The Protection Of The Rights And Interests Of China’s Commercial Banks Overseas

With the rapid growth of China’s national capabilities and internationalization of the banking, the connection between financial markets become closer. In order to meet the requirement of banks and enterprises overseas, In November 1981, Bank of China New York branch was founded. It was the first Chinese branch founded in United States. Up to now, Bank of China, Industrial and Commercial Bank, Agricultural Bank of China, Construction Bank, Merchants Bank have founded its branches in the United States. These branches play very important roles in the development of market overseas.However, the expansion of Chinese banking was not smoothly. Especially after ‘9.11’incident, the US President George W. Bush passed the ‘Patriot Act.’. According to this Article 317 in this Act, the title is Long arm of overseas money laundering jurisdiction. If a foreign financial institution established under foreign laws and regulations was involved in money laundering activities, as long as the court finish the legal service set by ‘the Federal Rules of Civil Procedure’ or the laws and regulations of the region where the branch was found, then the United States’ court can execute its jurisdiction. Article 319 of the same Act further provides the judicial authorities the power to freeze, seizure, confiscate measures on the accounts or the funds involve in the laundering. Currently, a bank branch operated in United States is likely to face the jurisdiction from the court according to article 317. And the court has the power to sign the seizure order according to article 319.This article is divided into three chapters. Including the introduction and conclusion.The first chapter introduces the question of this article. The question is about the legal risks that the branches of Chinese banks faced in United States. This part also introduces the Chinese banks faced the lawsuits related to the Long-arm jurisdiction of United States in China.The second chapter tries to explore strategies for the branches overseas to defense in the court according to final decision made by the court. The strategies are from the substantive and procedural part. The substantive part includes International comity and the domestic law. The procedural part mainly introduces the discussion on the delivery. The purpose of these strategies is to provide reference to Chinese bank when they face the same situation.The third chapter focuses on the analysis the shortcoming of domestic commercial banks. According to the whole article, the writer tries to provide some solution.