Workers get overdue money after boss flees - 1997
       
       MORE than 400 workers of a Taiwan-funded electrical
appliances factory in Shenzhen have received in-arrears salaries
for October, yesterday's Shenzhen Special Zone Daily reported.
       
       Yifeng Electrical Appliances Co, set up in 1991, is a solely
Taiwanese-invested enterprise specializing in production of
electrical fans. On October 25, its boss, whom the newspaper
failed to identify, suddenly left the factory and remains missing.

       More than 400 workers could not get their due salaries and
had to go to both the Bao'an District Labour Bureau and Court for
a solution.
       
       According to Bao'an District Court, since 1995, there have
been cases reported to the court accusing Yifeng Electrical
Appliances Co of debt defaults, and so far the Yifeng company has
left a total of 20 million yuan ($2.4 million) in debt , which
concerns at least 10 debtor companies.
       
       The newspaper also noted that, leaving factory buildings and
equipment as a pledge, the Yifeng company has also had bank loans
worth more than 50 million yuan ($6.02 million).
       
       After receiving a lawsuit from the workers, the Bao'an
District Court sealed up some parts of the company's factory
buildings and equipment. But last week, court officials found that
the Yifeng company has transferred some property and that the boss
had gone missing.
       
       To accommodate more than 400 workers and protect their
interests and rights, the district's labour bureau and court made
great efforts in co-operation with Shenzhen's auction office to
raise 300,000 yuan ($36,144), to pay due salaries of the workers.
The court also made a decision to seal up the company.
       
       The newspaper said in the past two years there have been
many reports in Shenzhen in which some bosses of overseas-funded
firms have gone missing so as to avoid paying debts.
       
       Local court and labour bureau officials have urged relevant
government departments and Chinese side partners of such firms to
pay close attention to production and debts.
       
       They also asked the banks to strengthen trust and confidence
examinations for overseas-funded firms when deciding whether to
make loans. (CD News)
        
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       _Date: 11/04/97_
       _Author: _
       _Copyright© by China Daily_

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