Research On The Legal Questions Of The Disposition Of The Non-performing Assets

To the Asset Management Company, how to dispose the huge sum of non-performing assets it took over effectively, realize the maximum object that assure the safety of assets and reduce the loss, is very important to the steady circulation of our national economic. This paper started form general theories of the disposition of the non-performing assets, associated with the actions. experience. characteristics and apocalypses of the disposition of the non-performing assets in foreign countries, in accordance with the present situation of the disposition of the non-performing assets in our country, analyzed the legal environment of the disposition of the non-performing assets in our country from the insufficient legal support. the underdeveloped capital market. the unhealthy market intermediary organizations and the low extent of the foreign capital's participation, point out the legal environment in our country at present is unfavorable to the quick and effective disposition of the non-performing assets. Then analyzed and discussed two important methods of the disposition of the non-performing assets comprehensively and in detail-Transformation of Debt to Equity Shares and Asset Securitization, based on our national conditions, addressed that the Transformation of Debt to Equity Shares ought to be the most important methods in disposition of the non-performing assets in our country now, then analyzed the permission entrance. the stock's exit and the relationship in it, put forward personal view to the misunderstanding and unsuitable actions in the practice of the Transformation of Debt to Equity Shares, point out questions we must pay attention to and the hidden dangers that may make it can't reach the purpose we anticipated in its process, put forward views that the key of the Transformation of Debt to Equity Shares lies in making state enterprises lively. establishing modern enterprise system and promoting the diversification of the stock, under the premise that conforming the policy's general direction, the Transformation of Debt to Equity Shares should be operated by the Asset Management Company according to the market rules, the Asset Management Company should have the management of the enterprises in the Transformation of Debt to Equity Shares undercontrol, perform a sound stockholder's right. This paper also demonstrated the feasibility of the Asset Securitization in our country, expounded the legal handicaps that may come out on its action, point out that although the Asset Securitization is unfit to deduce extensively in our country under present laws and realistic conditions, as a methods of the disposition of the non-performing assets that having great potentialities, we ought to attempt it positively, and put forward imaginations of establishing the Asset Securitization which was fit for our nation conditions, took out legislation design for its bringing into practice in our country. Based on adequate discussion of the legal environment and the main methods of the disposition of the non-performing assets, draw the conclusion that the disposition of non-performing assets needs special legislation, and advanced legislation proposition about the Assets Management Company's natvu. legal position rights and obligations, especially its special rights and special business measures in the disposition of the non-performing assets; then proceeded from perfecting other policies and laws about the disposition of the non-performing assets, raise views that the bankruptcy laws should be revised and creditor's interests be protected, the capital market should expand and mechanism investors should be cultured, the mechanism which dispose the non-performing assets should be given special judiciary support in litigations.