On Risk Control Of Financial Leasing Company In China

Financial　leasing　,a　novel　type　of　transaction　with　double　functions　of　financing　and　leasing　in　modern　market　economy,　which　came　into　existence　in　America　in　1952,　has　established　fairly　matured　markets　in　many　countries.　In　contrast,　financial　leasing　developed　circuitously　in　China　just　for　more　than　twenty　years.　Both　our　legislation　of　the　financial　leasing　and　such　related　theory　researches　are　relatively　weaker　than　others,　which　has　not　only　seriously　impeded　its　fast　development　in　China　but　also　increased　the　ventures　for　the　financial　leasing　companies　when　going　into　such　business.　Since　the　financial　leasing　industry　is　a　quite　involved　economy　activity,　born　with　great　challenges　and　risks,　it　requires　to　enhance　the　theory　research　to　prevent　and　control　the　risks　for　the　financial　leasing　companies　and　to　improve　the　risks　control　system　of　the　financial　leasing　companies,　which　is　one　of　the　important　premise　of　the　reconstruction　and　development　of　our　financial　leasing　industry.　For　these　reasons,　the　paper　aims　to　discuss　the　cause　of　the　risk　of　our　the　financial　leasing　companies　and　its　protect　and　control　system　in　three　chapters.　Except　the　introduction　and　the　concluding　remarks,　the　paper　expects　to　contribute　to　the　development　of　financial　leasing　industry　in　our　country.　Chapter　I　expounds　our　financial　leasing　companies　and　the　engendering　of　their　risks,　mainly　analyses　the　risks　forms　and　causes.　Combining　the　theory　and　practice,　we　classify　these　risks　into　two　kinds:　general　risks　and　special　risks.　　　　Based　on　the　above　classification,　chapter　II　briefly　expounds　the　avoiding　and　the　transfer　measures　of　the　general　risks.　Then　we　discuss　how　to　prevent　and　control　such　risks　through　the　analysis　and　research　of　the　special　articles　in　the　financial　leasing　contract.　Chapter　III　gives　the　legislation　suggestions　of　the　control　of　the　risks　of　financial　leasing　companies.　It's　the　focal　point　of　this　paper,　and　it　mainly　analyze　the　special　measures　of　the　prevention　and　control　of　such　risks.　This　chapter　is　divided　into　four　parts.　Firstly,　it　expounds　how　to　control　the　risks　of　changing　the　real　right　by　protecting　the　ownership.　For　example:　the　risk　of　accessing　to　the　immovable　property,　the　risk　of　possessing　in　good　faith　by　a　third　party,　etc.　Secondly,　it　expounds　four　control　measures　against　the　breach　of　the　lessee.　Thirdly,　it　expounds　the　right　protection　of　the　lessee　when　he　is　declared　bankrupt,　to　reduce　the　risks　of　financial　leasing　companies　in　the　bankrupt.　Fourthly,　it　briefly　introduces　the　indirect　prevention　and　control　of　potential　risks　of　financial　leasing　companies----　right　of　assignment,　in　order　to　control　the　risk　to　the　least　state.