Study On Illeagal Informatioin Disclosure Of Listed Companies In China

Information disclosure of listed companies is an effectivecommunication mechanism to information to the public. Informationdisclosure system which is a safeguard for investors, its authenticity,accuracy, and promptness of information disclosure are very important forcompanies to improve production operation and management. China’sstock market regulators have been paying much attention to theconstruction and regulation of information disclosure system. After overtwenty years of development, despite the great progress, China’sinformation disclosure is still of low quality. Illegal information disclosurebehavior, such as distortion of accounting information, impromptness andinaccuracy of information disclosure are very common in stock market.Illegal information disclosure seriously damaged stock market order andthe legitimate rights and interests of investors. There are two questionsneed to be explored:(1) What are the factors that would trigger illegalinformation disclosure?(2)What measures should be taken to preventillegal information disclosure behavior by regulators?Based on the analysis of illegal information disclosure behavior, thispaper selected illegal information disclosure data between January1st,2009and December31st,2012, which included142listed companieswhich violated information disclosure regulation and another142listedcompanies as a control group. According to logistic regression analysis, the author summarized main influence factors for illegal informationdisclosure, and gave several policy suggestions.