The Legal Regulation Of Insider Dealing In The Process Of Merger And Reorganization Of Quoted Companies

The stock market is accompanied by insider dealing which is a stubborn confine for the capital market.In China, as a emerging market economy and under transition period, it is frequent for insider dealing in the stock market especially in the process of merging and reorganization between quoted companies. The merging and reorganization of quoted companies has a long period from decision to carrying it out, and a complicated behavior structure. Insider information has a long information chain, a multi-level delivering, and plenty of participants. As a result, there can be more people involving in insider information and a close and complicated combination with market manipulation. This paper focuses on the insider dealing during the process of merging and reorganization in the capital market and analyse the status quo where insider dealing frequently happens in the process of merging and reorganization in order to put forward some legal suggestions and ideas for regulating the insider dealing during the process of merging and reorganization, which prevent and contain the insider dealing of high incidence.Firstly, combined with the basic theory of merging, reorganization and insider dealing, this paper expounds the concept, features, and constitutive requirements, and causes of insider dealing in the process of merging and reorganization. And based on studing typical cases, the law application and judicial recoupment of insider dealing are discussed. Secondly, after sorting out the current law system for insider dealing and studying international experience, this paper suggests buiding linking supervising network. Some suggestions and ideas are shown in the aspects of perfecting the preventing legal system and the system of self-disciplining organizations. Lastly, this paper provides some suggestions for perfecting the legal liability system of the insider dealing especially in the feild of criminal law to build a docking mechanism between criminal and administrative liability and improve the compensation for tort in insider dealing.