Research On Legal Issues About Risk Control And Post Disposal Of Bonds Defaults

The default of “11 Chao Ri bond” is generally called milepost to break “the bond market zero default phenomenon”,but “11 ChaoRi bond” has been full paid throuh restructure program.The “Rigid repayment” of China`s bond market has not been broken.In recent years,bond defaults also appeared frequently,but the related system of China's bond to deal with market bond default risk and default disposal have some problems,and it is not easy to meet a sudden change in the situation of the bond market.This paper is base on those events of default bonds in recent years,and proposes the following issues: the issuer fails to fulfill the obligation of information disclosure,the conflicts of interest between the issuer and the underwriting,the rating agencies lack of credibility,the defects of the bondholders' meeting system and so on.At the same time,it points out that there are some problems in our country,such as the lack of bond defaults,the void of bond trustee's duty,the lack of bond default insurance and the excessive intervention of administrative power.The second chapter of this paper focuses on the system or rules of the United States and the European bond market which worth reference and learning.And it comparatively analyze the differences between China's bond market and the overseas mature bond market in theory which called the theory of investor protection and the theory of investor protection.In the third chapter,starting from the three participants in the bond market perspective,the author put forward some ideas about the risk control of the issuer,underwriters,risk rating agencies,audit institutions and law firms and other intermediary agencies,and bond management system innovation--the representative of the interests of investors.Combined with the bond default risk control system in the stage of improvement in the third chapter of this paper,in the last chapter the author discusses the importance of that the later period in the disposal of invisible government guarantees completely out of default on the bonds,advocate bond defaults disposal market gradually,and the public remedy and relief from the perspective of private power,and then puts forward the importance and significance of bond defaults between the holder and the issuer of independent settlement.In my submission,in the later period of bond default,the government's implicit guarantee should be withdrawn gradually.China's bond market rigid payment should and must be broken.In the bond market,investors should bear the risk of investment.In this context,China's bond market information disclosure system,credit rating system,the bond trustee management system and creditors meeting system bond default risk control system will be related to further perfect.At the same time,the settlement,mediation and litigation claims system can be developed in the latter part of the bond breach.