ARTICLE
17 February 2022

China Monthly Data Protection Update - February 2022

On January 28, 2022, the CAC issued the Regulations on the Administration of Deep Synthesis of Internet Information Services (Draft for Comments), regulating the activities including providing Internet information services ...
China Privacy

LEGISLATION

CAC Publishes the Regulations on the Administration of Deep Synthesis of Internet Information Services (Draft for Comments)

On January 28, 2022, the CAC issued the Regulations on the Administration of Deep Synthesis of Internet Information Services (Draft for Comments), regulating the activities including providing Internet information services by deep synthesis technology and providing technical support for the foregoing services. Deep synthesis technology refers to the technology of making text, image, audio, video, virtual scene, and other information by using generative synthesis algorithms represented by deep learning and virtual reality.1

Shanghai Issues Its First Guidelines for Data Compliance of Enterprises

On January 27, the Guidelines for Data Compliance of Enterprises – jointly formulated by Shanghai Yangpu District Procuratorate, Shanghai Information Service Industry Association, Shanghai Data Compliance and Security Industry Development Expert Working Group, and District Industry and Commerce Federation – was released. The Guidelines suggests that the board of directors should set up the compliance department directly, and it is not recommended that the legal department perform the compliance management function. As the first person in charge for data compliance, the top manager of the enterprise shall ensure that the implementation and effect of data compliance are included in the internal performance appraisal system of the enterprise.2

Public Data Regulations of Zhejiang Province Will Take Effect on 1 March

On January 21, the Public Data Regulations of Zhejiang Province was approved and will be officially implemented on March 1. The Regulations formulate public data management by expanding the scope of public data, clarifying the public data platform construction norms, improving the public data collection and collation rules, establishing the mechanism of sharing public data, building public data orderly opening system, setting up a public data authorized operation system, and completing the public data security management standards.3

CBIRC Promulgates the Measures for the Regulation of IT Outsourcing Risks of Banking and Insurance Institutions

On January 21, the China Banking and Insurance Regulatory Commission issued the Measures for the Regulation of IT Outsourcing Risks of Banking and Insurance Institutions, which aims to further strengthen the supervision of information technology outsourcing risks of banking and insurance institutions, to promote the improvement of information technology outsourcing risk management and control capabilities of banking and insurance institutions, and to promote the digital transformation of banking and insurance institutions.4

NDRC and Other Departments Jointly Issue Several Opinions on Promoting the Regulated, Sound and Sustainable Development of the Platform Economy

On January 18, nine departments including NDRC jointly issued Several Opinions on Promoting the Regulated, Sound and Sustainable Development of the Platform Economy. The Opinions requires to severely crack down on illegal activities of platforms such as collecting personal information beyond the scope and using personal information beyond their authority, strictly controls the behavior of unnecessary data collection and data abuse, and strengthens the supervision of algorithm security.5

NISSTC Publishes Guidelines for Identifying Important Data (Draft for Comments)

On January 13, the National Information Security Standardization Technical Committee ("NISSTC") published the draft of Information Security Technology – Guidelines for Identifying Important Data for comments. This Guide aims to implement the requirements of Article 37 of the Cybersecurity Law, which is a basic standard necessary to formulate detailed rules for data security management.6

CAC Publishes the Regulations for the Administration of Mobile APPs Information Services (Draft for Comments)

On January 5, the CAC published the Regulations for the Administration of Mobile APPs Information Services (Draft for Comments). In addition to further implementing the relevant content management responsibilities of application providers, the Draft further clarifies the scope, obligations and responsibilities of "application distribution platforms".7

Amended Cybersecurity Review Measures Is Issued

On January 4, 13 departments including the CAC revised and issued the Cybersecurity Review Measures. Cybersecurity review is required under circumstances such as data processing activities of platform operators that affect or may affect national security. Platform operators who have more than 1 million users' personal information must report to the Cybersecurity Review Office before listing abroad for cybersecurity review. According to the actual needs of the review, China Securities Regulatory Commission ("CSRC") is added as a member of the cybersecurity review joint panel, and the content of national security risk assessment factors was improved at the same time. The Cybersecurity Review Measures will come into force on February 15, 2022.8

CAC and Other Three Departments Jointly Issue the Administrative Provisions on Algorithm Recommendation for Internet Information Services

On January 4, the CAC, the MIIT, the Ministry of Public Security, and the SAMR jointly issued the Administrative Provisions on Algorithm Recommendation for Internet Information Services, which will be effective from March 1, 2022. It appoints the supervisory departments of algorithm recommendation services and stipulates the norms of information services to algorithm recommendation service providers.9

ENFORCEMENT CASES

Xiaohongshu Is Fined RMB 300,000 for Leakage of Minors' Privacy and Omission of Review

