Shanxi "Jincheng" cable Guiyang, Guizhou suffered "ten thousand controversial tickets"

From August 26 to 31, the fifth Shanxi Brand Festival was held in Taiyuan. One of the province’s “Chinese Well-known Trademark” products that won the provincial government’s million-dollar prize was issued a controversial fine of 10 million yuan by Guiyang Quality Supervision Bureau. Two foreign companies directly suffered huge losses, while the trademark holder was Shanxi. The impact of brand reputation suffered by a company is even more incalculable.

The total number of tickets was 11.95 million yuan. It was Guiyang Jincheng Wire & Cable Co., Ltd. (abbreviated as “Jiyang Jincheng”) and Tianjin Jincheng Wire & Cable Co., Ltd. (abbreviated as “Tianjin Jincheng”). The trademark holder of the product “Jincheng” cable product is Taiyuan Jincheng Wire & Cable Co., Ltd. (abbreviated as “Taiyuan Jincheng”). The company's “Jincheng” trademark is also one of the few “Chinese well-known trademarks” in Shanxi. "The Shanxi Provincial Government had a special award of 1 million yuan.

Ten million tickets August 10, Guiyang City Bureau of Quality Supervision held a news briefing and announced the end of April last year seized Guiyang Jincheng Wire & Cable Co., Ltd. suspected of illegal cable case: the involved persons Guiyang Jincheng Wire and Cable Co., Ltd. and Tianjin City Jincheng Wire & Cable Co., Ltd. penalized them separately and imposed a total fine of 11.95 million yuan.

On August 22nd, Guiyang Jincheng and Tianjin Jincheng Company held a press conference in Beijing. Guiyang Jincheng official Wang Zhongqiu stated that Guiyang Jincheng Department Tianjin Jincheng agent distributor in Guizhou, Guiyang Bureau of Quality Supervision opened. There is no legal basis for the enforcement of a large amount of tickets and it is an illegal law enforcement.

Afterwards, the relevant person in charge of the Quality Supervision Bureau of Guiyang City once said to the media concerned that the administrative enforcement of our laws is in accordance with the legal basis. If Wang Zhongqiu has objections, he can wait for the results of the administrative reconsideration of the Guizhou Provincial Government.

Guiyang City Quality Supervision Bureau provided to the media, "Guiyang Jincheng administrative reconsideration reply" shows that by the end of April 2010, Guiyang City Quality Supervision Bureau in the city of Xiaohe District, Guizhou Dingli Machinery Electronics Co., Ltd., found a large number of printed plants Tianjin Jincheng Wire & Cable Co., Ltd. is called "Jincheng Cable" and the nameplate of the product is distributed. The on-site article custodian stated that this place was a warehouse in Guiyang Jincheng, and the company’s responsible person refused to provide relevant information after arriving on the scene. The quality supervision personnel randomly sampled the site for inspection. The preliminary test results showed that the conductor resistance of the cable did not meet the mandatory standards, and there were major hidden dangers that endangered the safety of people and property. Subsequently, the Guiyang Municipal Bureau of Quality Supervision initiated investigations on the grounds of unsatisfactory Jincheng Cables and seized more than 100 Panjin Cables.

In this regard, Wang Zhongqiu is another way of saying: Because the law enforcement officers of the Guiyang Bureau of Quality Supervision did not show the relevant documents and procedures, we did not agree with their corresponding requirements. He said: "The City Quality Supervision Bureau did not issue any legal documents, decisions, etc. to seize our goods. After more than 10 days, the company was notified to go to the Guiyang Electric Wire Factory Warehouse to check and seize the goods and make a list."

On April 29, 2010, the Guiyang Municipal Bureau of Quality and Technology Supervision initiated investigation on Tianjin Jincheng's suspected unsatisfactory production of "Jincheng Cable," and made the (Construction) Quality and Technical Supervision and Sealing (2010) No. 3-04- No. 07 seizure decision. On the following day, the Guiyang Municipal Bureau of Quality Supervision carried out samples of 25 batches of samples from the seized cables. After inspection, the results did not meet the criteria and were unqualified products.

The Guiyang Jincheng Administrative Reconsideration Reply shows that in April 2011, the Guiyang Quality Supervision Bureau requested the hearing of Guiyang Jincheng and Tianjin Jincheng, and the Guiyang Quality Supervision Bureau confirmed after the hearing that the two companies had violated the regulations. The relevant provisions of the "People's Republic of China Product Quality Law" impose a fine of 5,970,645.55 yuan on the amount of the value of the illegal product of the two companies, totaling more than 11.95 million yuan, and confiscated 104 illegally produced products.

Criticism of the Standard "When looking at the seized goods, we found that the cable has been damaged, distorted, water infiltrated, etc. In fact, the seized cable has no test conditions." Wang Zhongqiu explained that the cable is under external pressure. In the lower, twisted deformation, too small bending, excessive stretching, the direct current, resistance and other properties of the conductor under the state of water ingression of the cable will be deteriorated, and it may not be able to meet the factory qualified index data.

The "Tianjin Jincheng Administrative Reconsideration Reply" provided by the Guiyang Municipal Bureau of Quality Supervision indicated that on June 13, 2010, Guiyang Jincheng Company filed an administrative lawsuit in the People's Court of Nanming District of Guiyang City. On September 14, 2010, the court found that The Municipal Quality Supervision Bureau has made clear facts about the administrative compulsory measures of the cables involved in lawsuits and the procedures are legal.

