of complete set of equipment, high-tech products and production lines, co-design etc.Categories of technologiesUnder the New Regulations, imports and exports of technology are grouped into three categories, namely (a) free; (b) restricted; and (c) prohibited.The MOFTEC publishes lists of restricted and prohibited technologies from time to time. Any technologies not included in those lists are treated as falling within the free category. In December 2001, MOFTEC and the State Economic and Trade Commission jointly issued the first batch of technologies whose import or export is subject to prohibition or restriction. There may be a few to follow thereafter.New system for import or export technology contractsFree Imports or Exports: RegistrationFor import or export of free technologies, government approval is no longer a precondition for the effectiveness of the contracts. Parties to a contract for the import or export of free technologies may now agree on that the contract will come into force on execution.Registration for a free import or export contract can be completed within 3 working days after MOFTEC or its local delegate receives all necessary documents. Documentation includes formal application for registration, a duplicate copy of the relevant contract and documents evidencing the legal status of the contract parties. On-line registration is also available.Upon registration, a registration certificate is issued to the applicant. The registration certificate is critical. This certificate is required to be presented when the Chinese importer or exporter deals with foreign exchange, banking, tax and customs formalities for payment under the contract. Without a valid registration certificate, Chinese licensees may not obtain foreign exchange at the banks for payment of any royalties due under the contract.Restricted Imports or Exports: LicensingA formal licence is required for the import and export of restricted technologies. Contracts for the import or export of restricted technologies must be conditional on the issuance of the import or export licence from MOFTEC or its local delegates.To obtain a licence, an applicant normally needs to go through a two-phase approval process:Step 1: An applicant needs to apply to MOFTEC or its local delegates for a letter of intent for the grant of a licence (which is in fact a preliminary approval) before it enters into any import or export contract.Under this phase, MOFTEC (or its local delegate) normally needs 30 working days after the receipt of all necessary documents to examine, and decide on whether or not to approve an application.Step 2: An application must be made for a formal licence after the parties signs the import or export contract. A copy of such a contract must be lodged with MOFTEC (or its local delegate) in support of the application.The MOFTEC (or its local delegate) normally needs 10 working days (in the case of import) or 15 days (in the case of export) to decide on whether or not to issue a licence.For applying an import licence, the two steps illustrated above can be combined by submitting a signed contract and other relevant documents to MOFTEC (or its local delegate).Likewise, obtaining a licence for import or export of restricted technologies is significant for foreign exchange, customs declaration and tax purposes.An Exception - Use of Technologies As Capital ContributionIn respect of foreign-funded companies in China, a foreign investor may contribute technology rather than cash or other means to the investee company as capital. In these circumstances, a different approach is adopted for the import of such technologies. The import will be examined or registered simultaneously with the examination and approval procedures for the establishment of the investee company.Under this approach, a technology import contract is submitted to the authority together with the other constitutional documents of the company-to-be-established (e.g. joint venture contract). The import contract is approved simultaneously with the approval of the establishment of the company.In lieu of a registration certificate or a licence, a letter of reply issued by MOFTEC (or its local delegate) approving the establishment of the enterprise with reference to the technology contract would suffice to document the approval of the technology contract. Where the reply has no reference to the technology contract, a confirmation letter issued by MOFTEC together with the reply will suffice to document the approval.In these circumstances, the letter of reply or a confirmation letter should be used for foreign exchange, customs declaration and tax purposes.Other ChangesApart from the new registration or licence system, the New Regulations have in many other aspects relaxed the government control on the import or export of technologies.Under the old system, the term of a technology import contract cannot exceed 10 years unless a special approval was obtained from MOFTEC (or its local delegates). This has now been eliminated. The old requirement that the obligation of confidentiality should normally not exceed the term of the import contract has also repealed. Contract parties may now agree on the term of confidentiality without government interference.Like the 1985 Regulations, the New Regulations also contain a list of clauses that may not be included in an import technology contract. These include any clauserequiring the licensee to accept ancillary conditions that are not absolutely necessary for the importation of the technology, including the purchase of technology, raw materials, products equipment or services that are not necessaryrequiring the licensee to pay royalties or to undertake relevant obligations for the technology after the expiration of the validity of the patent or after the declaration of invalidity of the patent;restricting the licensee from making improvements to the technology provided by the licensor or restricting the licensee from using improved technology;restricting the licensee from acquiring from other sources technologies similar to, or competitive with, the technology provided by the licensor;unreasonably restricting the channels or sources from which the licensee buys raw materials, parts and components, products or equipment;unreasonably restricting the quantity, type or sale price of the products manufactured by the licensee; and/orunreasonably restricting the export channels of the products manufactured by the licensee with the imported technology.Generally, the new list of restrictive clauses is less stringent than its equivalent under the 1985 Regulations. For instance, under the 1985 Regulations, a technology import contract could not contain a provision preventing the Chinese party from using the imported technology after the expiration of the contract in question, unless a special approval is secured. This prohibition has been eliminated under the New Regulations. Parties to a contract may now negotiate on the terms for the continuous use of the imported technology after the expiry of the contract. In some other cases, a "reasonableness" test is now applied to a number of provisions that used to be absolutely prohibited under the old regime, which means that reasonable restrictions are now permissible in certain circumstances, e.g. reasonable restrictions on Chinese importer's ability to procure raw materials, parts and components and equipment; the quantity, type or sale price of the products produced by the Chinese importer and on the export channels of the products manufactured by the Chinese importer are now allowed.Clarification neededWhile the New Regulations, in a number of aspects, improve the system for the free trade of technology, there are still some issues left for clarification. For instance, in relation to the restrictions on the procurement of raw materials, parts and components and equipment; the quantity, type, sale price and export channels of the products using the imported technologies, it is unclear what is the test for ascertaining the reasonableness. It seems guidelines are needed.More confusingly, as an import contract for free technologies is allowed, under the New Regulations, to take effect from the execution, it is unclear whether MOFTEC (or its local delegates) has discretional power to decide that any provisions of the contract are invalid on the grounds that they contain restrictive contents.For more information, please contact Luke Filei on [email protected] or + 86 21 628 96363.