On The Determination Of Insider Trading

In August 16, 2013 occurred in China Everbright Securities fat finger trading error in the Chinese stocks lifted massive billows. Only 7200000000 RMB of funds, can be instantly pulled high stocks rose more than 5%, dozens of stocks trading together. Downturn in the stock market for many years under the background of this come unexpectedly, make the whole stock market gains are boiling away. However, the subsequent news is all of this is due to the self run securities system of China Everbright error. The Commission attached great importance to this event, and launched an investigation and gives the penalty decision. However, this rapid decisions of punishment, there are many problems. Including of insider trading, the main qualitative and subjective cognizance. What happened after the Yangjianbo sued the CSRC, insider trading related defense are proposed, so there is more questions in the process of China CSRC.The cognizance of insider trading in the securities regulator is placed in front of all countries a permanent topic. With the development of the stock market, will be more emphasis on insider trading. The development of the stock market cannot do without the support of science and technology and information, but also for the disclosure of information hidden danger. The subject of insider trading is the master key insider information personnel, in advance to obtain this information using the convenience of duty, direct or indirect trade. Countries for insider trading regulation are very seriously, because this is a cancer of hindering the development of securities market, it is not only dangers the interests of other investors, blow up their confidence, but also the erosion of fair market foundation upon which the survival and development, has seriously hindered the development of the whole market. The China Securities Regulatory Commission identified the Everbright “mistake” event is insider trading, making our country for insider trading once again become the focus of attention. However, through the study of China’s current legislation and the Commission about insider trading punishment cases are compared in the past, such a finding is too hasty. The Commission in the “Securities law” fallback provisions to Everbright Securities according to the insider trading hat and did not give a reasonable explanation. It is difficult to get the support of the law.In this paper, through the research on the theory of insider trading, carries on the analysis, discusses the determination method of insider trading form, completes the matting of the theory for the determination of the text after the SFC to Everbright Securities insider trading. Then, combining the 8.16 event refer to continuous fermentation event and after the event itself, from the discussion of the role and behavior of Everbright in the matter whether the provisions of the law, and whether it has a reasonable counterplea. Finally, through the analysis of the China Everbright events, find defects in our country’s existing legislation and puts forward some improvement suggestion. This paper is mainly to the China Securities Regulatory Commission of China Evergringht’s penalty decision as the breakthrough point, the recognized standard and demonstration methods, combined with China’s related legislation of the country and the case, and puts forward the existing problems. Everbright Securities’ fat finger trading error as Chinese securities market has milepost sense of event, have a great help for the legislation and supervision of our future.