According to the person in charge of the Agricultural Mechanization Division of the Ministry of Agriculture on the 8th, the Ministry of Agriculture will crack down on agricultural machinery companies and dealers to defraud to take out subsidies for agricultural machine subsidies, and to find together and strictly investigate together, and resolutely cancel the product subsidy qualifications or the qualifications for distribution of subsidized products. Recovering fraudulently taking out subsidy funds, severely punishing the law according to law.

The person in charge said that the state implemented a subsidy policy for the purchase of agricultural machinery for more than eight years, which greatly mobilized the enthusiasm of farmers to purchase agricultural machinery, accelerated the development of agricultural mechanization, enhanced the comprehensive agricultural production capacity, and also revitalized the agricultural machinery industry. In the process of implementation, there are individual farm machinery production or distribution companies falsified, fraudulently set subsidy funds, and individual local agricultural mechanization authorities’ staff members accept corporate commercial bribery and other violations.

Since last year, the Ministry of Agriculture, together with relevant departments such as the Ministry of Finance, has repeatedly cracked down on violations of subsidies for agricultural machinery, canceled the qualifications for subsidies for products of Zhejiang Aeglai Co., Ltd. and Hebei Double Win Co., Ltd., and instructed enterprises to return the subsidized funds defrauded to the provincial finance department in full within a time limit. The competent department of agricultural machinery involved in the case suggested that the relevant county and municipal party committee governments should perform administrative accountability for the relevant responsible persons and coordinate public security organs to arrest suspects according to law.

The Ministry of Agriculture also urged all localities to severely investigate and deal with a batch of illegal and irregular businesses. According to statistics, in 2011, a total of more than 196 cases of violations of various kinds of agricultural machinery purchase subsidies were investigated and dealt with across the country, 30 manufacturing enterprises were disqualified from product subsidies, and 22 subsidies were permanently cancelled. Dealers are eligible to subsidize products.

In order to further increase the penalties for companies that violated laws and regulations, the Ministry of Agriculture and the Ministry of Finance recently issued a "2012 Guiding Opinion on the Implementation of Agricultural Machinery Purchase Subsidies," which was issued jointly to make stricter regulations: the establishment of a blacklist system and the participation in violation of laws and regulations. The operating distributors are blacklisted and announced in a timely manner. The blacklisted distributors and their legal representatives are not allowed to participate in subsidizing product distribution activities forever.

At the same time, the production enterprises that participated in the illegal and non-compliance operations canceled their product subsidy qualifications, and the illegally occupied subsidy funds must be returned to the financial department in full. It is recommended that the industrial and commercial departments revoke their business licenses for production or distribution companies that are in violation of the rules and regulations. If the circumstances are serious enough to constitute a crime, they will be dealt with by the judicial authorities.