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The legislation, set to take effect in March next year, laid
out harsh punishments for producers using box-office fraud to
artificially pump up ticket sales - a practice which has in-part
helped propel huge market growth over the past few years.
China has been cracking down on ticket fraud that many say is
behind a marked slowdown in box-office sales, which dipped
almost a quarter in October versus 2015, according to market
research firm Entgroup.
Despite the slowdown, China is a magnet for Hollywood studios
looking to tap into the country's growing middle class, but who
face various challenges from state scrutiny over content to a
cap on the number of imported films.
The law, passed by the largely rubber-stamp parliament on
Monday, said films should "serve the people and socialism",
Xinhua reported. Foreign film makers "damaging China's national
dignity, honor and interests, or harming social stability or
hurting national feelings," were not welcome, it added.
It also laid out stricter rules for actors and film makers,
saying people employed in the industry should have "excellent"
moral integrity and "self-discipline", Xinhua said. This follows
recent cases of celebrities caught taking drugs.
($1 = 6.7784 Chinese yuan renminbi)
(Reporting by SHANGHAI newsroom and Adam Jourdan; Editing by
Stephen Coates)
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