Discussing The Problems And Countermeasures Of The Securities Company Regulation In Our Country

Sampling and classifying the penalty announcements for illegality to securities companies published from 1998 to 2003 in China Securities Regulatory Commission (CSRC)'s homepage, this paper analyzes the problems in regulation and penalty for illegality and discusses according improving policies.This paper indicates several problems in penalty for illegality 1) time lag 2) lack of transparency 3) lack of fairness 4) aiming much more at institutions than relating persons 5) focus more on direct administration than economic measures. The main reasons for these problems include 1) incompletion of regulatory system, 2) unpractical and lagged laws, 3) unsymmetrical right and responsibility of CSRC, 4) incapacity of regulatory officers, 5) different regulatory standards among regional branches.Finally, regulatory suggestion is proposed for fairness, effectiveness and efficiency of regulation for securities companies. These regulatory suggestions include 1) to complete the regulatory laws and mechanism 2 ) to complete the perfect regulation, complaint and penalty process, keeping the process transparent 3) to strengthen cooperation and regulation to other institution in market 4) to strengthen regulation to individuals.