Since 2020, China’s Supreme People’s Procuratorate has been exploring to establish a corporate compliance non-prosecution system. In June 2021, the newly-issued SPP policy document signals the adoption of conditional non-prosecution when introducing a third-party supervision and evaluation mechanism.
In China, "Corporate compliance non-prosecution system" refers to a system under which prosecutors can order enterprises suspected of crimes to propose a special compliance plan according to the facts of crimes, urge them to establish the corporate compliance management system, and then make a non-prosecution decision as appropriate, where they find that such enterprises are willing to establish a compliance system. This system aims to urge the enterprises involved in cases to make compliance commitments and actively implement such commitments, promote enterprises to operate in compliance with the laws and regulations, and reduce and prevent crimes committed by enterprises. Driven by the SPP, China has been exploring and implementing this system.