The Study Of Legal Problems Of Confusing Transactions

Confusing transactions is a common market manipulation. The doer compile and spread false information to confuse people for the purpose of affecting stock price fluctuation and obtaining huge profits.This behavior is the focus of national regulators to combat violations of the securities. While the laws of many countries and regions are set to regulate this information invovled market manipulation,the regulations in different countries and regions have their own characteristics the provisions of this act. Confusing transactions by nature is a fraud, based on fraudulent means to mislead other investors to obtain profit;and it is also illegal speculation, by illegal means to gain speculative trading opportunities. Confuse transactions undermines mechanisms of market for optimizing resource allocation, disrupting the normal market order, and seriously damaged the interests of the investors.We should have a clear understanding of the hazards to confusing transactions.China's securities trading law does not contain detailed provisions on confusing transactions, but in 2007, the CSRC promulgated the "Measures for identifying securities market manipulation (Trial)" made a clear explanation. According to the above, I believe that the transaction should be identified from several constituent elements,such as the subject, subjective and objective aspects of confusing transactions. The range of subject of confuse transactions is very wide, any natural person,legal persons and other organizations. The perpetrator should implement confusing trading deliberately, the subjective aspect of negligence can not constitute confusing transaction. "Important false information",the content is an important factor identified to confusing transaction, and the current regulations of the Securities Act do not detail the provisions.False statements and pre-empt the type of information in securities trading are illegal,although much in common with confusing transactions,more obvious differences, and thus should be distinguished in practice in accordance with the relevant provisions of their identification and punishment.Frequent confusing transactions is detrimental to long-term development of the securities market,we should take appropriate measures to deal with.The current regulations on the provisions of the transaction are less clear, and there are loopholes, and even a lot of conflict between the laws and regulations, making law enforcement a loss. Moreover, there are some shortcomings in the daily work of China's regulators, most notably it is not continuous and not regulated stability, which to a large extent, licensing the offenders to confuse people. In addition, many small investors blindly follow the trend of speculation, the chase sell, exacerbating the irrational stock market volatility, making it easier for offenders to succeed; bad faith of many of the security service institutions also contributes to the arrogance of the offender. Therefore, we shall start from the above aspects, and gradually reduce the occurrence of confusing transactions through the establishment of the implementation of the relevant system.