Our Country Commercial Bank Market Exit From Bankruptcy Mechanism Construction

“Banking supervision cannot and should not ensure that a bank will notgo bankrupt. In a market economy, bankruptcy is a way of bearing risk.”In the market economy, banks should not violate the law that the fittestsurvive. Moreover, in the financial crisis across the Atlantic, severallarge U.S. financial institutions collapsed, revealing the end of a longtime myth in the financial industry that certain financial institutions are"too big to fall". For large banks and financial institutions, bankruptcyis possible. Therefore, a proper market exit mechanism for China’sCommercial Banks is needed as well as possible. This article is designedto adapt to this reality from the perspective of economic law, whileelaborating the following points: whether we need special bank exitmechanism; what kind of bank exit mechanism that we need; some preliminaryideas and suggestions on the building of commercial bank exit mechanism.With this logic structure, this paper argues about the justification andreality of China’s commercial bank market exit mechanism, and providessuggestions about the building of China’s commercial banks bankruptcy legalsystem and the specifications of system design.The article is divided into three parts, first part focuses on the needfor exit mechanism for commercial banks by bank exit mechanism for thetheoretical background and the particularity of discourse, leads to the needfor commercial banks to exit mechanism. The secondly part explained by therest of the world more perfect and mature banking market exit mechanism,to analyze the situation of our country and try to seek a practical andChina’s national conditions and the legal system, bank exit mechanisms. Fromthe legislative mode and follow the height of the universal principles tobuild a commercial bank market exit mechanism suitable for China’s nationalconditions and the legal system。The third part from a practical point ofview, building a specific system for the commercial bank market exitmechanism. Including the pre-take over the measures, administrativerestructuring, as well as the administrative liquidation and judicialclean-up procedures. Finally,a small amount of space on the associatedsupporting legal mechanisms to add. This paper argues that China’s commercial banks to withdraw from themarket mechanism should be followed should follow an executive-ledgovernment, judicial assistance, the court accepted as the boundary, dividedinto administrative boundary of the duties of the judicial power, that isaccepted before the transaction is handled by the Chief, after acceptingthe transaction courts to take over the administrative liquidation of themain line, restructuring and stabilization measures involving public asauxiliary, easily lead to systemic risk and social stability in the affairsled by government departments dealing with the insolvency administratorrights and obligations of the property to confirm a meeting of creditors,led by the court treatment.The exit of Banking market in an orderly manner.