Article 11. Any central institution  pursuant to Article 8 shall apply to China's State Administration of Radio, Film, and Television for  approval to establish a  pay channel; other institutions pursuant to Article 8 shall apply to the local administrative department of radio, film, and television above the city level and then shall apply for subsequent approval to China's State Administration of Radio, Film, and Television; in the case of joint establishment of pay channels, all parties shall be examined and approved by the local administrative departments of radio and television at or above the municipal levels and at subsequent higher levels and one of the establishing institutions shall submit the application to China's State Administration of  Radio, Film, and Television..

 

Article 12.  The applicant to establish a  pay  channel shall apply within the prescribed time period and submit the prescribed written material. The administrative department above the city level shall make a decision on examination within 20 days from  the day of receipt. In the case that a decision cannot be made, the person in charge of the  administrative organ may extend the time limit for 10 days and notify the applicant  of the reasons for the extension.

 

Article 13. China's State Administration of Radio, Film, and Television shall examine the application to establish a pay channel within 30 days..

 

If the application is approved, China's State Administration of Radio, Film, and Television shall reply and issue a  Permit for a  Pay Radio or Television Channel after the examination; if the application is not approved,  a written notice with the reason for rejection shall be given to the applicant.

 

The Permit for a  Pay Radio or Television Channel is valid for three years from the date of issue..

 

Article 14. The establishing institutions shall begin to  broadcast the pay channel after obtaining the Permit for a Pay Radio or  Television Channel within 180 days; otherwise the Permit shall be withdrawn by China's State Administration of Radio, Film, and Television .

The establishing institutions shall engage in the business activities of the channel concerning its  subject, orientation, scope of its programs, call signs, logos,, identification numbers, and broadcasting regions;  cases of necessity to make alterations must be approved by China's State Administration of Radio, Film, and Television..

Article 15. Those applying to terminate the permit shall declare to China's State Administration of Radio, Film, and Television 6 months in advance according to the   original examining and approval  procedures..  Temporary suspensions for special conditions shall be approved by China's State Administration of Radio, Film, and Television; those failing to carry out their operations for more than 7 consecutive days, or a cumulative total of more than 15 days without approval shall be considered terminated.  In the case of termination, the relevant procedures together with matters concerning the  consequence of termination shall be dealt by the institution in accordance with the relevant regulations and agreements.

 

Article 16. The pay channel shall be broadcast by the broadcasting institutions establishing the  pay channel or by the commercial institutions approved by China's State Administration of Radio, Film, and Television and shall be integrated by the integrated commercial institution.  The institution that is approved to engage in integrated operations of the pay channel within the territory of the country shall operate and sell the pay channel within the territory of the whole country as entrusted by the establishing institutions.

 

The approved commercial institutions for integrating the pay channels shall not take unauthorized actions to adjust or alter the content of the pay channel, to integrate pay channels that have not been approved, or to refuse to integrate  lawfully approved pay channels.

 

Article 17.  The integrated pay channels shall be transmitted to commercial institutions for consumer access,, which will be in charge of providing pay channel access services.

The commercial institutions for pay channel transmission  and the  commercial institutions for consumer access shall not take any unauthorized actions to adjust or alter, intercept, transmit, diffuse, or store the contents of the pay channels, or  transmit or provide any pay channels that have not been approved or confirmed in accordance with the present Provisions..

 

Article 18. Those engaging in the broadcasting, integration, transmission, and access activities shall build a security system for safe operations in accordance with the technical system, standards, and criterion for using equipment and systems for which there is a network authentication certificate and shall establish a  relevant technical platform, which shall be put in use after passing the examination and acceptance.

 

Commercial institutions for consumer access shall build a connection  system for  pay channels on a technical platform of operations supervision according to the provisions and shall not take any unauthorized actions without such a connection system..

 

Article 19.  Each commercial institution of the pay channels, in accordance with the relevant provisions, shall sign contracts to stipulate the cost accounting and to apportion the expenses, income, and distribution.

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