Study On Allocation Of Revive Authority On Securities Issuance

With allocation of revive authority on Securities Issuance as the object, the paper analyzes the history of the allocation of revive authority on securities issuance, rethinks the economic and legal contradiction in it, and tries to take corrective actions to provide the legal standpoint and proofs for reforming registration system, which is combined with the reforming policy to promote registration system of stock issuance. The paper attempts to demonstrate the historical reasonability of the allocation of revive authority on securities issuance, which historic analysis and empirical analysis method are adopted. However, the existing allocation of revive authority on securities issuance has been already completed historical tasks and no more fits for the economic and social development which also becomes key to impede the marketization of capital market and degenerates from the historic reasonability to economic and legal contradiction. It should be necessary to suit allocation of revive authority on securities issuance with the social and economic development. Compared with the advanced experience and mature system, three corrective measures should be taken in response to the allocation of revive authority on securities. Firstly, the revive authority on securities issuance should be allocated to stock exchange. Secondly, establish the Exchange as the independent legal person. Thirdly, build up the system of information disclosure with the core of prospectus. It is imperative to amend the allocation of revive authority on securities issuance and make the amendment legal as well as systematic, which is attributed to the modification of Securities Law and the reform of registration system.The problem-oriented study process is to find the problem, to explore the causes, and even to solve it. Based on analysis of the existing allocation system of the revive authority, it is time to amend the system to meet the need of social development. On the one hand, it is the transitional measure to execute the revive authority on securities issuance by the CSRC in the process of system transformation, which is the inevitable outcome of the special social and economic conditions. With the development of economics, execution of the revive authority on securities issuance by the CSRC will be institutional barriers of the development of the securities market if continually as the historical foundation lost. On the other hand, execution of the revive authority on securities issuance by the CSRC overlaps participants and regulators of the market, which diminishes the effect of supervision and regulation and results into administration of the securities market. It does deteriorate the vitality of the securities market and with distortion of market's construction and development. Rent-seeking power is caused by the administrative power involved in securities market and further affects the healthy development of securities market. Therefore, modifying the allocation mode of revive authority on securities issuance has become the primary task to promote the healthy development of securities market.However, it is requisite to research into the fundamental theory of the revive authority on securities issuance in order to study the allocation of revive authority, which refers to the contents, subject and regime of the authority. Theoretically, fundamental theories are primary and the precondition to all researches, which is conducive to the preciseness of studies. First of all, the paper combs the connotation of the revive authority on securities issuance through the analysis of the connotation of authority. The revive authority on securities issuance is defined that organizations obliged to the authority securities issuance comprehensively review and value important matters and core elements of corporations who will apply to issue securities according to the statutory conditions and policy requirements. The revive authority on securities issuance is an important means for CSRC to supervise securities market and for government to implement macro-control policy. Therefore, the revive authority on securities issuance has dual functions to manage and regulate from the perspective of government, which is critical to allocate important resources and to economic development. In order to curb abusing the authority, the revive authority should be established a set of standardized procedures to operate routinely. The revive authority on securities issuance has independent rule of evolvement as an independent authority, but how to allocate it should be bond with the economic and social development in different periods. In the early reforming stage lack of openness and ability of resisting risk, the securities market had to be intervened by administrative powers to keep operating steadily. When the securities market becomes mature and its autonomy enhanced, the function of administrative powers should change from intervening role to supervision and be substituted by market with the regulatory system of securities market improving,Based on the primary theory and basic principles of the revive authority on securities issuance, the paper aims at measuring whether the allocation mode of revive authority keeps pace with the social development to find optimal allocation mode of revive authority. According to theory-problem-modification way, modifying the allocation of revive authority on securities issuance may contain two parts: the revision of the allocation model of revive authority and the amendment of the supporting systems. The former mainly decomposes the content of the revive authority and adjusts subjects of it to make different contents of revive authority belong to specific subjects. The revive authority is assigned to the Exchange, and the negative response to whether revive authority is eligible is obliged by the CSRC. As above, that comes to mutual checks and balances. The later mainly includes establishing independence of the Exchange, adjustment of the responsibility of the intermediary institution and reforming of the information disclosure system. The work rules of related institutions and reviewing standards of the issuance information should be amended due to guarantee the supporting system apply in securities practices, which means to modify the supporting systems from the end of practices. Only the amendment of the supporting systems will promote improving the allocation mode of revive authority, will the operation of the allocation of revive authority on securities issuance ideally match the demands of social development.