| VIE is a new type of financing mode, mainly used in companies listing overseas financing. For the purpose to protect the security of the country and industry,our country published some Laws and regulations to limit foreign investing in part of the industry, some private enterprises within the territory of China which have financing urgent needs and some foreign investors in order to achieve a win-win situation use the VIE to achieve their purpose. On one hand, help foreign investors to circumvent the restrictive policy of our country, on the other hand, help those enterprises funding support.Although the use of VIE do a great help for the development of some enterprises in our country, but it disciplining companies only by the contracts, inflicting huge uncertainty and risk for both sides. Because of the peculiarity of its structure, the VIE involving various legal areas and important link of our country, but there are many risks in the actual operation, if accident happened during using the VIE, all parts of the VIE can only protect their own self-equity through The Contract Law of People’s Republic of China, claiming a compensation for their loss. So complete the legal regulation of the VIE is necessary.This paper mainly discusses the legal regulatory issues of the VIE used in enterprises within the territory of China. And the paper is divided into three chapters to analysis of the current situation of the VIE in our country, the specific reason for the enterprises in our country using the VIE, the advantage and dis advantage of using the VIE, and the suggestions of the legal supervision. The first chapter discuss the basic structure of the VIE and the specific reason for the enterprises in our country using the VIE; The second chapter analyze the advantage and dis advantage of using the VIE; The third chapter put forward some suggestions of the legal supervision, put forward own views and suggestions especially on information disclosure. |
PDF Full Text Request