Research On Compensation System Of Bankruptcy Administrator

The administrator has the core position in the bankruptcy proceedings.He has the important powers of taking over,selling off and distributing the bankruptcy property.At the same time,the incentive mechanism with remuneration as the core is the key for the administrator to perform his obligations diligently and faithfully.Therefore,scientific and reasonable remuneration for the bankruptcy administrator is crucial to improve the enthusiasm of the administrator and ensure the smooth progress of the bankruptcy proceedings.However,there are certain irrationalities in China's " Enterprise Bankruptcy Law" and the relevant provisions of the Supreme People's Court regarding the remuneration of bankruptcy administrators,and many shortcomings have been exposed in practice.At present,although there are many researches on the bankruptcy administrator system,the research on the administrator's compensation is not sufficient.Therefore,it is necessary to make a systematic study by analyzing the current bankruptcy law and the relevant provisions of the Supreme Court,and combining the problems existing in the administrator's compensation in judicial practice.The determination of the remuneration of the bankruptcy administrator should follow the basic principles of the unity of " power"," responsibility" and " benefit",the balance of benefits and the combination of the role of market mechanism and appropriate judicial intervention.However,the above three principles have not been fully implemented in determining the remuneration of managers in our country,and there are many problems.First,the decision-making power of the administrator's remuneration is excessively concentrated in the court.The court not only decides the selection of the administrator,but also decides the determination of the administrator's remuneration.As a result,the court decides both the selection of the administrator and the determination of the administrator's remuneration,which makes the court too powerful in determining the administrator's remuneration and is easy to breed judicial corruption.Second,the distribution of the remuneration of bankruptcy administrators is unbalanced.In judicial practice,the remuneration of administrators in different cases varies greatly,and even some cases are unproductive,placing administrators in an embarrassing situation of zero remuneration.Third,because the " Enterprise Bankruptcy Law" is vague in determining the remuneration of managers when hiring other staff,it is easy to cause differences in understanding among judges,creditors and managers,resulting in duplication of remuneration in judicial practice.Fourth,the administrator's remuneration is paid late.For convenience,most of them use one-time payment after the case ends.However,bankruptcy cases often take a long period.The administrator needs to advance relevant bankruptcy expenses to ensure the smooth progress of bankruptcy proceedings,which greatly affects the enthusiasm of the administrator.We can perfect our country's bankruptcy administrator's compensation system from the following aspects.First of all,increase the creditors' meeting's right to participate in and decide on the determination of the bankruptcy administrator's remuneration,increase the administrator's right to disagree on the determination of the administrator's remuneration,weaken the court's decision on the determination of the bankruptcy administrator's remuneration,and prevent power rent-seeking.Secondly,the government can improve the plight of the bankruptcy administrator's zero compensation under the condition of " no property can be broken" by establishing the bankruptcy administrator's compensation fund or bringing the case of " no property can be broken" into the scope of legal aid,so as to improve the enthusiasm of the bankruptcy administrator to fulfill his duties diligently and protect the legitimate interests of creditors and debtors of bankrupt enterprises.Thirdly,referring to the mature remuneration system of bankruptcy administrator abroad and combining with the current judicial situation in our country,the phenomenon of repeated remuneration of bankruptcy administrator can be avoided by refining the remuneration standard of bankruptcy administrator.Finally,optimize the installment payment method of the manager's remuneration and explore the prepayment method to ensure that the manager has sufficient funds to manage the bankruptcy affairs of the enterprise.