The Study On The Legal Problems Of Cross-ownership

Cross-shareholdings of the company is to compare this year a new legal theory research focus of the relevant legal provisions are also lagging behind. In the Companies Act2005, revised, due to China's economic development situation, legislators too much attention to the positive effects of cross-shareholdings, there is no direct regulation of cross-holdings of the company, ignoring its negative effects.. After several years of rapid development of China's economy, the economy runs the risk of increase, highlights the negative effects of cross-shareholdings. The company cross-ownership regulation meaning more apparent. Therefore, the author based on combination of foreign legal regulation of company cross-ownership of, learn from countries success of legislative experience, combined with China's actual situation, in order to find suitable for China's national conditions and reasonable regulation of ideas as well as the specific regulatory program, the greatest degree of avoidance and prevention the negative effects of cross-shareholdings, so that service in the modern enterprise system in China.This article is divided into five parts, article structure are described below:The first part introduces the company cross-holdings analysis of the basic theory. This part of the analysis of the three questions. The first problem is the definition of cross-shareholdings. The second issue is the legal basis by the company's cross-shareholdings. The third problem is the positive effects of the company's cross-shareholdings.The second part introduces the integration and coordination of cross-shareholdings and corporate legal system in China the process of conflict. Cause a company's capital inflated the company cross-holdings, making the reinvestment in the company to a lack of effective regulation, a conflict with China is now the capital system; cross-shareholdings to distort the company's normal governance structure, and therefore should improve the supervision and control of the supporting mechanism. Cross-shareholdings may trigger insider trading and related party transactions, and easy to form the operators to control the situation. Should improve the information disclosure system, the implementation of the notifications and obligations of the major issues. The third part, the part through the introduction of these two cases and comparative analysis, the main is the choice of the internal cross-holdings of cross-shareholding in Air China Limited and Cathay Pacific Airways Limited and the China Rebar Group. Found that the positive and negative effects of cross-shareholdings to the relevant measures to explore the regulation cross-shareholdings. The form of case analysis and comparison of the motives and effects of cross-shareholdings, obtained within the legal framework Hennessy go disadvantages. Through the above analysis in the regulation of cross-shareholdings, China should be treated differently, to strengthen information disclosure, should improve the regulatory system.The fourth part is the main mode and recommended legislation to establish China's cross-shareholdings. The emergence of cross-shareholdings held with the realistic needs of economic development, has played an important role in the development of the company. However, cross-shareholdings destruction of the modern corporate governance structure, increasing the company's business risk. Civil law countries in general,"strictly limit the doctrine" mode. According to China's development of the company policy background of the economies of scale and stable operation of the market strategy, cross-shareholdings of the company should be "treated differently" model. While limiting the voting rights of the parent-subsidiary corporate cross-shareholdings to exercise, improve the regulatory measures of the non-parent and subsidiary companies. Establishment of information disclosure system, a clear cross-shareholding notices and announcements of obligations of the company.