The Research On Applying To The Securities Insider Trading Criminal In China

The securities market is the inevitable outcome of the economic development.Since the securities market was born，it plays a very important role in the moderncommercial society. It provides a faster and lager financing channel to financing forhigh quality enterprises and a large number of investment opportunities for the vastnumber of investors. The prosperity of the securities market is good for optimizing theallocation of resources, improving the economic benefits and promoting economics’development. As the same time when the securities market plays an important role inthe course of economics’ development, along with the problems result from thesecurities market and also play their "action", such as stock speculation, securitiesfraud, insider trading and market manipulation which not only damage the stockmarket management order and the lawful rights and interests of investors, but alsoencroach on investors’ confidence. Predictably, it is self-evident that insider trading,as the most common stock illegal activities, does harm at the securities market. Stockmarket is extremely sensitive about news and amplifies profit opportunities forinvestors. Based on the characteristics of the securities market, the establishment ofthe principles of "openness, fairness and justice" is particularly important. Insidertraders gain high profits by illegal trading in securities before significant informationis known by every investor, which makes trade in losses to the other party anddamage the principles of "openness, fairness and justice" of the securities market.Ifwe do not regulate inside trading behaviors, the securities market’s order will beserious damaged，weakening the investors’ confidence and leading to the collapse ofthe stock market.The securities market in our country started later than other countries. Throughthe20years of development, China’s securities market has developed into theinternational emerging securities market. Although our country securities market inrecent years gained great profits, relatively to the developed countries, obviously thesecurities market of our country and securities related legislation are started later sothat there are many problems in this process. In view of this, the writer of this paper,taking the correct definition of the securities insider trading crime as a starting point,focuses on research on the foundation of the securities insider trading criminal’sregulation and the sin of this criminal such as crime subject range defining, the definition of inside information and securities insider trading crime and criminalresponsibility, and then puts forward some advices on perfecting the system of insidertrading crime legislation and responsibility.In the part of introduction, the writer firstly makes out the necessity of thiscriminal and analyses the mature of this criminal and lack of application of criminallaw.In the first part, the writer introduces the object factor of securities insidertrading crime referred to in criminal law in our country and analyses the difficultproblems in judicial practice, to put forward on how to correctly define the crimesubject of this criminal.In the second part, the writer introduces the objective element of securitiesinsider trading crime referred to in criminal law in our country and analyses thedifficult problems in judicial practice, to put forward on how to correctly define theobjective element of this criminal.In the third part, the writer introduces the subjective factor of securities insidertrading crime referred to in criminal law in our country and analyses the difficultproblems in judicial practice, to put forward on how to correctly define the subjectivefactor of this criminal.In the fourth part, the writer introduces the criminal penalty of securities insidertrading crime referred to in criminal law in our country and analyses the difficultproblems in judicial practice, to put forward on how to correctly apply to the criminalpenalty of this criminal by distinguishing different crime subjects and differentiatingtransactions amount and profit amount.The last part of this paper is ending words reiterating the writer’s will for thispaper.