Guiyang Jincheng Co., Ltd. did not accept the court of first instance appeal to Guiyang Intermediate People's Court. On January 10, 2011, the Guiyang Intermediate People's Court made a final judgment and upheld the Nanming District Court's decision.

Guiyang Jincheng Deputy Attorney Wang Haijun stated that the National Standardization Committee has formulated the National Standard for Wire and Cable and revised it again in 2009. Jincheng has been produced according to national standards. The laws and regulations do not impose a mandatory regulation on the wire and cable industry, and all use recommended standards.

"The seized cable is ordered according to the customer's needs and with the customer's agreement in accordance with the Tianjin Jincheng company's corporate standards, and the company's standards are marked on the cable," said Wang Zhongqiu.

Violation of law enforcement?

In addition to the cable standards, whether or not the ultra vires of law enforcement has become the focus of both parties' disputes. Wang Haijun said that Guiyang City Bureau of Quality Supervision had forced the seizure of wires and cables from the beginning to exceed its authority. According to the “Notice of the State Council on Institutional Adjustment of the Administration for Industry and Commerce” (Guofa (2001) No. 13) and Guofa (No. 56, No. 57), the function of commodity quality supervision in the circulation field is assigned to the State Administration of Industry and Commerce, The quality supervision department has jurisdiction. Guiyang Jincheng Company is only an agent of Tianjin Jincheng Company in Guizhou. It is not a production company and is not within the jurisdiction of the Quality Supervision Bureau of Guiyang City.

In this regard, Guiyang City Quality Supervision Bureau believes that the identification of production behavior can not be understood mechanically as a direct output of the product processing, production behavior. Guiyang Jincheng Company provided sample heads and drafted the “Agreement Standard Q/12JH4060” with Tianjin Jincheng Company. The two companies’ willingness to produce illegal products is an important and decisive link in the series of production activities. Where the illegal acts take place, of course, And in Guiyang, it was determined that there were no errors in Guiyang between the two companies for their illegal production activities.

Regarding the tens of millions of financial penalties that are of concern, the Guiyang Quality Supervision Bureau stated that the current fine was not paid to the designated bank of the Guiyang Quality Supervision Bureau, and Jincheng Cable had applied to the Guizhou Provincial Government for administrative reconsideration. There was no problem with the enforcement of the quality supervision bureau. Can wait for the results of administrative reconsideration.

Right now, it appears that the relationship between Zhucheng Wei, the head of Taiyuan Tianjin Jincheng Wire and Cable Co., Ltd., who seems to have little to do with this matter, has cleared up the relationship between several “Jincheng” companies: Taiyuan Jincheng Wire & Cable Co., Ltd. is “Jincheng” trademark holder, Tianjin Jincheng Wire & Cable Co., Ltd. is an authorized manufacturer of “Jincheng” cable products, and Guiyang Jincheng Wire & Cable Co., Ltd. is a local distributor of “Jincheng” cable products in Guizhou.

Zhu Junwei stated that Taiyuan Jincheng Wire & Cable Co., Ltd., as a key encouragement, helper and supporter of the Shanxi Provincial Government, has been increasing its sales in Shanxi for more than a decade. Its product quality and brand have been recognized and trusted by customers. This incident has caused a huge negative impact on the “Jincheng” trademark. For such a “Chinese Well-known Trademark” with considerable brand awareness, it was unfair and unlawful seizure by the Guiyang Quality Supervision Bureau in Guizhou Province. With the suppression, the resulting impact is obviously incalculable. In order to be responsible for the company and its customers, we are officially reporting this matter to the Provincial Administration for Industry and Commerce and the provincial government's "Credit Shanxi" Construction Leading Group and other relevant departments to apply for trademark protection and maintain the brand and reputation of the well-known trademark "Jincheng" in China.

It is understood that on March 5, 2008, the "Jincheng" trademark of Taiyuan Jincheng Wire & Cable Co., Ltd. was recognized as "China Famous Trademark" by the State Administration for Industry and Commerce, and in June of that year, it was built by the Shanxi Provincial Government "Credit Shanxi". Under the leadership of the Leading Group and organized by the Shanxi Province Trade and Industry Bureau and the Provincial Trademark Association, the Shanxi Provincial Government also awarded 1 million yuan to the Taiyuan Jincheng Wire & Cable Co., Ltd. which was awarded the “China Well-known Trademark”. In recognition of its efforts in building brand and market credit.

Today, the 5th Shanxi brand festival, which is influential in the country, was grandly opened. The theme of this year's brand festival is “Brand strategy and transformation and development”, emphasizing how to more effectively maintain the vitality and credibility of the brand's market while nurturing and creating brands.

What needs to be explained is that, regardless of the reasons for the dispute between the two sides, and regardless of the outcome of the Guizhou Provincial Government's application for administrative reconsideration, we should not treat such a hard-won "Chinese Well-known Trademark" so simply. For Taiyuan Jincheng Company, it is imperative to maintain the interests of the company, maintain the “Jincheng” brand, and maintain the “Chinese Well-known Trademark” that we have not had much before. The newspaper will pay more attention to the latest developments in this matter.

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