The Coordination Mechanism Between Information Reporting System Of The <Foreign Investment Law>and The Commercial Registration

Ministry of Commerce officially announced < Foreign Investment Law of People’s Republic of China(draft for comments)>on January 19, 2015 intended to collect comments from the public. The coming out of <Foreign Investment Law of People’s Republic of China(draft for comments)> indicates that China’s foreign investment regulatory vision and pattern have changed dramatically, China continues to lower the threshold for foreign investment and further to achieve national treatment.With the strong growth of China’s foreign investment, China has changed from a net-capital- inflow country to a net-capital-outflow country. According to the policy of opening the door, foreign investment is also growing. In this background, the emergence of < Foreign Investment Law of People’s Republic of China(draft for comments)> means the end of decentralized legislative law mode of foreign-funded enterprises and comply with the trend of streamlining government and delegating authorities. It has epoch-making significance and far-reaching Impact.At the Second session of the Fourth Session of the National People’s Congress,Premier Li Keqiang said that if we want to stimulate the vitality of the market, we must deepen the reform and opening up. The government has canceled311 administrative examination and approvals and 123 licenses and recognized professional qualification matters. The Streamlining of business registration and pre-approval has accelerated 85%. In addition, government has strengthened the supervision in the matter and ex-post regulation. It also put intention on the optimization of public service process. In this context, information reporting system as a major institutional innovation, truly has been a milestone for the national treatment of foreign investor.Since China(Shanghai) free trade area is established, corporations in this area have implemented the mode of the negative list and reporting system that means the multi-legislative model for the supervision on foreign investment in China is about toend. The new model in"<Foreign Investment Law>has adopted the principal of"limited access with information Report "for foreign investment supervision which has actually reduced the barriers for the entrance of foreign capital. Foreign information reporting system has been announced for the first time in our country,which has been learned from the practice of Canada, Australia and other countries which have mature foreign investment system. This paper is divided into three parts:The first chapter is the introduction and analysis of the information reporting system of Foreign Investment Law(Draft) as well as the current system of commercial registration. The foreign investment law(Draft) is important in the unification of regulations for the supervisions of foreign investment. The information reporting system is going to reduce the barriers for the entrance of foreign capital.Combined with decentralization, legislative trend of the reform of national treatment before admission, information reporting system promotes foreign investment management system of our country to a new stage. At the same time, in the information reporting system, China’s current commercial registration system is still effective. In the foreign registration, foreign investors at the same time are registered by the foreign investment law of information reporting system and the registration of companies, the regulations on the registration of enterprises. Therefore, in this chapter,by combing the information reporting system, the commercial registration system, this paper clarifies the current foreign information report status of legal system, and become a foundation for subsequent comparative analysis.The second chapter elaborates the Information Reporting System of <Foreign Investment Law(Draft)> and the Commercial Registration System Problems. The first problem is that our foreign investment information reporting regulation legal system has disadvantages of long regulatory law departments. The information reporting system is in coexistence with the "company registration management regulations", the information reporting obligations of foreign enterprises are not clear,foreign investors are required to report to the trade and Industry Bureau and the foreign investment subjective department, which aggravates the burden. At the same time this may also cause chaos. In the other way, information reporting system requires foreign companies to conduct annual reports on three aspects of foreign investors, investment behavior, and foreign investment enterprises. The important foreign enterprises need to report quarterly, the frequency is high, the efficiency is insufficient. Third, there are differences in the scope between " information report and limited access" and the current industry which need approval in the prior. Different access to the rules, resulting in the loss of transparency, the system is not strong, and it is not conducive to attracting foreign investment. Fourth, in the information reporting and publicity, two sets of system for classifying information rules and identifying the differences, will result in complicated application procedures, this is not conducive to the protection of classifying information in a foreign capital enterprise. Fifth, two sets of information system are different in the identification and judgment of the registration, this makes the procedures of application complicated.Finally, the relief method in current foreign investment enterprise informationreporting system is inconsistent, the foreign investment "complaints coordination center" in the current system functions are difficult to implement, foreign investors can hardly find a way to protect themselves.The third chapter is the last chapter of this paper, which is the main point of this paper. The first section of this chapter, the author describes the information reporting system, commercial registration system and clear the two sets of systems in the regulatory authority, scope of application and lay the foundation for subsequent comparative study. The second section of this chapter, from the perspective of comparative law of the foreign investment registration system in Canada, Germany,Australia, and New Zealand, it get the conclusion that the system in these countries is strong in the openness to foreign countries. It unified information disclosure exception rules proposed conception of coordination mechanism of information reporting system and system of commercial registration.,in order to resolve the contradiction between the two sets of mechanisms to enhance the regulatory system, improve the efficiency of regulatory, protect the interests of investors.