The Research Of Listed Companies On Internal Control Failures

Internal control is a balanced distribution of responsibilities and rights of the internal contractual arrangements. As a non-completeness of the lease contract as well as the formulation of the non-consensual, and thus responsibility imbalance in the allocation of rights and trigger internal conflict of interests and behaviors of adverse selection, which eventually led the company out of control. Listed companies are public companies, with the wider public, the community, its operation is good or bad relations between the rights and interests of the tens of thousands of shareholders, but also affect the normal operation of micro-main. Look at listed companies in China through 15 years of development history, a series of listed companies of "internal control" and "hollowing out" and "the flow of major shareholders gangs strategy" violations come and go, and string. From the point of view of internal control, the above-mentioned problems is a major reason for the failure of internal control, listed companies or the improvement of internal control and implementation of the regulatory bodies are increasingly becoming the focus of attention and investors. However, the current boss of the company is out of control based on the study on the surface, such as the internal control failures attributed to the internal control system design flaws, the company's internal and external environment defects, such as lack of external oversight, and does not take into account lead to internal control the deep-seated causes of failure - internal governance factors in the rule of man. Based on the above considerations, the paper listed companies in China's internal control failures, summed up the performance on the basis of China's listed companies to internal control failures to the deep-seated causes and improvement measures. In this paper, proceeding from reality to the international advanced theory and experience as guidance, adhere to the unity of history and logic, taken from the abstract to the concrete, link theory with practical research methods. I stand on the rule of man a higher angle to study the internal control problems, and to come to the following conclusions: the failure of internal controls should be more from the point of view of the rule of man, and should not only be starting from the system itself, because the people in the house Control of a dominant position. Of the outbreak of internal control issues, and ultimately can be attributed to people. Therefore China's Listed Companies internal control failures can be attributed to the end "the rule of man" a traditional Chinese and ancient topic.