Massively is reporting that WoW is caught in the battle between the Ministry of Culture and the General Administration of Press and Publication over who gets to regulate online games — and has been denied permission to operate (again).
The Ministry of Culture was, I believe, the arm of the government there that recently banned gold farming, but also the one that last gave WoW permission to operate there.
The GAAP was the group that issued the recent regulations on foreign companies operating in China.
The Ministry of Culture gave the last approval; the GAPP is the one now saying that the game is in “gross violation” of regs.
Massively’s got all the links for you!