In January 2022, Xingyin Information Technology (Shanghai) Co., Ltd., an affiliate of Xiaohongshu, was fined RMB 300,000 by Shanghai Huangpu District Culture and Tourism Bureau for violating the Minor Protection Law. The specific cause is that the internet service provider did not immediately stop the transmission of relevant information or took measures such as deleting, blocking, and disconnecting links when it found that users published and disseminated information containing content that endangered the physical and mental health of minors. The punishment was due to the omission of the underage review of Xiaohongshu mentioned by CCTV in December 2021.10

Bank of East Asia Is Fined More Than RMB 10 Million for Violating Credit Information Collecting Regulations

On January 10, Bank of East Asia (China) Co., Ltd. was ordered to correct within a time limit and was fined RMB 16.74 million for violating the regulations on collection, provision, inquiry and management of credit information, according to the administrative penalty information released on the website of Shanghai Branch of the People's Bank of China. This is the first ten-million-level fine issued by the People's Bank of China in 2022.11

COURTS LITIGATION

Xinjiang's First Criminal Case with Collateral Civil Public Interest Lawsuit of Infringement on Citizens' Personal Information Pronounces Sentence

On January 26, 2022, the People's Court of Bole publicly pronounced a case of infringing citizens' personal information, and three defendants were convicted. The defendants took advantage of the convenience of handling mobile phone numbers for users and, without the permission of users, sent the users' mobile phone numbers and their corresponding verification passwords to multiple Wechat groups to obtain remuneration. This case is the first criminal case with collateral civil public interest lawsuit in Xinjiang regarding infringement on personal information.12

A Doctor Who Live-Streamed Gynecological Surgery Online Is Investigated by Police

On January 18, a netizen posted on social platform that a suspected male doctor live-broadcasted gynecological surgery on Bilibili, which caused heated discussions. The Rizhao Public Security Bureau of Shandong Province has detained the doctor Li from the Rizhao Central Hospital and requested the approval of arrest, cancellation of medical practitioner license and dismissal. The case is currently under further investigation.13

Two Men Are Indicted for Using Fan-Cleaning App to Steal 7.12 Million Pieces of Personal Information

On January 7, the case of Duan and Zhou infringing on personal information prosecuted by the Minhang District People's Procuratorate of Shanghai was publicly heard in the Shanghai Minhang District People's Court. In this case, the defendants stole over 7.12 million pieces of personal information through a free fan-cleaning app.14

DENTONS TEAM

43 Dentons Lawyers in 25 Professional Areas Are Honored on th Chambers and Partners Greater China Region Guide 2022

On January 12, 2022, International authoritative legal rating agency Chambers and Partners published the Chambers and Partners Greater China Region Guide 2022, on which 43 Dentons Lawyers in 25 Professional Areas are honored. Jet Deng, senior partner of Dentons Beijing Office, is recommended in Competition and Anti-monopoly area as Band 2.15

Dentons Receives 148 Awards in 24 Professional Areas/Regions from The Legal 500 Asia Pacific 2022

On January 12, The Legal 500 Asia Pacific 2022 was published. 125 Dentons Lawyers (148 awards) in 24 Professional Areas/Regions are honored. Jet Deng, senior partner of Dentons Beijing Office, is highly recommended in Anti-monopoly and Competition and Intellectual Property area and is awarded "Leading Individuals". Ken Dai, partner of Dentons Shanghai Office, is highly recommended in Anti-monopoly and Competition area.16

Footnotes

1. http://www.gov.cn/hudong/2022-01/28/content_5671053.htm

2. https://new.qq.com/omn/20220130/20220130A02B8E00.html

3. https://www.zjrd.gov.cn/dflf/fggg/202201/t20220121_92743.html

4. http://www.cbirc.gov.cn/cn/view/pages/ItemDetail.html?docId=1033152&itemId=915

5. https://www.ndrc.gov.cn/xwdt/tzgg/202201/t20220119_1312327.html?code=&state=123

6. https://www.tc260.org.cn/front/bzzqyjDetail.html?id=20220113195354&norm_id=20201104200036&recode_id=45625

7. http://www.cac.gov.cn/2022-01/05/c_1642983962594050.htm

8. http://www.cac.gov.cn/2022-01/04/c_1642894602144070.htm

9. http://www.cac.gov.cn/2022-01/04/c_1642894606258238.htm

10. http://finance.sina.com.cn/wm/2022-01-24/doc-ikyamrmz7094192.shtml

11. http://shanghai.pbc.gov.cn/fzhshanghai/113577/114832/114918/4442474/index.html

12. https://m.thepaper.cn/baijiahao_16511510

13. http://health.people.com.cn/n1/2022/0121/c14739-32336693.html

14. https://www.spp.gov.cn/zdgz/202201/t20220121_542366.shtml

15. https://mp.weixin.qq.com/s/06IV_ZQDl4BvjiVudMf45A

16. https://mp.weixin.qq.com/s/lsOyBucYiWEyA-MSORFwUQ

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