Researches On The Bank Insolvency Legal System

Under marketable competition, it is an inevitable outcome for financial institutions to withdraw from market because of operation failures. This also commonly happens in developed countries and there already have been proper and effective withdrawing mechanism in them. But up to now, there's not yet a set of systematical and operative legal procedures to deal with financial institutions withdrawing from the market in our country. Under the market economy circumstances it becomes fairly urgent to study this theme.This text define to commercial bank bankrupt legal meaning at first, analyze possibility that commercial bank go bankrupt and necessity of set up bank insolvency legal system. The special ness of bank insolvency legal framework first lies in its value system: Order is on the first level, Justice and Efficiency should be realized on the second. On the application of the bank insolvency law, there are two different types: banks are applicable to the special bank insolvency law; or banks are applicable to the general bankruptcy law, just as the all the other companies.As reference, the author of this thesis introduces bank insolvency law of United kingdom and Japan's; bank insolvency law in United kingdom seems more efficient, whereas, bank insolvency legal framework that Japan government take great efforts to build, for some reason, seems not so workable.To the resolve of the problem bank, besides going bankrupt, there are also other measures, such as saving or withdrawal from market. What's the relation between going bankrupt and other ways, their differences; how to make choices when a bank is going bankrupt? The author of this thesis has made a preliminary analysis using the methods of comparative analyses, economic analyses emphatically analyze the relation between rescues and bankrupt.Bank insolvency legal system, in some aspect, is differing from that of all the other commercial companies; which should be paid great attention. It can be very complexity and professional when a bank going bankrupt, which needs the involvement of regulator, but too much involvement will block the bankrupt process, therefore, the conflict of executive power and judicial power should be the subject to solve.The bankrupt legal system of our country is not so perfect, legal system of bank bankrupt thus should be thornier. Finally, the author of this thesis put forward some suggestions. Hoping this thesis can be of some constructive, further research of economist and jurist are still needed.