Recently, the Ministry of Finance (MOF) issued the Notice of the General Office of the Ministry of Finance on the issuance of the Measures to Strengthen the Joint Supervision of Asset Appraisal Industry > (hereinafter referred to as the Notice), which sets out the requirements for the Supervision and Appraisal Bureau of the Ministry of Finance and the China Asset Appraisal Association to establish and implement the joint supervision and supervision working mechanism of the asset appraisal industry. Officials from the Ministry of Finance said that asset appraisal is a modern high-end service industry, an important professional force in economic and social development, and an important basic work in financial management. The announcement of the Notice aims to strengthen the supervision of finance and accounting, make the administrative supervision and self-discipline of the asset appraisal industry organic integration and coordination, transform the advantages of the regulatory system of the asset appraisal industry into governance efficiency, and promote the sustainable and healthy development of the asset appraisal industry.

"The main characteristics of joint supervision can be summarized as adhering to the 'five unification' and implementing the 'one inspection and two penalties'." Treasury officials said the finance supervision and evaluation of the past, China association of assets evaluation respectively in administrative inspection, discipline inspection of the asset appraisal institution, while the coordinating avoid the repeated inspection of the same year on the same institution, but objectively there are still check the higher density, cycle is long, the standard size is not the same. After the implementation of joint regulation, will follow "unified inspection plan, unified norms and procedures, implementation of unified standard, unified organization, unified handling punishments, unified announcement" principle, to form a joint inspection teams to carry out the annual professional quality inspection, the inspection found that the problem for joint trial, in accordance with the law in accordance with the rules of related institutions and personnel to implement administrative disciplinary punishment, industry self-discipline.

In daily work, it adheres to the "combination of point and surface" and realizes the normalization of "surface supervision". Conduct daily data analysis by means of information technology, grasp the general situation of the industry, find out the clues of relevant problems through risk identification, and propose the focus of supervision and relevant measures. For high-risk industries, fields, businesses, etc., take the form of interview, risk reminder letter and other ways to remind the relevant asset appraisal institutions daily. Assets appraisal institutions shall be organized to conduct self-examination and self-correction for common problems found in the supervision work. If necessary, the China Asset Appraisal Association shall carry out special self-regulation inspection, and "look back" and help the "problem institutions" found in the inspection.

Relevant officials of the Ministry of Finance also said that they would strengthen the use of supervision results, and put assets appraisal agencies and personnel who have seriously violated relevant laws and regulations and repeatedly committed violations on a "blacklist" of trust-breaking and share them with other supervision departments. Typical cases found in joint supervision should be exposed to deter illegal activities.

It is reported that after the smooth implementation of the joint supervision of CPA industry in 2020, the "second order" of the Ministry of Finance focuses on strengthening the supervision of finance and accounting and implementing the joint supervision of administrative organs and industry associations on the competent industry. At this point, the Ministry of Finance has achieved "full coverage" of joint supervision of certified public accountants and asset appraisal industry.

Source: Ministry of Finance, PRC