Internet search giant Google Inc has denied media reports that it has decided to shut Google.cn site and close its China office.

Hong Kong's Chinese-language newspaper Sing Tao Daily said in a report that Google had decided to close its China office, citing a Mainland China web site sponsored by a government ministry.

Earlier this week, Google said it would no longer censor search results on its web site in China. It said it was considering shutting down Google.cn and closing its offices there. The company came to the decision following a "highly sophisticated" attack on its computer system and evidence of human rights activists being targeted.

According to a spokeswoman who declined to be identified, Google was still operating its business as usual in China and was still censoring search results on Google.cn. She added that Google employees were reporting to work as usual.

Sing Tao, citing the ministry of industry and information technology sponsored ccidcom.com, had said that employees at Google China would be paid six months' salary as compensation.

The story was, however, not accessible on the ministry' web site this morning.