Governance Of Listed Companies In China Illegal

Illegal case of stock market pose a significant threat to Enterprise competition and market development, It is an important link that conduct strict and efficient supervision on the illegal acts to ensure the securities market with development of sustainable growth. The stock market of China which set up for nearly 20 years, has been occupied an important position that can not be ignored in the sustained growth of national economy.However, It's the incident of violate laws and regulations concerning listed companies of China happened one after another that the majority of investors' legitimate rights and interests suffer huge losses, in particular the small investors, and impede the functions of stock market to optimize the allocation of resources effectively.This study focused on A-share market of Shanghai and Shenzhen in China with the perspective of both theoretical and empirical to analysis the law of violation of laws and regulations in listed companies, and probe into the characteristics of illegal acts of listed company and the regulatory changes in the law of punishment, the how legal environment of corporate governance influencing the act of choosing of listed companies, and how to adjust the external legal environment for listed companies to strengthen the norms and constraints, and offering directional policy recommendations for the efficient allocation of limited resources.This dissertation has six parts. Chapter 1 is introduction. It provides backgrounds, methods, structure and contributions. Chapter 2 reviews the related literature from two aspects of the legal environment and the illegal to introduct the relevant research literature and the major conclusions.Carry out a detailed research of the situation of laws and regulations to the situation of violation. Chapter 3 introduces of Law and Economics, then comment on the current research, pointing out Inadequate Research and direction of consummating. Chapter 4 Research on illegal acts of listed companyIn this section, first of all, analysis the specific market environment of illegal acts in our country of listed companies happened, pointed out that the A-share market is an accounting for the major proportion of state-owned shares, and the major shareholder of the leading markets. Subsequently, from our country's history of violations of laws and regulations to exploit the data to identify the characteristics of violation of laws and regulations, provided empirical research support by carried out the recommendations of the regulatory measures. Chapter 5 Research on legal environment of corporate governance of listed companies in China.Frist, review the construction on legal environment for corporate governance of listed companies and development process, sort out the regulatory governance of listed companies regarding the relevant legal entry, and the regulatory governance of listed companies in China's legislative system, law enforcement environment, the Court of Civil Justice Events, as well as publicity and education on the legal analysis of the situation. These studies constitute the governance of listed companies of the analytical framework for the legal environment. Chapter 6 How do legal environment of corporate governance of listed companies influence the illegal acts Research from the four dimensions of the legal environment to start up analysis the practical significance of the Legal Events in the Legislative impact on the meaning of the text on the legal system and law enforcement, judicial. Chapter 7 Research conclusions and policy recommendations.This part take a systematic sort out and summary of the research results of the full text, governance the relationship between the legal environment on listed companies and illegals in China, "add new transition" in the stock market reflects the specificity of, and based on the In this paper, the conclusions put forward a number of listed companies to improve the regulatory governance of policy recommendations.The main conclusions of this dissertation are as follow:Firstly, the various stakeholders in the interests of listed companies in both the demands of coherence, but also of contradictions and conflicts, violation of laws and regulations of such contradictions and conflicts is a typical example of. Listed companies on the carrier, the various stakeholders is the relationship between the unity of opposites. In accordance with the Law and Economics of the analytical framework, we can easily understand that illegal activities should be under the regulatory system are an advantage of rational choice, and the initiator side, as stakeholders, or are based on the "for profit" or "married disaster, "the original motive, the other parties will be hollowed out to enjoy the legitimate interests of the other parties should not have to bear the risks and losses add to its body.Secondly, legal environment including not only the create, modify, improve, or legislation for corporate governance of listed companies, that is the legal system related to the main activity, but also including the implementation of the legal system of corporate governance with listed companies, that is the securities regulatory department of the administration of law enforcement, courts and other judicial activities of the department, as well as related legal advocacy and education. In other words, the legal environment for corporate governance of listed companies not only for the static text of all laws, and dynamic performance of law enforcement, judicial and legal publicity activities.Thirdly, the socio-economic reasons for the formation of legal environment: the system of share defects, deviation of the stock market functions, the fragile system and the lack of competitive market are the two major obstacles to set up corporate governance mechanisms, the implementation of the operation of corporate governance compliance is often encountered resistance from vested interests.Fourthly, in China, the regulatory system of laws and regulations management of Listed Companies, including the basic legal and administrative regulations, departmental rules and regulations and the four levels of self-discipline. China's legislative system is too complicated, the various laws and regulations, policy documents, have become market participants must be the espousal of the "normative documents" .To the law enforcement, the legal basis for the diversification would clearly affect the quality of law enforcement activities accordingly. To the corresponding terms of being regulated, in the face of such a massive system of rules, the law has become unbearable stress.Fifthly, illegal acts against listed companies in China concerning those type of violation of laws and regulations such as, market manipulation, false statements, the disclosure of information breaches, violations transactions and internal governance violation.Violation of laws and regulations of listed companies appears the following common features: the highest frequency of irregularities to disclose information by executives, and major shareholders of a listed company; types of financial fraud violations from a loss of many listed companies in the ST category; illegal trading activities increase substantially by executives and major shareholders of the listed company; the internal governance of listed companies still can not be ignored violations; insider dealing and market manipulation investigated the frequency is not high, a large number of dark.Finally, in the corporate governance of the legal system, the relevant regulatory system of corporate governance carried out gradually from the establishment of rules and systems, compliance supervision, accountability of the three aspects of the rectification, the former from set up the legal system perspective of the corporate governance of listed companies, and the next from the legal system of the implementation perspective in governance of listed companies. These systems not only produce a normative effect for the company's internal governance structure, but also has the role of guidance and restraint for the operation of external mechanisms of governance, and gradually formed corporate governance of listed companies to run the legal environment. Therefore illegal acts of corporate governance as a form of alienation is bound to the negative evaluation by the relevant legal system.