If anybody is interested in details:
Several cabin and cockpitcrews did not adhere to the minimum 36 h uninterrupted rest in a certain timeframe (7days moving bracket)
CAAC grounded the flighhtcrew for up to two months and imposed a cashfine on Hainan. They also had to reduce their flight hours in their system by ?(15)% and could not take any new aircraft in this fiscal year.
But: as the employees had done these transgressions on behalf and in the interest of Hainan the y got fully paid during these penalty months.
So, its a power struggle between CAAC and the biggest " private" airline in China and sometimes you got caught in between. Whenever they wanted me to fly something close to CAAC limits I asked them to give me in writing that this sector/duty or resttime was according regulations. Hardly ever I had to take it ;-)
Cheating? Well, crewcontrol all over the world try to catch you unaware, its not a chinese syndrom.