Environmental penalties are given in response to a company failing to follow government issued environmental regulations, penalty may lead to temporary closing of factories.
If a citizen, a legal person or any other organization violates the provisions of the environmental protection laws, regulations or rules and should impose administrative penalties on the environment, it shall be subject to the procedures prescribed in the law of the People's Republic of China on administrative penalties and these measures.
Environmental penalty refers to the behavior that the administrative subject punishes the counterpart who violates the environmental protection law according to the statutory authority and procedure. This includes:
- A fine;
- To order it to stop production for rectification;
- Order to stop production, stop business or close down;
- To suspend or revoke a license or any other certificate of a permissive nature;
- Confiscation of illegal gains and confiscation of illegal property;
- Administrative detention;
- Other types of administrative penalties prescribed by laws and administrative regulations.