Delisting The Legal System Of China's Listed Companies

With the legality and standardization of Chinese stock market, the withdraw law system of listed company is increasingly being attached important to. A stock market of integrity should be set up depending on listing and delisting these two sets of law systems. Only the stock market has these two sets of law systems at the same time, it can become an open market, and it can perfect resources through a dynamic adjustment process. On the ground that improvement of the withdraw law system of listed company can provide strong security for the legality and standardization of Chinese stock market as well as become a marked sign of weighing whether our stock market development is mature and scientific or not. In the western matured stock market, the law system of delisting for the listed company has been established for 200 or 300 years, while in our country the stock market has been set up just for more than 10 years. The system of delisting has been developed for a long period in the westem developed countries. Now it is perfect. Their experiences are very helpful for Chinese legal construction.In China, the establishing come through a flexural process. In the 1994, the system of delisting has provided in the company law in the first time. Later it was repeated in the securities law. In the implement process, it turned into ST and PT. Today the system wasn't be put into practice really. There are many factors that influence the implement of the system, for example, the system itself has defects, the participant lack the spirit of role of law, and so on. The aim is to provide with some advises.The legal problems on the exit of the listed-stock companies insofar as are as follow: Firstly, there are some ongoing obstacles for the listed-stock companies to exit, ranging from the operational turbulence to the imperfection of the legislation. What the imperfections are is the first aspect in my thesis. Secondly, after the exit of the listed-stock companies out of the security markets, the "outlet" is the most ignificant issue facing the companies. The exit does not mean the bankruptancy. Then, what is the "outlef" for the listed-stock companies after exit, and how to regulate them legally, are the second aspect in my thesis. Thirdly, after the exit of the listed-stock companies, the problem of how to protect the benefit of the stockholders arises. Therefore, the protection of the stockholder's benefit is the third aspect in my thesis.This paper includes four parts: In the first part, the concept, characteristic and source of delisting system were discussed. In the second part, the author introduced the stock market system of western developed countries and Hongkong District. The historical change and the defects of the system were analysed in the third part. The reasons were discussed in the forth part. Finally, on the basis of the analysis on these execution obstacles, the article made an in-depth thought about how to perfect the current delisting system, and the measures was discussed.In brief, securities market withdrawal system is significant to healthy development of securities market. The improvement and implementation of such system may cause impact on the securities market in the short term, or losses to investors, but in the long run, the formation market withdrawal system can positively facilitate not only entrance into, but also withdrawal from the securties market. Such system will also enable effective distribution of resources and optimization of listed company framework and improvement of their comprehensive qualifies, and finally, enhancement the all-round quality of Chinese seoadties market.