Legal methods urged to stem private debt crisis

 　　BEIJING, Feb. 20 (Xinhua) -- A Monday report has urged for the increased use of legal methods to regulate private loans following a number of incidents in which the leaders of large companies were unable to pay back informal high-interest loans, forcing some of the companies to the edge of bankruptcy¹.

　　"It's of urgent importance now to strengthen legislation and law enforcement in order to regulate private loan activity and crack down on high-interest loans," said the "Annual Report on the Development of Rule of Law in China," which was released by the Chinese Academy of Social Sciences.

　　Wenzhou, a city in east China's Zhejiang province that is known for its booming private sector², has been heavily affected³ by the private debt crisis.

　　Last year, more than 90 leaders of private companies in the city were reported to have disappeared, committed suicide or declared bankruptcy -- invalidating debts of about 10 billion yuan (1.57 billion U.S. dollars) owed to banks and individual creditors⁴ pooled from the informal lending market.

　　According to the report, the current law system doesn't have a legal document that specifically concerns private loans, and related regulations have fallen behind social practices.

　　"Inadequate⁵ supervision⁶ has also contributed to boosting interest for private loans. In some areas, the loans were associated with gambling⁷ and organized crime groups, resulting in incidents of violence," the report said.

　　The report urged authorities to create regulations concerning private lending and establish policies for loan management and risk control.

1 bankruptcy   

n.破产；无偿付能力

参考例句：

• You will have to pull in if you want to escape bankruptcy.如果你想避免破产，就必须节省开支。
• His firm is just on thin ice of bankruptcy.他的商号正面临破产的危险。

2 sector   

n.部门，部分；防御地段，防区；扇形

参考例句：

• The export sector will aid the economic recovery. 出口产业将促进经济复苏。
• The enemy have attacked the British sector.敌人已进攻英国防区。

3 affected   

adj.不自然的，假装的

参考例句：

• She showed an affected interest in our subject.她假装对我们的课题感到兴趣。
• His manners are affected.他的态度不自然。

4 creditors   

n.债权人，债主( creditor的名词复数 )

参考例句：

• They agreed to repay their creditors over a period of three years. 他们同意3年内向债主还清欠款。 来自《简明英汉词典》
• Creditors could obtain a writ for the arrest of their debtors. 债权人可以获得逮捕债务人的令状。 来自《简明英汉词典》

5 inadequate   

adj.(for,to)不充足的，不适当的

参考例句：

• The supply is inadequate to meet the demand.供不应求。
• She was inadequate to the demands that were made on her.她还无力满足对她提出的各项要求。

6 supervision   

n.监督，管理

参考例句：

• The work was done under my supervision.这项工作是在我的监督之下完成的。
• The old man's will was executed under the personal supervision of the lawyer.老人的遗嘱是在律师的亲自监督下执行的。

7 gambling   

n.赌博；投机

参考例句：

• They have won a lot of money through gambling.他们赌博赢了很多钱。
• The men have been gambling away all night.那些人赌了整整一夜。