A Case Study Of The "qilu Bank Bill Case" For The Supervision Of The Government

In recent years, the development of China’s commercial banks scale rapid expansion, business innovation emerge in endlessly, the government regulatory agencies in from time to time the introduction of new regulatory policies, to ensure the safety of the funds of commercial banks, avoid people’s savings deposits were missing. However, in the current harsh environment, the various banks to use a variety of means blindly inflated deposit size, there is still a phenomenon of financial fraud, which is a higher level of regulatory agencies, to learn advanced management experience in developed countries, and promote the process of market interest rates, as soon as possible with the Basel agreement."Qilu bank note case" is a major financial fraud cases in recent years, involving the amount of 60 Billion yuan, involving a number of banking institutions, state-owned enterprises, private enterprises. Qilu bank accident is the rapid expansion of the current urban commercial banks in the background, the internal risk control system of banking institutions can not match the case. This case is sufficient to Qilu bank from the sky fell heavily to the bottom, as the area finance treasurer of City Commercial Bank of the rapid growth is taken for granted, but the exaggeration must have corresponding management system, risk control system, as a strong support, blind expansion of the scale is bound to to its business buried under a huge risk."There are three key points of Qilu bank bill" case: one is the Qilu bank regulators use the fuzziness of innovative business regulation, innovation in business varieties is not the risk control, business inflated deposits, the author thinks that only the people’s Bank, the CBRC and other regulatory agencies have established special institutions to exercise professional supervision in order to get rid of the trouble; two is the Qilu bank officially in 2009 after the restructuring of the blind scale expansion, regulatory agencies in the routine supervision of the high interest deposits, at the expense of high cost, using a variety of means inflated deposits, the author thinks that only regulatory agencies to implement the special regulation on high interest deposits, prevention of outburst, the average daily deposits are focused on the regulation can effectively avoid to solicit depositors high interest rates, inflated deposits; three is the Qilu bank regulators use of funds The use of administrative supervision, to help enterprises to transfer funds, leading to loan funds did not really flow into the market, but back to the enterprise itself for its own virtual deposits, the authors believe that only through the government functions of the functional departments of the market for capital market regulation, through market participants to create a healthy capital market. "Qilu bank note case" of the exposure, to the original positive development of the city commercial banks has brought an unprecedented credit crisis, reputation risk. As we all know, city commercial banks are similar, based on its strong government background and did not receive strict internal and external supervision, coupled with the board and a few others and control mechanism of the whole bank, report is very beautiful, but asset quality is really difficult to assess. Through the case study of "Qilu bank note case", combined with the current supervision situation in China, the paper finds the key problems in the development of China’s Government in the science of the bank supervision.