Research Of Securities Market Illegal Administrative Punishment

In the stock market, all kinds of illegal behavior happen continuously despite repeated prohibitions, which severely distort normal market price formation mechanism, disrupt the normal order of market transactions and damage the legal rights of investors to participate a fair market transaction. It will lead to the consequence of Gresham’s law if these illegal behaviors cannot be stopped, which makes investors and financier lose confidence in the market and cause a large number of high-quality public resources and capital abnormal flow to the foreign capital market, it is very bad for healthy development of domestic capital market. Therefore, aiming to violation of the securities market, effective measures must be taken to maintain the market of fair trade order, thus to safeguard the long-term development of the securities market which is already started relatively late in our country.There are three sanctions mechanisms against illegal behavior usually, namely the civil compensation, administrative punishment and criminal punishment. To those illegal behaviors without clear victims and with high concealment in securities market, civil compensation and criminal punishment mechanism are difficult to play there correction functions because sanction program is hard to start, so administrative punishment mechanism is a major effective mean of against securities market behavior and maintaining market order. Because our country securities market develops lately, the study of the theory of the administrative penalties against illegal actions need to be further, relevant law system and law enforcement practice also need to constantly improve, so it is necessary to study administrative punishment system of the securities markets.This article from hundreds of administrative punishment cases the published by CSRC(China Securities Regulatory Commission) nearly three years, the administrative punishments conducted from securities market regulators to the illegal information disclosure, insider trading, market manipulation and other common illegal acts are analyzed, and from the perspectives of body positioning and functions of supervision organization, the relevant legal norms, internal division of labor and manpower input of regulators, joint of administrative penalty mechanism and criminal sanctions mechanism, the intervention of external factors, the deep reasons of the phenomenon of multiple happening of illegal securities market are analyzed. On the basis of the existing relevant theory research results and the reference of mature experience of developed securities markets, some superficial suggestions are putted forward on how to improve the system of administrative punishment in our stock market.There are five chapters in this paper. The legal system and management system of administrative punishment in our stock market are described in the first chapter. Statistics and analysis of the securities market administrative punishment cases during 2011 to 2013 are made in the second chapter. In the third chapter, some places remains to be perfect in the current administrative punishment mechanism, including the improvement of the relevant legal norms, the location and function of adjustment by the regulatory authorities, random and low efficiency of law enforcement, the lack of good cohesion with criminal sanctions mechanism and obvious intervention from the policy level. In the chapter four, securities market administrative punishment system of the United States, Britain, Germany and Hong Kong were analyzed, characteristics and development trends of law enforcement main body, types of punishment and punishment procedure of administrative punishment system in the developed markets are summed up. On the basis of the difference of the administrative punishment system in the contrast of extraterritorial securities market to our country and the reference of extraterritorial mature experience, some suggestions are proposed on how to improve the system of administrative punishment in our stock market, including reconstruction of the legal status and functions of CSRC, increasing the regulatory resources, combing the administrative punishment law system, making up the lack of law enforcement procedural norms, improvement of the efficiency of law enforcement and the standardization of law enforcement behavior, improvement of the cohesion mechanism of administrative penalty and criminal punishment and strengthen of the supervision of the public and industry self-discipline.