The problem of youth crime in China is reviewed from the perspective of the social and political development of China in the last three decades. The roles of family relationships, school system, peer group influence, and value system are examined as possible contributing factors to the problem of delinquent youth in China. Although the program is effective for all ages, the main target of Bang-Jao are young people between the age of 13 and 28, in 3 categories: youngsters who have committed minor offenses or are first time offenders; young offenders sent to reformatories or work-study schools; and young offenders in reformatories or work-study schools who have demonstrated improvement in their behavior and may be considered for early release under the guidance of the Bang-Jao. The basic principles of the program focus on treatment with leniency, education, labor and production, and restoration of self-respect. Bang-Jao can be implemented in the neighborhood, in the factory, and in small businesses in the cities. 24 notes.