The Discussion Of Regulatory Mechanism Of Securities Dispute In China

In recent years, the number of disputes caused by the activities of securities sanction in China has been continuously increased. Resolving the securities disputes fairly and quickly is the guarantee of a normal and healthy securities market, and the necessary means of protecting the investors’ interests. The securities disputes exist even in the counties and regions with advanced securities market, in which the mediation is mainly employed. In the securities supervision and administration department, there are dedicated mediation institutions to deal with issues of this sort, and to construct the bridge for the understanding between the investors and the securities companies.Mediation, a proper means of resolving the disputes is also applied to the securities activities in China. Currently, most of the securities dispute cases go through the judicial proceedings and the arbitration proceedings. However, because of the deficiencies of the representative litigation system for resolving the securities disputes,the single arbitration organization, and the complicated procedures, so that many cases are suspended, which is a waste of the judicial and arbitration resources and increases difficulties for the victims to protect their legal rights. Meanwhile, although the mediation procedures for securities disputes led by the Securities Association of China SAC have various advantages, such as high efficiency, conveniences, flexibility and secrecy, it hasn’t been really accepted by the litigants due to many reasons. The professional mediation committee for securities disputes and mediation center of SAC actually haven’t played at their roles. To resolve the missing mediation in the means of resolving the securities disputes, to change the single method for setting the disputes,improving China’s current mediation system for securities disputes, allowing the litigants to take advantages of this mechanism to resolve and settle the disputes and to expand the resolving channels, the author of this paper conducted in-depth researches on the current mediation mechanism for resolving the securities disputes. Firstly, this paper starts from the basic concepts of the mediation mechanism, introducing the meanings and principles of the mediation mechanism, expounding emphatically the advantages of this mechanism over other judicial proceedings and arbitration proceedings, based on which, the current conditions of the securities-disputes mediation mechanism in China was analyzed, so was the low usage rate of the mediation mechanism, which laid grounds for proposing advises and countermeasures later. Bymeans of qualitative analysis, historical analysis and literature research, based on the basic principles of various disciplines, including law and finance, combined the advanced experience from America and Taiwan region as well as the practical circumstances in China, some advises of improving the securities-disputes mediation mechanism in China were proposed. With the help of works of others and his own professional knowledge, the author conducted in-depth researches, sorted out related materials,innovated and expanded others’ research results about the securities disputes mediation mechanism, especially in the terms of solutions and countermeasures, proposing many advises, such as expanding the scopes of mediation institutions, defining the standards of cases acceptance, and more focusing on the autonomy and reinforcing the power of mediation agreement. It’s expected to make some theoretical contributions to the improvement of securities dispute mediation mechanism in China, and to benefit the healthy development of securities market in China.